Home » Mortgage Texas » Current Mortgage Rates In Houston

Current Mortgage Rates In Houston

Mortgage Rates In Houston

Current Mortgage Rates In Houston – Houston is one of Texas’s more developed cities. Texas is a good place for new immigrants because of its low cost of living, pleasant climate, and the robust job market. When you consider Houston’s rich culture, affordable cost of living, and today’s Mortgage Rates Houston, make sense why so many people are desperate to relocate there. It is the fifth-largest city in the nation and has had some of the fastest growth in the past 20 years. 

Calculate Mortgage Interest Rates For Houston Using Mortgage Calculator

The Best Places to Live in Houston:

Looking to relocate to a varied, forward-thinking, and culturally diverse city with plenty of sunshine, professional sports, and delicious cuisine? All of these benefits and more can be attained by relocating to Houston. Here are some of the most widely considered areas for moving into the city:

  1. Midtown
    Because of its plethora of bars, eateries, coffee shops, and local businesses, Midtown is becoming a popular destination for young professionals looking for a great place to live. This neighborhood is quite walkable, offers its residents an affluent and trendy ambiance, and is close to all of the most well-known city attractions in Houston. Despite its popularity and dense population, Midtown is still a reasonably priced location. So look no further than Midtown if you’re searching for a vibrant, varied neighborhood with a lively environment and thriving nightlife.
  2. Houston Museum District
    The Houston Museum District is one of Houston’s most sought-after neighborhoods thanks to its diverse community and variety of things to do. It’s home to around 19 museums and is also an extremely secure location to reside in. The Houston Museum District is sophisticated and offers something for everyone to appreciate. As a result, it draws visitors from far and near – artists, photographers, historians, scientists, and so many more. The majority of single-family homes and apartment complexes are luxurious and modern thanks to the area’s recent uptrend.
  3. River Oaks
    Some of the best real estate in Houston may be found in the lush and wealthy area of River Oaks. Rich families and retirees alike tend to favor River Oaks due to the opulent apartment buildings and lovely single-family houses in the region. Furthermore, River Oaks is also known for its upscale eateries, shopping malls, and countless entertainment venues.
See also  Fort Worth Mortgage Lenders & Brokers

Housing Affordability In Houston, Texas

Houston has an average housing market, based on the Free and Clear Housing Affordability Index. In Houston, someone with a median salary can purchase a home for 176% of the median home value, which indicates that housing costs are typical. When it comes to housing affordability, Harris County (where Houston is located) comes in at number 221 out of 254 Texas counties and number 2,199 out of 3,142 counties nationwide.

  • Houston, Texas (Harris County) has a median home value of $230,958.
  • To purchase the median-priced home in Houston, you need to have an annual income of $37,842 based on current mortgage rates and a 10% down payment.
  • If your monthly debt payment is fair, you might be able to get a $207,862 mortgage with this salary.
  • Based on this loan amount, the average monthly mortgage payment for a Houston house is $876.
  • Houston’s median household income is $66,601.
  • With these earnings, you can afford a house with a $406,486 estimated value.

You can use this information to better understand Houston’s real estate market, home prices, and housing affordability. To be able to buy a property in Houston, you must be aware of your earnings. You should also consider the monthly payment of your mortgage options to see whether buying a home in Houston is within your financial reach.

Current Mortgage Rates in Houston 

It’s crucial to research mortgage rates before taking out a home loan because they can vary greatly. We have done some of the necessary research for you by using Zillow to compile the statistics below. These rates are only based on typical borrower requirements and general mortgage qualifications. Depending on your credit history and qualifying, loan type, loan amount, monthly installments, and many other criteria, your actual mortgage rates may change from those listed here. Nevertheless, we hope this helps:

  • The average 30-year fixed mortgage rate in Houston, Texas decreased by 1 basis point this year, from 5.65% to 5.64%.
  • The average mortgage rate for the state of Texas as of September 8, 2022, is down 3 basis points from last week’s average rate of 5.67%.
  •  Additionally, the current average 15-year fixed mortgage rate in Houston decreased 1 basis point from 4.81% to 4.80% this week, and the current average 5-year adjustable-rate mortgage (ARM) rate is down 1 basis point from 5.11% to 5.10%.
See also  Lubbock Mortgage Lenders

Searching thoroughly for the best mortgage rate can be extremely beneficial, whether you’re planning to refinance or buy a house. Therefore, we recommend you research Houston’s current mortgage rates, trends, and requirements to secure a low-interest rate on your home loan. Mortgage rates play a significant role in the cost of your home loan, and a low rate could result in thousands of dollars in savings throughout your loan.

Frequently Asked Questions About Mortgage Rates:

How much can I afford to borrow for a home?

Examine your income and obligations to see how much you can afford to borrow to purchase a property. The less money you have available for a house payment, the more debt you will have. If you want to get the most out of your home-buying budget, it’s in your best interest to pay off debt as fast as you can.

Add together all of your monthly debt repayments. Include any payment that must be made each month, including:

  • Auto loan
  • Private loan
  • Education loan
  • Minimum payments on credit cards
  • Cost of timeshare
  • Child assistance
  • Alimony

Even if you’re not the one who usually pays the loan, you must make the minimum payment on any loan you cosigned (lenders count these payments). Additionally, you will have to estimate the interest rate based on your credit score. Following your application, a lender will give you a specific interest rate.

The ideal amount for these contributions is no more than 28% of your pre-tax income. You can pay off a mortgage that equals around 36% of your gross income before taxes in total debt. You can determine the loan amount for the payment that works for you with the use of a mortgage calculator. However, keep in mind that your exact monthly loan payment will likely also include HOA dues, homeowners insurance, and mortgage insurance. As a result, you may not be able to obtain as much as a calculator indicates.

See also  Mortgage Brokers Austin

How do I compare current mortgage rates?

Start by comparing rates for the same type of loan, such as fixed-rate mortgages to other fixed-rate mortgages and 15-year loans to other 15-year loans.

Instead of merely reading about rates online, submit prequalification applications to many lenders. Lenders consider personal characteristics, such as your credit rating and down payment, when deciding your mortgage rate when you apply for pre-qualification. This can assist you in accurately comparing various lenders.

The easiest way to find the best mortgage lenders is to act quickly. The three major credit reporting agencies (Experian, Equifax, and TransUnion) encourage borrowers to compare rates within a 45-day window. Any number of lenders may accept your application during this period. These credit bureaus will only lower your credit score by one regardless of how many applications you submit.

Every lender to whom you apply offers a loan estimate. This paper details the conditions and costs of a loan. The interest rate, closing costs, and additional fees like private mortgage insurance are all included. To determine which offers you the best overall value, be sure to examine all of these fees and prices very well. Good luck!


Houses are usually one of the most important and consequently stressful purchases for most people in their lifetime. Mortgage interest rates right now are considerably lower than they were last year, which is why we urge you to act fast and get a good start in this complicated process. As we mentioned earlier, a good rate can easily save you thousands of dollars. Thus, it’s crucial to shop around with several lenders to find the best mortgage arrangement for you.

Visit Reliance Financial to view the most current mortgage rates, receive customized quotations, and see a detailed breakdown of your anticipated monthly payment. For the past 18 years, we have consistently ranked as one of Houston, Texas,’ best mortgage lenders. Our financial advisors will also help with investment and financial management, including taxes, retirement, and estate planning, to make sure you’re making preparations for the future.