The average mortgage rate in Iowa is currently 3.32% for the 30-year fixed loan term.
Here are the interest rates offered to Iowa residents looking to buy or refinance a home as of 03/07/2023:
- 30-year fixed purchase: 3.32%
- 30-year fixed refi: 6.5%
- 15-year fixed purchase: 3.29%
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The average fixed rate on a 30-year mortgage fell slightly for the second consecutive week on the heels of high-profile bank failures that resulted in a more moderate rate hike by the Federal Reserve. Mortgage rates are highly volatile ahead of the busy spring homebuying season.
Mortgage interest rates are twice as high as they were at the beginning of 2022, which continues to have a tangible impact on mortgage affordability and consumer housing sentiment. Mortgage rates are still widely expected to fall throughout the course of 2023 but have stayed stubbornly high in the first quarter of the year. Here are the current mortgage rates, without discount points unless otherwise noted, as of March 23:
- 30-year fixed: 7% (down from 7.04% a week ago).
- 20-year fixed: 6.78% (down from 6.85% a week ago).
- 15-year fixed: 6.2% (down from 6.27% a week ago).
- 10-year fixed: 6.25% (up from 6.2% a week ago).
- 5/1 ARM: 5.71% (down from 5.78% a week ago).
- 7/1 ARM: 5.86% (down from 5.91% a week ago).
- 10/1 ARM: 6.14% (down from 6.16% a week ago).
- 30-year jumbo loans: 7.06% (down from 7.09% a week ago).
- 30-year FHA loans: 6% with 0.06 point (down from 6.15% a week ago).
- VA purchase loans: 6.21% with 0.05 point (down from 6.37% a week ago).
Iowa homebuyers can get help with down payments and closing costs from these Iowa Finance Authority (IFA) programs.
- Available to: First-time homebuyers, buyers who have not owned a primary residence in the last three years, buyers purchasing in a targeted area, or military members who did not previously use a mortgage revenue bond program. Must have a minimum credit score of 640.
- Income limits: Vary by county (see income limits).
- First-time homebuyers only?: No.
- Down payment and closing cost assistance: Borrowers can get a down payment assistance grant of up to $2,500, or a second loan for up to 5% of the home’s sale price or $5,000.
- Available to: First-time and repeat homebuyers who are purchasing a primary residence in Iowa and have a minimum 640 credit score.
- Income limits: Vary by county (see income limits).
- First-time homebuyers only?: No.
- Down payment and closing cost assistance: Borrowers can get a down payment assistance grant of up to $2,500, or a second loan for up to 5% of the home’s sale price or $5,000.
U.S. News selects the Best Loan Companies by evaluating affordability, borrower eligibility criteria and customer service. Those with the highest overall scores are considered the best lenders.
To calculate each score, we use data about the lender and its loan offerings, giving greater weight to factors that matter most to borrowers. For mortgage lenders, we take into account each company’s customer service ratings, interest rates, loan product availability, minimum down payment, minimum FICO score and online features.
The weight each scoring factor receives is based on a nationwide survey on what borrowers look for in a lender.
To receive a rating, lenders must offer qualifying loans nationwide and have a good reputation within the industry. Read more about our methodology.
To recap, here are the picks:
