Current Delaware Mortgage and Refinance Rates

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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.
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Current 30 year-fixed mortgage rates are averaging: 7.03% Current average rates are calculated using all conditional loan offers presented to consumers nationwide by LendingTree’s network partners over the past seven days 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.

Current 15-year fixed mortgage rates are averaging: 6.26% Current average rates are calculated using all conditional loan offers presented to consumers nationwide by LendingTree’s network partners over the past seven days 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 DE mortgage rates today

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  Refinance rates in Delaware

  • Rate-and-term refinances change either your current interest rate or loan term (or both). If you’re interested in reducing your monthly mortgage payment, you can lengthen your loan term or lower your interest rate. In Delaware today, refinance rates are often higher than purchase mortgage rates.
  • Cash-out refinances combine a standard refinance loan with a lump sum of cash that’s secured by your home equity. The additional cash means that these loans will almost always come with higher rates than rate-and-term refinances.
  • Conventional refinances are defined by the fact that they’re not part of a government loan program. You can expect them to come with higher rates than government-backed refinances.
  • FHA refinances are insured by the Federal Housing Administration (FHA), and FHA loan rates are typically lower than conventional refinance rates. Judging by current average rates, Delawareans may see a fairly large difference of around 1.23 percentage points.
  • VA refinances are backed by the U.S. Department of Veterans Affairs (VA) and usually come with very flexible VA loan requirements as well as low VA loan rates.

Current 30 year-fixed mortgage refinance rates are averaging: 7.24% Current average rates are calculated using all conditional loan offers presented to consumers nationwide by LendingTree’s network partners over the past seven days 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.

The current average rate for a 15-year fixed mortgage refinance is: 6.59% Current average rates are calculated using all conditional loan offers presented to consumers nationwide by LendingTree’s network partners over the past seven days 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.

Calculator See whether refinancing makes sense for you using our mortgage refinance calculator.

  What is the current mortgage rates forecast for 2024?

Potential homebuyers who waited patiently through 2023’s mostly rising interest rates will be glad to hear that our senior economist Jacob Channel doesn’t expect rates to continue that same trajectory throughout 2024. The current mortgage rates forecast is for rates to spend most of the year between 6% and 7%, and end the year closer to the low end of that range.

No matter what rates do, however, homebuyers will almost certainly still have to deal with very high home prices. The housing affordability crisis won’t be solved in a single year, but if rates drop low enough to entice existing homebuyers to sell, it could help matters. The market is in dire need of housing stock, so adding to the housing supply could help move the needle in the right direction.

How do I get the best mortgage rate for my Delaware 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. Don’t underestimate how important your credit score is to lenders — it’s one of the most influential factors determining the mortgage rates they offer you. The higher your score, the more likely you are to get low rate offers.
  2. Lower your debt-to-income (DTI) ratio. Your DTI ratio is another number that’s crucial to lenders, which they use to evaluate your debt load and how much house you can afford. If you can lower your DTI ratio — for example by increasing your income, paying off some debts or getting a cosigner — you’ll usually see lower rate offers.
  3. Buy a single-family, site-built home. Borrowers who avoid buying a manufactured home, a property with more than one unit, a vacation home or an investment property typically get the lowest interest rates.
  4. Pay for mortgage points. If you opt to pay for mortgage points, you can reduce your interest rate enough to save a significant amount of money over the life of your loan. However, before you commit to points, you should compare this strategy to simply putting that extra money toward reducing your principal balance.
  5. Compare offers from multiple lenders. Borrowers who gather loan estimates from three to five lenders save money without having to spend any extra upfront. Simply comparing your loan estimates and choosing the one with the lowest rate can save you thousands of dollars, according to LendingTree data.
  Read more about our picks for the best mortgage lenders.
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Key question When should I lock in my mortgage rate?

Once you’ve found a house you want to buy and a lender has approved you for a loan, you can request a mortgage rate lock. The lock is only good for a set amount of time, and only applies to that specific home. But what it does is essential — by keeping your interest rate safe and “locked in,” it gives you a window of time in which you can reach the closing table without worrying about what the market is doing.

2024 Delaware home loan programs

Welcome Home

First-time homebuyers who qualify for a 30-year conventional, FHA, VA or USDA loan through this program from the Delaware State Housing Authority (DSHA) can receive a below-market interest rate. The loans can also be combined with one of DSHA’s several down payment assistance programs, which we’ll cover below.

 Who qualifies?

Borrowers must:

 Have a minimum 620 credit score

 Earn within the program’s income limits, which range from $97,700 to $156,240 depending on your location and household size

 Purchase a home within the program’s limits, which are:

  • $481,176 in Kent and Sussex counties
  • $539,250 in New Castle County

 Who qualifies as a first-time homebuyer?

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

Home Again

If you’re a repeat buyer, or your income is too high to qualify for the Welcome Home program, Home Again may be right for you.

 Who qualifies?

Borrowers must:

 Have a minimum 620 credit score

 Earn within the program’s income limits, which range from $117,240 to $171,240 depending on your location and household size

 Purchase a home within the program’s limits, which are:

  • $481,176 in Kent and Sussex counties
  • $539,250 in New Castle county

 Complete a credit counseling course if their credit score is between 620 and 659

Home Sweet Home down payment assistance

Home Sweet Home is one of DSHA’s down payment assistance programs, and can be used with either a Welcome Home or Home Again loan. The program provides $12,000 for a down payment or closing costs and is forgivable. In other words, you won’t have to pay the money back as long as you stay in the home for 10 years.

 Who qualifies?

Borrowers must:

 Purchase a home for no more than $285,000
 Use the program in conjunction with a DSHA purchase mortgage loan

First State down payment assistance

This is the other major down payment assistance program DSHA offers. Instead of qualifying for a flat amount, borrowers can qualify for up to 3% of their mortgage amount in assistance funds. In some cases, that means you may qualify for more money than you could with the Home Sweet Home program. However, you’ll have to make monthly interest payments and, ultimately, repay the loan if you move out of the home, refinance it or sell it.

 Who qualifies?

Borrowers must:

 Use the program in conjunction with a DSHA purchase mortgage loan

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Learn about different types of DE mortgage loans

 Delaware conventional loans. You’re probably familiar with conventional loans — they’re a standard choice for homebuyers with good credit. You’ll need at least a 620 score to meet the minimum requirements set by Fannie Mae and Freddie Mac.

 Delaware FHA loans. FHA loan requirements give more leeway to borrowers than conventional loan requirements do. It’s possible to qualify with a score as low as 500, but you’ll need to make a 10% down payment. If your score is 580 or above, however, you can put down as little as 3.5%.

  Delaware VA loans. VA loan requirements don’t come with a universal minimum credit score, which means that — unlike with conventional or FHA loans — you can shop around to find a lender whose credit score guidelines meet your needs. VA loans are only available to military borrowers with a qualified service history.

  Delaware streamline refinances can be a very convenient option for borrowers looking to refinance from an FHA loan into an FHA loan, or from a VA loan into a VA loan. Depending on your current loan, you’ll use an FHA streamline refinance loan or VA interest rate reduction refinance loan (IRRRL). They’re known as “streamline” refinances because they don’t require as much documentation or time to complete as most standard refinances.

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