Current Colorado Mortgage and Refinance Rates

Compare offers to find the best rates for your home loan

How Does LendingTree Get Paid?
LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.

How Does LendingTree Get Paid?

LendingTree is compensated by companies on this site and this compensation may impact how and where offers appear on this site (such as the order). LendingTree does not include all lenders, savings products, or loan options available in the marketplace.
Privacy Secured  |  Advertising Disclosures
 

Current 30-year fixed mortgage rates are averaging: 7.02%

Current 15-year fixed mortgage rates are averaging: 6.51%

Current average rates are calculated using all conditional loan offers presented to consumers nationwide by LendingTree’s network partners on the previous day for each combination of loan program, loan term and loan amount. Rates and other loan terms are subject to lender approval and not guaranteed. Not all consumers may qualify. See LendingTree’s Terms of Use for more details.

Compare CO mortgage rates today

loading image

 Refinance rates in Colorado

There are many home refinance options, and each comes with slightly different features and rates.

  • Rate-and-term refinances involve paying off your current loan via a new loan with better terms, like a lower interest rate or different loan term (or both). Lengthening your loan term or lowering your interest rate will reduce your monthly mortgage payment
    Refinance rates may be slightly lower than mortgage rates for new purchases.
  • Cash-out refinances offer a way to receive a portion of your home equity in cash by replacing your current home loan with a new mortgage.
    Cash-out refinance rates are usually higher than regular refinances.
  • Conventional refinances aren’t a part of a government loan program.
    Conventional refinances typically come with higher rates than government-backed refinances.
  • FHA refinances are insured by the Federal Housing Administration (FHA) and are usually easier to qualify for than conventional loans.
    FHA refinance rates are most often lower than conventional refinance rates. In this current rate environment, you can expect them to be about 0.33 percentage points lower.
  • VA refinances are backed by the U.S. Department of Veterans Affairs (VA) and carry some of the most flexible requirements and best rates. However, you must be a qualified military borrower.
    VA refinance rates are typically among the lowest you’ll find.

Current 30-year fixed mortgage refinance rates are averaging: 7.34%

The current average rate for a 15-year fixed mortgage refinance is: 6.78%

Current average rates are calculated using all conditional loan offers presented to consumers nationwide by LendingTree’s network partners on the previous day for each combination of loan program, loan term and loan amount. Rates and other loan terms are subject to lender approval and not guaranteed. Not all consumers may qualify. See LendingTree’s Terms of Use for more details.
See whether refinancing makes sense for you using our mortgage refinance calculator.

 What is the current mortgage rates forecast for 2024?

The year 2023 was dominated by rising interest rates — however, the average 30-year mortgage rate finally began to dip in October, ending the year below 7%. The current mortgage rates forecast is for rates to continue their downward movement.

Our market expert is cautiously optimistic about 2024 but also warns that affordability won’t increase dramatically any time soon. Still, our expert believes rates may be closer to 6% by the end of the year.

That said, it’s not a good idea to try to “time the market.” If you’re looking to get the best mortgage rates possible, you’ll need to do what you can to get lower rates, rather than waiting for the “perfect” rates environment.

Let’s now look at which aspects of your mortgage rates you can influence, and what actions you can take today.

How do I get the best mortgage rate for my Colorado home loan?

There are many factors determining mortgage rates that are out of your control, but here are a few steps you can take to get the best mortgage rate:

  1. Boost your credit. Your credit score strongly influences the mortgage rates you’re offered. In general, the higher your score, the better your rate.
  2. Lower your debt-to-income (DTI) ratio. Your DTI ratio is a number that lenders use to evaluate how heavy of a debt load you carry. You can lower your DTI by increasing your income, paying off some debts or getting a cosigner.
  3. Buy a single-family, site-built home. You’ll probably see the lowest interest rates if you avoid buying a manufactured home, a vacation home an investment property or any other property with more than one unit.
  4. Pay mortgage points. Mortgage points allow you to “buy down” your interest rate, typically reducing it by up to 0.25% for each point you get. If it’s within your reach, making what amounts to an upfront interest payment could save you a lot of money in the long run.
  5. Compare offers from multiple lenders. Take the time to gather loan estimates from three to five lenders. It’s a simple way to save money, as shopping for the best rate could save you thousands — or even tens of thousands of dollars — according to LendingTree data.

 Read more about our picks for the best mortgage lenders.

loading image

 When should I lock in my mortgage rate?

Once you’ve applied for a mortgage and received a loan estimate with an offer you want to take advantage of, you should request that the lender give you a mortgage rate lock. This ensures that your interest rate won’t increase before you close on the loan.

2024 Colorado home loan programs

CHFA Second Mortgage Loan

The Colorado Housing and Finance Authority (CHFA) offers a second mortgage that can help finance up to $25,000 or 4% of your loan amount, whichever is less.

The funds can be used towards your down payment or closing costs. You will of course have to repay the loan, but you’re allowed to wait until you sell the home, pay off the primary mortgage or move out.

Who qualifies?

Borrowers must:

Have at least a 620 credit score
Not exceed annual income limits (based on your household size, location and mortgage loan program)
Take a homebuyer education course
Contribute at least $1,000 toward purchase

CHFA Down Payment Assistance Grant

This program, also from CHFA, offers up to $25,000 or 3% of the loan (whichever is less), so that you can boost your down payment.

This can help you reduce or even eliminate private mortgage insurance (PMI). Or, if you’d prefer, funds can also be used toward closing costs.

Since this is a grant, you won’t be required to pay the funds back.

Who qualifies?

Borrowers must:

Have at least a 620 credit score
Not exceed annual income limits
Take a homebuyer education course
Contribute at least $1,000 toward purchase

NEWSED Community Development Corporation Down Payment Assistance Program

NEWSED is an organization working to help underserved communities in the Denver metro area. This program, which is only for first-time homebuyers, offers up to $10,000 in assistance with a down payment, closing costs or an interest rate buydown.

Who qualifies?

Borrowers must:

Purchase in the city of Denver or local metro counties (Adams, Arapahoe, Broomfield, Douglas or Jefferson)
Meet income limits, starting at $98,520 for a single-person household and going up to $185,760 for a family of eight
Purchase a home with a price that’s no higher than 95% of the median price for their area
Attend a first-time homebuyer class as well as prepurchase counseling
Contribute at least $1,000 towards home purchase

Who qualifies as a first-time homebuyer?

Borrowers must:

People who have never owned a home
People who haven’t owned real estate in the last three years

 Find CHFA loan officers in your area on the CHFA website.
loading image

Learn about different types of CO mortgage loans

Colorado conventional loans. Conventional loans are a common choice for borrowers with good credit scores and sufficient down payment funds. These loans typically share certain minimum requirements set by Fannie Mae and Freddie Mac.

Colorado FHA loans. FHA loan requirements are far more forgiving than conventional loan requirements. You can qualify with a credit score as low as 500 if you make a 10% down payment, or put down as little as 3.5% if you have at least a 580 score.

Colorado VA loans. VA loan requirements offer flexibility and some great perks for military borrowers. These include the ability to purchase or refinance without making a down payment or paying for mortgage insurance.

Colorado streamline refinances involve FHA streamline refinance loans or VA interest rate reduction refinance loans (IRRRL). “Streamline” means that these loans require less paperwork than other refinance types. However, you’ll have to refinance from an FHA loan into an FHA loan, or from a VA loan into a VA loan, in order to take advantage of these programs.

Ready to compare top mortgage lenders with LendingTree?