Generally, the best mortgage rates are available to borrowers with a credit score of at least 720. However, some Atlanta area lenders have approved borrowers with lower credit scores. Credit scores of at least 750 can often secure the best mortgage rates. Because of the competition between mortgage lenders in Atlanta, some lenders offer attractive perks to borrowers. For example, some banks will pay your closing costs and add a few basis points to your APR, helping you save even more money.
Refinancing
While refinancing laws in Atlanta are similar to other states, the housing market in Atlanta has been particularly strong over the past several years, allowing homeowners to quickly build up equity in their homes that far exceeds their mortgage balances. While Atlanta’s housing market is strong compared to the rest of the state, other parts of the state have seen less favorable housing trends, resulting in moderate negative equity levels for homeowners.
Another benefit of refinancing is that it can bring down your monthly mortgage payment. However, refinancing is not without its downsides. Although it can significantly lower your mortgage payment, it can come with hefty fees. The average refinancing fee is close to 6% of the loan amount. So, if you’re refinancing a $300,000 home, you can expect to pay anywhere from $9,000 to $18,000 in closing costs.
Homeownership
If you’re looking for a home in the Atlanta metro area, you might be interested in learning about homeownership and mortgage rates. While Atlanta’s median home price is above the national average, you can still find reasonably priced housing options. The key is to shop around for the best mortgage rates and build your credit score.
The Atlanta Affordable Homeownership Program is one option for those on a low or moderate income. These grants cover the down payment and closing costs and may even qualify you for a first-time buyer’s grant of up to $20,000. However, before you apply for the program, you should make sure that you meet the income and credit criteria of the county where you plan to purchase.
The Atlanta housing market has been hit by rising mortgage rates. While they are driving away some buyers, they also offer more incentive to longtime homeowners to stay in their homes. Despite this, the market remains tilted in favor of sellers, as home prices have risen faster than incomes. During the second quarter of 2017, home sales in the Atlanta metro area were down 21.3% compared to the previous year, while the median price of sold homes was $394,000.
First-time Homebuyer Program
If you’re looking to purchase a new home, there are several Atlanta programs that can help you get approved. Some programs are designed specifically for first-time homebuyers, while others are more general. Either way, it’s important to research the programs and determine whether they’re right for you.
The Atlanta Housing Authority offers the Homeownership Down Payment Assistance Program, which offers a subsidy up to $25,000 to qualifying applicants. The program requires that you are a first-time homebuyer and have not owned a home before. In some cases, you can apply if you’ve owned a home in the past three years, but it’s best to wait until you haven’t bought a home for that long. Additionally, the program has some restrictions and fine print, so make sure to review the program’s guidelines carefully before applying.
The Atlanta Housing Homeownership Program provides down payment assistance to first-time homebuyers and primary lenders. The requirements may change without notice. If you’re eligible, you’ll receive $10,000 toward your closing costs and your down payment, making this one of the best down payment assistance programs in the Atlanta area. The grant is repayable after five years, so it’s a good option for homebuyers. In addition to the GDCA down payment assistance program, you can also qualify for assistance through several local programs.
Average Mortgage Rate
Mortgage rates in Atlanta, Georgia, are slightly below the national average. In August, the average 30-year fixed-rate mortgage was 3.52%, while the average rate for 15-year fixed-rate mortgages was 4.375%. However, actual mortgage rates will depend on a variety of factors. To make sure you’re getting the best mortgage rate possible, shop around.
If your credit score is above 720, you may be able to get a favorable mortgage rate. Though some mortgage lenders in the Atlanta area have approved borrowers with scores as low as 640, the best rates are available for borrowers with credit scores over 740. Furthermore, mortgage lenders compete to get your business, so they often offer perks to lure borrowers. For example, some banks offer special deals that cover closing costs. These perks may add a few basis points to your APR.
Georgia has a low cost of living. The median home price is less than $40,000 compared to the national average, and average mortgage rates in the state are slightly below the national average. These low costs can save you thousands of dollars in the long run. In addition, Georgia has home buying programs to help first-time homebuyers.
Contact Moreira Team today to find out more about our mortgage products.