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LendingTree Compares Mortgage Rates by State

Housing markets can vary significantly across the United States — and so can mortgage terms. A potential homebuyer in one state might be able to get approved for a loan more easily than someone with a similar income and credit profile who lives in another part of the country.

In order to better understand how housing markets differ among states, LendingTree, the nation’s leading online loan marketplace, analyzed multiple factors that are relevant to people looking to buy a home.

While our study primarily focuses on mortgage interest rates offered to LendingTree users in different states, it also looks at other aspects important to the homebuying process, like average APRs, loan-to-value ratios, home loan amounts and down payment amounts. It also looks at the spread between high and low APRs offered to LendingTree users in order to illustrate how shopping around for a mortgage can help a potential buyer save money.

Key findings

The average offered interest rate for the all 50 states is 4.84%. There is no state where rates fall below 4.74% or rise above 4.96%.

California, New Jersey, Washington and Massachusetts are the states with the lowest average interest rates. The average interest rate is 4.74% in California, 4.75% in New Jersey and 4.76% in both Washington and Massachusetts.

New York, Iowa and Arkansas are the states where average interest rates are the highest. The average interest rates in these states are 4.96%, 4.93% and 4.92% respectively.

The average down payment across all 50 states is nearly $28,000. The state with the lowest average down payment is West Virginia, where the average buyer will only need to pony up a little bit more than $15,000 for a down payment. On the flip side, buyers in New York will need nearly triple that, $43,404, to be able to afford the average down payment.

Across all 50 states, the average offered loan amount is $224,297. The highest average offered loan amount is over $313,000 in California, while it is only $186,502 in Oklahoma.

The average loan-to-value ratio of nearly 75% goes hand in hand with the average down payment and and loan amounts offered throughout the country. The loan-to-value ratio represents how large the mortgage amount is compared with the appraisal price of the home. A  low LTV, like those commonly found in Hawaii or California, means that buyers are paying more out of pocket in order to be able to afford a home. Higher LTVs like those found in Kentucky or Kansas mean that buyers can get away with smaller down payments.

The average APR offered across the U.S. is 4.95%. California is the state with the lowest average APR of 4.83% while New York is the highest with 5.07%.

Potential buyers should never forget that they can often save money by shopping around before settling on a loan. For example, buyers who used the LendingTree platform to shop for a mortgage and were offered a choice between four different loans saw an average of a 0.42% difference between the highest APR they were offered and the lowest. Those who shopped around and were offered a choice between five different loans saw an average spread of 0.53%. These differences could translate to savings of thousands of dollars over the lifetime of a loan.

All 50 States Ranked by Average Mortgage Rate

California:

Average offered interest rate: 4.74%

Average APR: 4.83%

Average down payment: $41,502

Average offered loan amount: $313,508

Average LTV: 66%

Median Spread (4 Offers): 0.395%

Median Spread (5 Offers): 0.49%

New Jersey:

Average offered interest rate: 4.75%

Average APR: 4.83%

Average down payment: $31,212

Average offered loan amount: $258,999

Average LTV: 71%

Median Spread (4 Offers): 0.39%

Median Spread (5 Offers): 0.55%

Washington:

Average offered interest rate: 4.76%

Average APR: 4.85%

Average down payment: $34,029

Average offered loan amount: $277,105

Average LTV: 71%

Median Spread (4 Offers): 0.40%

Median Spread (5 Offers): 0.52%

 

Massachusetts:

Average offered interest rate: 4.76%

Average APR: 4.86%

Average down payment: $34,029

Average offered loan amount: $274,996

Average LTV: 70%

Median Spread (4 Offers): 0.40%

Median Spread (5 Offers): 0.51%

Utah:

Average offered interest rate: 4.77%

Average APR: 4.85%

Average down payment: $28,273

Average offered loan amount: $248,969

Average LTV: 73%

Median Spread (4 Offers): 0.43%

Median Spread (5 Offers): 0.55%

Colorado:

Average offered interest rate: 4.77%

Average APR: 4.86%

Average down payment: $32,889

Average offered loan amount: $262,947

Average LTV: 72%

Median Spread (4 Offers): 0.41%

Median Spread (5 Offers): 0.52%

 

Maryland:

Average offered interest rate: 4.78%

Average APR: 4.87%

Average down payment: $28,194

Average offered loan amount: $255,652

Average LTV: 76%

Median Spread (4 Offers): 0.39%

Median Spread (5 Offers): 0.49%

 

Kentucky:

Average offered interest rate: 4.78%

Average APR: 4.87%

Average down payment: $23,309

Average offered loan amount: $192,651

Average LTV: 79%

Median Spread (4 Offers): 0.52%

Median Spread (5 Offers): 0.80%

 

Virginia:

Average offered interest rate: 4.79%

Average APR: 4.89%

Average down payment: $34,013

Average offered loan amount: $255,545

Average LTV: 76%

Median Spread (4 Offers): 0.396%

Median Spread (5 Offers): 0.50%

 

South Dakota:

Average offered interest rate: 4.79%

Average APR: 4.91%

Average down payment: $23,418

Average offered loan amount: $206,496

Average LTV: 75%

Median Spread (4 Offers): 0.44%

Median Spread (5 Offers): 0.56%

 

Minnesota:

Average offered interest rate: 4.80%

Average APR: 4.90%

Average down payment: $21,326

Average offered loan amount: $218,568

Average LTV: 74%

Median Spread (4 Offers): 0.39%

Median Spread (5 Offers): 0.51%

 

Oregon:

Average offered interest rate: 4.80%

Average APR: 4.89%

Average down payment: $29,468

Average offered loan amount: $247,373

Average LTV: 72%

Median Spread (4 Offers): 0.39%

Median Spread (5 Offers): 0.48%

Montana:

Average offered interest rate: 4.81%

Average APR: 4.92%

Average down payment: $26,926

Average offered loan amount: $224,882

Average LTV: 71%

Median Spread (4 Offers): 0.48%

Median Spread (5 Offers): 0.59%

 

Arizona:

Average offered interest rate: 4.81%

Average APR: 4.91%

Average down payment: $24,850

Average offered loan amount: $222,775

Average LTV: 74%

Median Spread (4 Offers): 0.41%

Median Spread (5 Offers): 0.52%

North Carolina:

Average offered interest rate: 4.81%

Average APR: 4.92%

Average down payment: $27,994

Average offered loan amount: $218,578

Average LTV: 78%

Median Spread (4 Offers): 0.41%

Median Spread (5 Offers): 0.52%

Delaware:

Average offered interest rate: 4.82%

Average APR: 4.93%

Average down payment: $18,040

Average offered loan amount: $224,921

Average LTV: 73%

Median Spread (4 Offers): 0.42%

Median Spread (5 Offers): 0.53%

 

Texas:

Average offered interest rate: 4.82%

Average APR: 4.92%

Average down payment: $30,562

Average offered loan amount: $221,234

Average LTV: 78%

Median Spread (4 Offers): 0.41%

Median Spread (5 Offers): 0.55%

 

North Dakota:

Average offered interest rate: 4.82%

Average APR: 4.93%

Average down payment: $22,897

Average offered loan amount: $230,333

Average LTV: 78%

Median Spread (4 Offers): 0.42%

Median Spread (5 Offers): 0.51%

Pennsylvania:

Average offered interest rate: 4.83%

Average APR: 4.93%

Average down payment: $27,029

Average offered loan amount: $214,394

Average LTV: 77%

Median Spread (4 Offers): 0.42%

Median Spread (5 Offers): 0.54%

Georgia:

Average offered interest rate: 4.83%

Average APR: 4.94%

Average down payment: $29,140

Average offered loan amount: $216,173

Average LTV: 78%

Median Spread (4 Offers): 0.40%

Median Spread (5 Offers): 0.51%

Rhode Island:

Average offered interest rate: 4.83%

Average APR: 4.94%

Average down payment: $25,643

Average offered loan amount: $242,492

Average LTV: 73%

Median Spread (4 Offers): 0.41%

Median Spread (5 Offers): 0.49%

Connecticut:

Average offered interest rate: 4.84%

Average APR: 4.94%

Average down payment: $31,881

Average offered loan amount: $237,825

Average LTV: 76%

Median Spread (4 Offers): 0.42%

Median Spread (5 Offers): 0.55%

New Hampshire:

