Interest Rate
4.718%
APR*
4.798%
Average home price
$254.234

If you’re planning on buying a home in Vermont, you’ll want to make sure that you are getting the best mortgage rate possible. Your mortgage rate will depend on a wide array of factors, including your income, your credit score, your debt-to-income ratio, and how much of a down payment you can plunk down.

You can help yourself get the best mortgage rate in Vermont by checking your credit before you apply for a home loan, making sure all of your documentation is in order, and getting preapproved by a reputable mortgage lender.

Here’s a quick look at current Vermont mortgage rates:

Loan Program Mortgage Rate APR* 1 Day Change
Conventional 30 year fixed 4.718% 4.798% +0.06%
Conventional 15 year fixed 3.94% 4.083% Unchanged
Conventional 5 year ARM 4.344% 3.718% Unchanged
FHA 30 year fixed 3.976% 4.735% -0.08%

Data source: ©Zillow, Inc. Use is subject to the Terms of Use

Buying a Home in Vermont

Dreaming about buying a home in Vermont? Your own cozy cottage could be waiting for you in the Green Mountain State. Here’s what you need to know:

Where in the tiny state will you find your home? Vermont is well known for its bed and breakfasts, but has a stable year round population of a little over 600,000 persons, of which roughly one in seven live in the state’s five largest (although still small) cities:

  • Burlington
  • South Burlington
  • Rutland
  • Essex Junction
  • Montpelier

How much home will you be able to afford in bucolic New England? Vermont ranks 22nd in US homes for sale at average price, and 40th for homes over $1,000,000. Getting preapproved can help you accurately review your budget before start attending open houses.

First-time Homebuyers

If you are a first-time home buyer, you may be able to qualify for assistance through a program administered by the Vermont Housing Finance Agency’s (VHFA).

The MOVE program offers the organization’s lowest interest rates, can have a low down payment requirement, and may be combined with down payment assistance as well as a $825 credit on the Vermont transfer tax.

Down payment and closing costs assistance are offered of up to $5,000 in the form of an interest-free loan, forgivable after five years if you live in the home the full time.

Borrower requirements are fairly strict, and include the following:

  • 640 to 680 minimum credit score, depending on loan
  • Maximum 45%-50%t debt-to-income (DTI) ratio, depending on loan
  • Completion of a pre-closing education course and counseling
  • Compliance with VHFA income limits
  • Must meet VHFA purchase price limits

Refinancing in Vermont

If you need to refinance a home in Vermont to take advantage of favorable Vermont mortgage rates, you can do any of the following:

  • Adjust your mortgage for a lower interest rate
  • Adjust your loan term for a lower payment
  • Access your home’s value as a cash-out equity refinance
  • Eliminate payments for unnecessary private mortgage insurance (PMI)

A streamlined refinance may be in the cards assuming you have a certain type of loan. Ask your lender for more information.

GUIDES

Buying a Home?

Each step-by-step guide is designed to shepherd you through a process from start to finish. Know what to expect and how to proceed, no matter where you are in your home buying journey.

1 The First Step in Buying a Home – Preapproval

What Is a Mortgage Preapproval? | How Much Will My Monthly Payment Be? | How Much Will My Down Payment Be? | How Long Does a Mortgage Preapproval Last? | What Is the Difference Between a Standard Preapproval and an Underwritten Preapproval?

Read More

3 How much money do I need?

How Can I Lower My Mortgage Payment? | How Can I Lower My Closing Costs? | When Do I Pay Out-Of-Pocket Costs? | What are Prepaid Items or Escrows? | What Will My Closing Costs Be?

Read More

4 The Basics of Mortgage

What Documents Need to be Updated During the Home Loan Process? | What Contingencies Do I Need? | How Important is the Closing Date? | Steps in the Loan Process | Understanding Common Mortgage Terms

Read More

5 Finding a Real Estate Agent

What Are the Top 6 Questions to Ask a Real Estate Agent? | Should I Use the Seller's Real Estate Agent? | Are Online Discount Realty Services a Good Idea? | How Much Does a Buyer's Real Estate Agent Cost? | Why Do I Need a Real Estate Agent to Buy a Home?

Read More
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