Idaho Mortgage and Refinance Rates

Current mortgage rates in Idaho

As of Sunday, October 1, 2023, current mortgage interest rates in Idaho are 7.82% for a 30-year fixed mortgage and 6.93% for a 15-year fixed mortgage.

While mortgage rates are higher today than in recent years, they’re in line with the historic average. If you’re buying a house in Idaho, know that the market is still competitive, but has shown signs of cooling. Before buying or refinancing, compare at least three mortgage offers.

Refinance rates in Idaho

Mortgage rates rose in 2022 and are again nearing the peak seen late last year. Still, if you’re remodeling your home or need funds for another purpose, a cash-out refinance might be an option for you. You might also explore a home equity line of credit (HELOC).

How to find the best mortgage rate in Idaho for you

Compare rate quotes from at least three different mortgage lenders, looking at both the APR and interest rate (APRs include points and fees).

As you hunt for a good rate, you might see some variations based on location. For example, rates in Southeast Boise might be different than rates in Coeur d'Alene.

Mortgage options in Idaho

If you’re looking for a mortgage in Idaho, consider these options:

• Idaho conventional mortgages: For a conventional mortgage in Idaho, you’ll generally need a debt-to-income (DTI) ratio of no more than 45 percent and a credit score of at least 620. The minimum down payment is typically 3 percent (at that level, you’ll need to pay private mortgage insurance, or PMI, premiums, as well).
• Idaho FHA loans: If you have a lower credit score, a loan insured by the Federal Housing Administration (FHA) might be a better option. You can get an FHA loan with a credit score of 580 and a down payment of 3.5 percent.
• Idaho VA loans: If you’re a qualifying veteran, an active-duty member of the military or a surviving spouse, you can get a mortgage guaranteed by the Department of Veterans Affairs (VA). VA loans don't require a down payment or mortgage insurance, but you do need to pay a funding fee.
• Idaho USDA loans: Since Idaho is largely a rural state, there are a lot of properties eligible for loans backed by the United States Department of Agriculture (USDA). Like VA loans, USDA loans don’t require a down payment. However, you’ll need to meet area-specific income requirements.

First-time homebuyer programs in Idaho

Idaho Housing, the state’s housing finance authority, offers many programs to assist with buying a home, including loans with low mortgage rates or low or no mortgage insurance; a tax credit; and down payment and closing costs assistance. The latter includes:

• Second mortgage: Along with an Idaho Housing first mortgage to buy your home, you can apply for a second mortgage of up to 7 percent of the home’s sale price to pay for some of the down payment or closing costs. To qualify, your income can’t exceed $150,000 a year. You’ll also need a credit score of at least 620, but lower scores are acceptable with an automated approval. In addition, you’ll need to complete a homebuyer education course and pay at least 0.5 percent of the home purchase price yourself.
• Forgivable loan: With this loan, you could receive up to 3.5 percent of your home’s purchase price, which will be forgiven over 10 years. You don’t need to be a first-time homebuyer to qualify, but you’ll need to take a homebuyer education class and pay at least 0.5 percent of the price yourself.

Additional Idaho mortgage resources

• Idaho first-time homebuyer resources
• Idaho loan limits by county
• Idaho mortgage lenders
• How to buy a house in Idaho