Today’s RI Mortgage & Refinance Rates

Buying a home in Rhode Island

According to Zillow, the typical home value in Rhode Island is higher than the typical value of $320,662 across the US. The typical home value in Rhode Island is $401,655, and home values have increased 20.0% over the past year.

Historic mortgage rates for Rhode Island

By looking at the average mortgage rates in Rhode Island since 2010, you can see trends for 30-year fixed mortgages, 15-year fixed mortgages, and 7/1 adjustable mortgages:

Seeing how today’s rates compare to historic Rhode Island mortgage rates may help you decide whether you’d be getting a good deal by getting a mortgage or refinancing now.

Mortgage calculator

To see how today’s Rhode Island mortgage rates will affect your monthly payments, use our free mortgage calculator.

Mortgage Calculator

Your estimated monthly payment

  • Paying a 25% higher down payment would save you $8,916.08 on interest charges
  • Lowering the interest rate by 1% would save you $51,562.03
  • Paying an additional $500 each month would reduce the loan length by 146 months

Plug in an interest rate and term length to see how much you’ll pay each month and what you’ll pay over the years.

Rhode Island first-time homebuyer programs

If you get a mortgage from a participating lender, you may be eligible for one of the following programs through Rhode Island Housing:

  • Extra Assistance: Borrow up to 6% of your home purchase price or $12,000, whichever is lower, for down payment and closing cost assistance. You’ll pay the same interest rate on this loan as you will on your mortgage.
  • FirstHomes Tax Credit: Claim up to 20% of the interest paid on your mortgage on your federal taxes, up to $2,000 annually.
  • Down Payment & Closing Cost Assistance program:  You could qualify for a loan of up to $20,000 from the Housing Network of Rhode Island. The organization may forgive your loan after five years if you borrow $15,000 or less, and after 10 years if you borrow more than $15,000.
  • Federal Housing Administration mortgage: You can get a down payment of 3.5% with a credit score of at least 580, or get a mortgage with a credit score between 500 and 580 with 10% down using this loan, which is also called an FHA loan. 
  • United States Department of Agriculture mortgage: These loans, also called USDA loans, can be useful if you are a low-to-moderate income borrower looking to buy a home in a rural or suburban area.
  • Veterans Affairs mortgage: These mortgages, also called VA loans, are for active-service military members or veterans, or spouses of members who have died and can provide lower interest rates than conventional mortgages.

Refinancing your mortgage in Rhode Island

Mortgage refinance rates are pretty low right now, so it might be a good time to switch your current mortgage for one with a better rate — especially if the new rate would be significantly lower.

You may ultimately decide to refinance with the same lender that gave you your initial mortgage, but consider shopping around first. A different lender could offer you a better deal the second time around. Look for a company that will offer the best interest rate and charge relatively low fees.

How to get a low interest rate on your mortgage

Here are some tips for landing a good interest rate on your mortgage:

  • Save more for a down payment. With a conventional loan, you may be able to put down as little as 3%. But lenders reward a higher down payment with a better interest rate. Mortgage rates should stay low for a while, so you may have time to save a bigger down payment.
  • Increase your credit score. Many lenders require a minimum credit score of 620 to receive a mortgage. But you can land a better interest rate with a higher score. The most important factor for boosting your score is to pay all your bills on time.
  • Lower your debt-to-income ratio. Your DTI is the amount you pay toward debts each month, divided by your gross monthly income. Most lenders want to see a DTI of 36% or less for a conventional mortgage, but a lower DTI can result in a lower rate. To improve your DTI, pay down debts or consider opportunities to increase your income.
  • Choose a federally backed mortgage. If you’re eligible, you might consider a USDA loan (for low-to-moderate-income borrowers buying in a rural area), a VA loan (for military members and veterans), or an FHA loan (not designated for any particular group). These loans typically come with lower interest rates than conventional mortgages. As a bonus, you won’t need a down payment for USDA or VA loans.

Improving your financial situation and choosing the right type of mortgage for your needs can help you get the best interest rate possible.

Mortgage and refinance rates by state

New Hampshire
New Jersey
New Mexico
New York
North Carolina
North Dakota
Rhode Island
South Carolina
South Dakota
Washington DC
West Virginia

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