Average offered interest rate: 4.84%

Average APR: 4.94%

Average down payment: $22,631

Average offered loan amount: $226,846

Average LTV: 73%

Median Spread (4 Offers): 0.41%

Median Spread (5 Offers): 0.51%

Florida:

Average offered interest rate: 4.84%

Average APR: 4.94%

Average down payment: $28,528

Average offered loan amount: $218,638

Average LTV: 76%

Median Spread (4 Offers): 0.40%

Median Spread (5 Offers): 0.51%

Wyoming:

Average offered interest rate: 4.84%

Average APR: 4.96%

Average down payment: $20,458

Average offered loan amount: $221,159

Average LTV: 77%

Median Spread (4 Offers): 0.50%

Median Spread (5 Offers): 0.62%

Hawaii:

Average offered interest rate: 4.85%

Average APR: 4.94%

Average down payment: $39,317

Average offered loan amount: $300,910

Average LTV: 66%

Median Spread (4 Offers): 0.42%

Median Spread (5 Offers): 0.52%

South Carolina:

Average offered interest rate: 4.85%

Average APR: 4.96%

Average down payment: $23,576

Average offered loan amount: $207,002

Average LTV: 77%

Median Spread (4 Offers): 0.41%

Median Spread (5 Offers): 0.50%

Wisconsin:

Average offered interest rate: 4.86%

Average APR: 4.96%

Average down payment: $24,826

Average offered loan amount: $202,333

Average LTV: 78%

Median Spread (4 Offers): 0.42%

Median Spread (5 Offers): 0.52%

Tennessee:

Average offered interest rate: 4.86%

Average APR: 4.96%

Average down payment: $28,318

Average offered loan amount: $210,773

Average LTV: 78%

Median Spread (4 Offers): 0.41%

Median Spread (5 Offers): 0.52%

Nevada:

Average offered interest rate: 4.86%

Average APR: 4.95%

Average down payment: $29,109

Average offered loan amount: $244,981

Average LTV: 73%

Median Spread (4 Offers): 0.39%

Median Spread (5 Offers): 0.50%

Alabama:

Average offered interest rate: 4.86%

Average APR: 4.97%

Average down payment: $28,569

Average offered loan amount: $203,904

Average LTV: 74%

Median Spread (4 Offers): 0.43%

Median Spread (5 Offers): 0.53%

Alaska:

Average offered interest rate: 4.86%

Average APR: 4.97%

Average down payment: $31,706

Average offered loan amount: $248,847

Average LTV: 77%

Median Spread (4 Offers): 0.45%

Median Spread (5 Offers): 0.54%

New Mexico:

Average offered interest rate: 4.86%

Average APR: 4.99%

Average down payment: $23,783

Average offered loan amount: $200,274

Average LTV: 74%

Median Spread (4 Offers): 0.42%

Median Spread (5 Offers): 0.55%

Michigan:

Average offered interest rate: 4.86%

Average APR: 4.98%

Average down payment: $20,440

Average offered loan amount: $200,190

Average LTV: 75%

Median Spread (4 Offers): 0.42%

Median Spread (5 Offers): 0.55%

Illinois:

Average offered interest rate: 4.87%

Average APR: 4.97%

Average down payment: $29,498

Average offered loan amount: $220,125

Average LTV: 76%

Median Spread (4 Offers): 0.43%

Median Spread (5 Offers): 0.53%

Kansas:

Average offered interest rate: 4.87%

Average APR: 4.98%

Average down payment: $23,870

Average offered loan amount: $201,060

Average LTV: 79%

Median Spread (4 Offers): 0.42%

Median Spread (5 Offers): 0.51%

Louisiana:

Average offered interest rate: 4.87%

Average APR: 4.99%

Average down payment: $26,053

Average offered loan amount: $203,938

Average LTV: 79%

Median Spread (4 Offers): 0.45%

Median Spread (5 Offers): 0.61%

Vermont:

Average offered interest rate: 4.87%

Average APR: 4.99%

Average down payment: $27,765

Average offered loan amount: $202,106

Average LTV: 73%

Median Spread (4 Offers): 0.37%

Median Spread (5 Offers): 0.50%

Indiana:

Average offered interest rate: 4.81%

Average APR: 4.99%

Average down payment: $24,013

Average offered loan amount: $195,098

Average LTV: 78%

Median Spread (4 Offers): 0.43%

Median Spread (5 Offers): 0.55%

Idaho:

Average offered interest rate: 4.89%

Average APR: 4.99%

Average down payment: $19,593

Average offered loan amount: $211,520

Average LTV: 74%

Median Spread (4 Offers): 0.41%

Median Spread (5 Offers): 0.498%

Mississippi:

Average offered interest rate: 4.90%

Average APR: 5.04%

Average down payment: $16,297

Average offered loan amount: $190,895

Average LTV: 78%

Median Spread (4 Offers): 0.498%

Median Spread (5 Offers): 0.64%

Missouri:

Average offered interest rate: 4.90%

Average APR: 5.01%

Average down payment: $24,734

Average offered loan amount: $199,948

Average LTV: 78%

Median Spread (4 Offers): 0.41%

Median Spread (5 Offers): 0.496%

Nebraska:

Average offered interest rate: 4.90%

Average APR: 5.03%

Average down payment: $24,609

Average offered loan amount: $201,388

Average LTV: 76%

Median Spread (4 Offers): 0.41%

Median Spread (5 Offers): 0.54%

Ohio:

Average offered interest rate: 4.90%

Average APR: 5.03%

Average down payment: $22,061

Average offered loan amount: $196,052

Average LTV: 76%

Median Spread (4 Offers): 0.397%

Median Spread (5 Offers): 0.53%

West Virginia:

Average offered interest rate: 4.90%

Average APR: 5.04%

Average down payment: $15,369

Average offered loan amount: $189,222

Average LTV: 77%

Median Spread (4 Offers): 0.42%

Median Spread (5 Offers): 0.53%

Maine:

Average offered interest rate: 4.91%

Average APR: 5.02%

Average down payment: $22,462

Average offered loan amount: $202,539

Average LTV: 74%

Median Spread (4 Offers): 0.42%

Median Spread (5 Offers): 0.53%

Oklahoma:

Average offered interest rate: 4.91%

Average APR: 5.03%

Average down payment: $19,456

Average offered loan amount: $186,502

Average LTV: 76%

Median Spread (4 Offers): 0.42%

Median Spread (5 Offers): 0.52%

Arkansas:

Average offered interest rate: 4.92%

Average APR: 5.06%

Average down payment: $17,171

Average offered loan amount: $198,300

Average LTV: 77%

Median Spread (4 Offers): 0.44%

Median Spread (5 Offers): 0.55%

Iowa:

Average offered interest rate: 4.93%

Average APR: 5.04%

Average down payment: $26,746

Average offered loan amount: $203,700

Average LTV: 77%

Median Spread (4 Offers): 0.46%

Median Spread (5 Offers): 0.53%

New York:

Average offered interest rate: 4.96%

Average APR: 5.07%

Average down payment: $43,404

Average offered loan amount: $260,163

Average LTV: 71%

Median Spread (4 Offers): 0.37%

Median Spread (5 Offers): 0.53%

How to shop smarter

As our data shows, the homebuying process can change significantly depending on where a person lives. As a result, people who are looking for a home and who aren’t married to living in a specific area might want to consider moving to a different part of the country.

Short of moving to a different state, there are numerous other strategies that potential buyers can use to help them along the homebuying process. Chief among these strategies is shopping around for a loan before settling on one. By shopping around, a potential buyer can make sure that they find the best loan that suits their needs. Beyond comparing, potential buyers can also focus on improving their credit score or paying down other debts in order to help improve their chances of getting approved for a mortgage loan.

Methodology

The data used to conduct this study was derived from more than 280,000 mortgage shoppers who entered their information on LendingTree.com over the past 30 days.

These shoppers input loan variables including the proposed amount and down payment, property variables including property type and location and personal information including income. LendingTree transmits this data, including a soft credit inquiry, to lenders who evaluate the borrower against their lending parameters in their pricing engines. Interested lenders return a rate and fee offer.

To find the median spread between APR offers, we combine the rate and fees into an APR and calculate the spread by taking the difference between the highest and lowest offers. We repeat this calculation across 30-year loans that week and then find the median of the individual spread. For the purposes of this study, we combined purchase and refinance loan requests in a single population.

 


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