Michigan Mortgage Rates

Compare Michigan mortgage rates and choose the best option for your needs.

By Myfin Team
Updated May 28, 2024
Loan Type
State
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Purchase Price
$
Down payment
$
%
Loan term
  • 10-Year Fixed
  • 15-Year Fixed
  • 20-Year Fixed
  • 30-Year Fixed
  • 40-Year Fixed
  • 1-Year ARM
  • 3-Year ARM
  • 5-Year ARM
  • 7-Year ARM
  • 10-Year ARM
  • 3-Year ARM I/O
  • 5-Year ARM I/O
  • 7-Year ARM I/O
  • I/O = Interest only
Credit score
  • 740-850
  • 720-739
  • 700-719
  • 680-699
  • 660-679
  • 640-659
  • 620-639
  • 350-620
EMPTY
More options
Points
  • Up to 3
  • 0
  • 0-1
  • 1-2
Property type
  • Single Family
  • Condo (Less than 4 stores)
  • Condo (More than 4 stores)
  • 41 - 2 units
  • 42 - 3 units
  • 43 - 4 units
Property use type
  • Primary Residence
  • Second Home
  • Investment
EMPTY
EMPTY
Showing 6 mortgages
NMLS#1558823
APR
7.065%
Payment
$2,129/mo
Rate
7.000%
Fees
$2,095
Includes 0.25 Points ($800)
Details
30-Year Fixed;
Purchase
On partner's site
Get details
NMLS#1025894
APR
7.511%
Payment
$2,236/mo
Rate
7.490%
Fees
$662
Includes 0.012 Points (($38))
Details
30-Year Fixed;
Purchase
On partner's site
Get details
NMLS#3029
  • Top 3 Lender: Trusted and established.
  • 19K+ 5-star reviews: Proven customer satisfaction.
  • Wide mortgage selection: Tailored solutions.
  • Unmatched expertise: Your path to homeownership.
On partner's site
Get details
NMLS#1907
  • 0% Down VA Loans for Veterans & Military
  • Secure preapproval quickly with 24/7 access
  • Competitively low VA rates, no PMI required
  • Over 300,000 verified 5-star reviews
On partner's site
Get details
NMLS#491986
  • Minimum 620 credit score needed to prequalify
  • 0% down USDA loan for rural homebuyers
  • 97% of borrowers would recommend to friends or family
On partner's site
Get details
NMLS#Not a Lender
  • Premier resource for one-stop lender shopping
  • Get personalized purchase & refinance options
  • Find out what you're eligible for fast
On partner's site
Get details
Data provided by Icanbuy. Payments do not include amounts for taxes and insurance premiums. The actual payment obligation will be greater if taxes and insurance are included. More information on rates and product details.
For example, if you apply for a 15-year $400,000 mortgage with an interest rate of 6.15% and a down payment of 10% you would receive $360,000 and make 180 payments of $3,067.14. The total amount paid would be $552,084.

Today's Mortgage Rates Trends in Michigan

Mortgage in Michigan: Top Lenders in 2024

Willing to buy a home in Michigan State? Utilizing a mortgage loan is typically the most effective approach, regardless of whether you're searching for a residential estate or an apartment. However, it's crucial to acknowledge that the terms offered by various mortgage lenders can vary greatly (use our mortgage calculator to estimate your future expenses). In this guide, we'll review some of the top-rated lenders and determine which ones are worth considering.

MI Mortgage Lenders Comparison

All the lenders we've examined are reputable companies with competitive rates and established track records. To provide you with the most comprehensive information, we'll compare them based on several key criteria, including APR, minimum down payment, eligibility requirements, and more.

Northpointe Bank Mortgage

Northpointe Bank , headquartered in Grand Rapids, Michigan, was established in 1999. While its roots are in Michigan, it provides mortgage services nationwide through online platforms and loan offices spanning 25 states. Its offerings include fixed- and variable-rate loans, both privately funded and government-insured, covering FHA, VA, and USDA options. These loans are available for various purposes, including purchase, refinancing, and construction.

Under optimal conditions - such as a credit score of 740 or higher and a 25% down payment—the APR for a 30-year loan is 6.607%, and for a 15-year loan, it stands at 6.464%. The minimum credit score required is 620.

Pros: Cons:
Full spectrum of loan offerings, including unique offers with $0 down payment. The official website lacks transparency on any lender fees.
Extensive physical network. The average rates are not as low.

Change Home Mortgage

Change Home Mortgage was established in 1994. The company's commitment to serving underserved communities is evidenced by its certification as a Community Development Financial Institution (CDFI). In addition to offering conventional mortgage options, Change Home Mortgage provides access to all major types of government-backed loans, including FHA, VA, and USDA programs.

One notable feature is its alternative to the FHA plan: a conventional loan requiring only a 3% down payment, which may appeal to those seeking more flexible financing options. Change Home Mortgage also offers jumbo loans, reverse mortgages, and remortgaging options to meet diverse borrowing needs.

However, specific details regarding interest rates, fee schedules, and borrower eligibility criteria are not publicly disclosed. Prospective borrowers are encouraged to inquire directly with Change Home Mortgage for more information.

Pros: Cons:
Perfect for low- to moderate-income borrowers. Not licensed in Massachusetts, Missouri and New York.
A good choice of government-backed plans available. Doesn't disclose the exact terms and requirements.
A close-to-nationwide coverage.

AmeriSave

AmeriSave has established itself as a nationwide lender since its foundation in 2002. Consequently, residents of this state often receive some of the most enticing offers from the company. AmeriSave's credibility is further underscored by its excellent ratings from BBB (A+) and Trustpilot (4.3/5).

While the advertised rate of 4.899% may seem appealing, it typically requires a FICO score as high as 740 and a 20% down payment. It's important to note that your actual rate is likely to differ from the advertised rate. For conventional loans, a credit score of 620 is needed, while government-insured plans are available starting from 600.

Pros: Cons:
Highly lucrative mortgage rates. Not all of the lender fees included in the closing costs are transparently disclosed at the lender’s website.
Diversity of loan types offered. This includes purchase and refinancing with fixed and adjustable rates, as well as the three main kinds of government-backed loans (FHA, VA and USDA).
Easy and convenient, mobile-friendly application process.

Average Mortgage Rate in Michigan from 1978 to 2018

The chart shows average conventional mortgage 30-Year Fixed Rates in Michigan.

Source: Federal Housing Finance Agency Monthly Interest Rate Survey

Information about the Housing Market and Real Estate Prices in Michigan

Criteria Amount, $
The median home value in Michigan $213,577
The income required to buy the median priced home in Michigan $34,994
The monthly mortgage payment required to buy the median priced home in Michigan $810
The median household income for Michigan $65,355

Things to Consider When Choosing a Mortgage Lender

Taking out a mortgage loan entails a significant commitment spanning 15 to 30 years, so it's crucial to carefully weigh your options before finalizing any agreements with a lender. Several key aspects should be considered when selecting a lending entity.

  • Type of Lender. Primarily, there are two popular options: banks and online mortgage lenders. Banks typically offer attractive rates but often conduct stringent credit checks, resulting in longer approval times and rigorous eligibility criteria. Conversely, online lenders operate with greater speed and may have less stringent requirements for homebuyers.
  • APR and Fees. Each loan carries its own costs, and mortgages are no exception. Beyond the interest rate, these costs encompass additional fees such as origination fees, mortgage insurance fees, closing costs, and more. As of the latest data, the average mortgage rate for a fixed-rate 30-year loan in Michigan stands at 6.58%.
  • Terms and Conditions. Considerations here include the minimum down payment required, which can range from 0% to 20% depending on the loan type and your current status (e.g., military, employed, self-employed, etc.). Another crucial parameter is the loan term, representing its total duration, with common options being 15 and 30 years.

What Mortgage Lender is the Number One in Michigan?

The array of reputable mortgage lenders in MI is extensive, making it challenging to provide a definitive answer to this question. Ultimately, it depends on various factors. For instance, Rocket Mortgage stands out as an industry leader, boasting a loan volume of $11.5 billion in 2021. To make an informed choice, consult our list of recommended lenders.

First-Time Homebuyer Programs in Michigan

Buying a home for the first time is quite challenging. Happily, residents of Michigan can take advantage of some governmental programs aimed at raising mortgage affordability.

  • Federal Housing Administration loan program. In its framework, a buyer gets insurance from the federal government. The fee for this insurance is included in the total cost of the future loan. In return for this, the homebuyer gets some serious benefits: a low interest rate and minimal credit requirements. Thus, his FICO score can be as low as 500, and the debt to income ratio – just 50%.
  • USDA loan program. It is oriented toward those living in rural areas. The participants of this program can get a mortgage loan with a zero down payment. However, their annual income must not exceed 115% of the average income in this region.
  • VA loan programs. They are insured by the Veteran Affairs Department. This mortgage option is available to former militaries or their spouses.

Pre-Approval: What Does It Mean?

Preliminary approval serves as a confirmation of a prospective homebuyer’s credibility, signaling to home sellers that lenders are prepared to approve a mortgage loan for the buyer. To obtain pre-approval, individuals must provide documentary evidence of their financial capacity. A typical document set includes earning statements, account statements, a W2 form, or alternative proof of income spanning at least 2 years. Additionally, filling out the Uniform Residential Loan Application form is necessary.

FAQ

Whether I Qualify for a Mortgage in Michigan or Not?

Qualification requirements for mortgage borrowers can slightly vary in different lending entities, but in most cases, they include a credit score of 620 and higher, and a debt-to-income ratio of at least 50%. Also, you need to provide evidence of your paying capacity and credibility: tax and account statements, employment status, credit reports, etc. Finally, you must be able to make the required down payment.

What is the maximum mortgage duration in MI?

The maximum length of a mortgage loan in the US is 30 years. There can be some exceptions with unqualified mortgages where the term can reach 40 years. However, these cases are very rare, and the terms of such loans are far from being favorable.

What is the mortgage rate right now in Michigan?

There is no simple answer to this question, as the final APR is defined individually for each borrower. However, there are average values for every US state. In Michigan, the current average mortgage rate for a 30-year period is 6.58%. For the term of 15 years, it is 5.98%.