Alabama Mortgage Rates

July 6, 2015 04:03 PM Eastern

Refinance rates now in BIRMINGHAM, AL [Change this]

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Home Price (Purchase)
When you get a mortgage to purchase a home, the lender uses the lower of the agreed-upon purchase price or the property's appraised value to determine your maximum loan amount. The loan amount divided by the property home price equals your loan-to-value ratio, or LTV. That ratio is one of the major factors that lenders use to set your mortgage rate. If your LTV exceeds 80 percent, you'll probably be required to pay mortgage insurance, which increases your monthly payment. If the property appraises for less than the agreed-on purchase price, you are not usually required to complete the purchase.
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Home Value (Refinance)
This is your estimate of the current value of your property. When you refinance, your home is almost always evaluated by a licensed appraiser. The refinance loan amount divided by the property's appraised value equals your loan-to-value ratio (LTV), and that number is one of the major factors that determine your mortgage rate. To get an accurate refinance rate quote, your home value estimate must be reasonably accurate.
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Down Payment
The down payment is the amount you pay upfront when you finance property. Your purchase price minus your down payment equals your mortgage amount. The higher your down payment, the more likely you are to be approved for a home loan. If your down payment is less than 20 percent of the purchase price, you'll probably be required to pay for mortgage insurance, which increases your monthly payment.
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Credit Score
Your credit score is a number designed to measure your credit-worthiness. It's based on a formula that combines many factors, including your payment history, amount of credit used and number of accounts. This number is used by lenders to calculate the probability that you'll default on your mortgage. Most lenders won't approve mortgages to applicants with credit scores lower than 620. Your credit score is one of the most important factors that determines your mortgage rate - applicants with higher scores are offered better mortgage rates.

FHA 30 Year Fixed Rates as low as

Interest Rate
3.250%
APR
4.232%
Monthly Payment
$1,005
National Bank of Kansas City
Interest Rate
3.250%
APR
4.232%
Monthly Payment
$1,005
(866) 547-2779 Contact
National Bank of Kansas City
Email Lender

Offer Details

Home Value $250,000
Requested Loan Amount $200,000
Lock Period 30 Days
Down Payment $50,000
Principal and Interest Payments $871
Estimated Mortgage Insurance Payments $134
Total Monthly Mortgage Payment $1,005
Lender Fees $6,490
Lender Credit $0
Total Closing Fees* $6,490
*Other 3rd party fees may apply
National Bank of Kansas City
Email Lender

About the Lender

NMLS 409631

National Bank of Kansas City is a FDIC insured national bank and an approved Fannie Mae/Freddie Mac lender. We have been assisting homeowners finance their homes since 1988 and lending on the Internet since 1995. With hundreds of different mortgage and home equity programs, we are sure to have one to help you meet your financial goals.

National Bank of Kansas City offers the lowest possible rates on loans with ultra-low closing costs and never any "miscellaneous" hidden expenses. It's an old formula, but it works. We work on a high volume of mortgage loans with low overhead. By centralizing our operations and utilizing the latest technology, we can cut your costs significantly. Furthermore, as a direct lender, we approve and fund all our loans, thereby eliminating the broker or "middleman". As a result, you take advantage of great rates and service at a big cost savings.

National Bank of Kansas City
Email Lender Write a Review

Lender Reviews

Excellent customer Service

Yes, I recommend this lender

I worked with Donna and she was so knowledgeable and easily accessible for questions. I highly recommend this bank for mortgages, The rates were good the costs excellent and the customer service and accessibility were far superior to any other lenders I contacted.

By: JoAnn (Henderson NV)

Great Loan Experience

Yes, I recommend this lender

Allen Mische handled my loan request and made it the easiest mortgage loan experience I have every dealt with. I am glad I chose National Bank of Kansan City to handle my mortgage needs and highly recommend this bank to any Veteran looking to do a VA loan. I absolutely got the best rate and service anyone could expect.

By: JeffA (Jacksonville, FL)

Best VA lender out there

Yes, I recommend this lender

With only five weeks to close a deal, NBKC and Travis Smith made it happen with room to spare on a VA loan. Best rates out there.

By: Andy (Connecticut)
See All Reviews
Aimloan.com
Be the first to write a review.
NMLS: 2890
Interest Rate
3.625%
APR
3.873%
Monthly Payment
$912
(877) 711-0639 Contact
Aimloan.com
Email Lender

Offer Details

Home Value $250,000
Requested Loan Amount $200,000
Lock Period 30 Days
Down Payment $50,000
Principal and Interest Payments $912
Estimated Mortgage Insurance Payments $0
Total Monthly Mortgage Payment $912
Lender Fees $6,478
Lender Credit $1,802
Total Closing Fees* $4,676
*Other 3rd party fees may apply
Aimloan.com
Email Lender

About the Lender

Internet Direct Lender Since 1998* Over $16 Billion Funded *Fannie Mae and Freddie Mac Approved * View Rates & GFE Online 24/4, Apply & Lock Rate Online 24/7.

One of only 7 Certified UpFront Lenders!

15YearFixed Rates as low as

Interest Rate
2.875%
APR
3.019%
Monthly Payment
$1,369
Aimloan.com
Be the first to write a review.
NMLS: 2890
Interest Rate
2.875%
APR
3.019%
Monthly Payment
$1,369
(877) 711-0639 Contact
Aimloan.com
Email Lender

Offer Details

Home Value $250,000
Requested Loan Amount $200,000
Lock Period 30 Days
Down Payment $50,000
Principal and Interest Payments $1,369
Estimated Mortgage Insurance Payments $0
Total Monthly Mortgage Payment $1,369
Lender Fees $2,478
Lender Credit $0
Total Closing Fees* $2,478
*Other 3rd party fees may apply
Aimloan.com
Email Lender

About the Lender

Internet Direct Lender Since 1998* Over $16 Billion Funded *Fannie Mae and Freddie Mac Approved * View Rates & GFE Online 24/4, Apply & Lock Rate Online 24/7.

