
Sign up & start saving!
Get our weekly newsletter for the latest in money news, credit card offers + more ways to save
Finder is committed to editorial independence. While we receive compensation when you click links to partners, they do not influence our content.
Updated
As mortgage rates fall to record lows in the wake of COVID-19, our partners are seeing an increase in demand for loans and refinancing. As they work through this influx of applications, you may see rates that are higher than expected — or no rates at all. We recommend comparing offers from multiple lenders to ensure you're getting the best deal possible.
The Wolverine State’s 30-year loans average 4.846%. And its rates are expected to come in at or above 4% in 2020.
In 2018, 30-year mortgage rates in Michigan range from 4.752% to 4.995%. Lenders consider various criteria when calculating your mortgage rate, such as the length of the loan. Mortgages that last 15 years usually have lower rates than their 30-year loans.
Loan type | 15-year average rate | 30-year average rate |
---|---|---|
Conventional | 4.695% | 4.802% |
FHA | 4.239% | 4.955% |
VA | 4.016% | 4.752% |
USDA | Not available | 4.875% |
Based on data from ffiec.cfpb.gov.
For example, a $145,000 conventional mortgage with a 30-year loan term might cost you about $760 in monthly loan payments, excluding taxes and fees specific to your home loan. But, if you chose a 15-year mortgage, your payments might cost $1,123 every month.
Even though the 15-year mortgage has higher monthly payments, you could save $71,664 in interest payments over the life of the loan.
Average mortgage rates in Michigan will likely stay around the 4% mark in 2020.
Interest rates in Michigan historically came in below average from the rest of the country between 2011 and 2016. Average mortgage rates surpassed the national average in 2017 and 2018.
Since housing authorities are calling for US 30-year mortgage rates to average between 3.55% and 3.90%, Michigan rates should be slightly higher and average about 4% in the upcoming year.
Where your home is located can play a part in your interest rate — affecting your monthly payment. Certain metropolitan areas have higher mortgage rates and loan amounts, and cost more to live in.
We examined the data from the Home Mortgage Disclosure Act and estimated what you might pay on the average 30-year mortgage in distinct metropolitan areas throughout Michigan.
Metropolitan statistical area (MSA) | Average mortgage rate | Median loan amount | Estimated monthly cost |
---|---|---|---|
Ann Arbor | 4.695% | $235,000 | $1,220 |
Battle Creek | 4.923% | $115,000 | $610 |
Bay City | 4.956% | $85,000 | $450 |
Detroit-Warren-Dearborn | 4.863% | $145,000 | $770 |
Flint | 4.891% | $135,000 | $720 |
Grand Rapids-Kentwood | 4.786% | $175,000 | $920 |
Jackson | 4.861% | $135,000 | $710 |
Kalamazoo-Portage | 4.846% | $155,000 | $820 |
Lansing-East Lansing | 4.810% | $135,000 | $710 |
Midland | 4.923% | $135,000 | $720 |
Monroe | 4.860% | $165,000 | $870 |
Muskegon | 4.877% | $125,000 | $660 |
Niles | 4.866% | $155,000 | $820 |
Saginaw | 4.884% | $115,000 | $610 |
South Bend MSA (Cass County, MI) | 4.852% | $145,000 | $770 |
Detroit-Warren-Dearborn | 4.808% | $185,000 | $970 |
Based on data from ffiec.cfpb.gov.
These estimated amounts do not account for any taxes or fees specific to your mortgage.
Give yourself a better shot at securing a more competitive mortgage rate by following these tips.
Even though mortgage rates in Michigan have recently risen above the national average, each lender sets its own rates. One way to ensure you are getting the best rate possible is to compare home loans and lenders.
The first Americans who put their mortgage into forbearance in 2020 may be just a few months away from the end of that relief. Here’s what you need to know if you’re one of them.
Biden took office on Wednesday, but interest rates didn’t seem to take much note. Here’s the outlook for the year ahead.
Compare 6 lenders to find one that’s a good fit for your needs.
Industry experts predict mortgage rates will move past 3% this year, but that doesn’t mean refinancing is off the table.
Is it time to refinance your FHA to a conventional loan?
See average EV insurance rates for 2021 based on Finder’s car model research, plus new models on the horizon.
You only have until the end of March to get your next application in.
Smart strategies that homeowners can use to get rid of Private Mortgage Insurance (PMI).
We take a look at national home loan data & trends and speculate where the mortgage market is heading.
You need to be a member to access this credit union’s high interest rate options.