One of only 7 Certified UpFront Lenders!

5YearARM Rates as low as

Interest Rate
2.125%
APR
2.955%
Monthly Payment
$752
Aimloan.com
Be the first to write a review.
NMLS: 2890
Interest Rate
2.125%
APR
2.955%
Monthly Payment
$752
(877) 711-0639 Contact
Aimloan.com
Email Lender

Offer Details

Home Value $250,000
Requested Loan Amount $200,000
Lock Period 30 Days
Down Payment $50,000
Principal and Interest Payments $752
Estimated Mortgage Insurance Payments $0
Total Monthly Mortgage Payment $752
Lender Fees $6,478
Lender Credit $1,078
Total Closing Fees* $5,400
*Other 3rd party fees may apply
Aimloan.com
Email Lender

About the Lender

Internet Direct Lender Since 1998* Over $16 Billion Funded *Fannie Mae and Freddie Mac Approved * View Rates & GFE Online 24/4, Apply & Lock Rate Online 24/7.

One of only 7 Certified UpFront Lenders!
National Bank of Kansas City
Interest Rate
2.500%
APR
3.329%
Monthly Payment
$925
(866) 547-2779 Contact
National Bank of Kansas City
Email Lender

Offer Details

Home Value $250,000
Requested Loan Amount $200,000
Lock Period 30 Days
Down Payment $50,000
Principal and Interest Payments $791
Estimated Mortgage Insurance Payments $134
Total Monthly Mortgage Payment $925
Lender Fees $6,475
Lender Credit $0
Total Closing Fees* $6,475
*Other 3rd party fees may apply
National Bank of Kansas City
Email Lender

About the Lender

NMLS 409631

National Bank of Kansas City is a FDIC insured national bank and an approved Fannie Mae/Freddie Mac lender. We have been assisting homeowners finance their homes since 1988 and lending on the Internet since 1995. With hundreds of different mortgage and home equity programs, we are sure to have one to help you meet your financial goals.

National Bank of Kansas City offers the lowest possible rates on loans with ultra-low closing costs and never any "miscellaneous" hidden expenses. It's an old formula, but it works. We work on a high volume of mortgage loans with low overhead. By centralizing our operations and utilizing the latest technology, we can cut your costs significantly. Furthermore, as a direct lender, we approve and fund all our loans, thereby eliminating the broker or "middleman". As a result, you take advantage of great rates and service at a big cost savings.

National Bank of Kansas City
Email Lender Write a Review

Lender Reviews

Excellent customer Service

Yes, I recommend this lender

I worked with Donna and she was so knowledgeable and easily accessible for questions. I highly recommend this bank for mortgages, The rates were good the costs excellent and the customer service and accessibility were far superior to any other lenders I contacted.

By: JoAnn (Henderson NV)

Great Loan Experience

Yes, I recommend this lender

Allen Mische handled my loan request and made it the easiest mortgage loan experience I have every dealt with. I am glad I chose National Bank of Kansan City to handle my mortgage needs and highly recommend this bank to any Veteran looking to do a VA loan. I absolutely got the best rate and service anyone could expect.

By: JeffA (Jacksonville, FL)

Best VA lender out there

Yes, I recommend this lender

With only five weeks to close a deal, NBKC and Travis Smith made it happen with room to spare on a VA loan. Best rates out there.

By: Andy (Connecticut)
See All Reviews
Mortgage rate quotes displayed on LendingTree LoanExplorer℠, including loan pricing data, rates and fees, are provided by third party data providers including, but not limited to, Mortech®, a registered trademark of Zillow®, LoanXEngine, a product of Mortgage Builder Software, Inc., and LoanTek, Inc.

Mortgage Rate Trends

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If you’re looking for an Alabama mortgage, you’ve come to the right place! On this page, you’ll find local mortgage interest rates, Alabama-specific home buying and  mortgage information and useful links.

Alabama Mortgage Rates

Mortgage interest rates vary between states because of local economies, the amount of competition between lenders, and laws that affect lenders’ costs.

Alabama’s mortgage lenders are regulated by the State of Alabama Banking Department.

Buying a Home in Alabama

Alabama’s housing market is fairly stable but soft. Alabama homes are expected to appreciate by -2.46% to 1.83% in 2013. The housing market is considered  very affordable in Birmingham, Alabama’s largest city. With a median sales price of $130,000 and median household income of $57,100, nearly 83 percent of homes in Alabama are affordable to those earning the median income.

Home closing costs in Alabama are lower than average. Nationwide, the average closing costs for a $200,000 mortgage are $2,402. Alabama’s are $2,348, which  ranks it 33rd in the US.

Several agencies and programs provide homeownership assistance in Alabama. You can link to them from here.

  • Affordable Housing Programs
  • Housing Finance Authority   - low interest loans and down-payment assistance to low and moderate-income homebuyers.
  • Habitat for Humanity  - Habitat affiliates bring homeownership to very low income families.
  • USDA Rural Development  - programs that reduce the cost of homeownership for low and moderate-income families.

Alabama FHA Mortgages

FHA mortgage limits in Alabama are $271,050 for single family homes in all counties except in Daphne-Fairhope where the limit is higher, $285,000. Find FHA  home loans by comparing quotes from HUD-approved FHA mortgage lenders.

VA Home Loans in Alabama

VA mortgage amounts are not limited by program guidelines. However, most lenders cap 100 percent financing at four times the amount of your VA guaranty. In  all Alabama locations, that maximum amount is $417,000.