Montana Mortgage and Refinance Rates

Written by

On Thursday, June 01, 2023, the national average 30-year fixed mortgage APR is 7.15%. The national average 30-year fixed refinance APR is 7.21%, according to Bankrate's latest survey of the nation's largest mortgage lenders.

Bankrate has offers for Montana mortgage and refinances from top partners that are well below the national average. Compare, apply, and start saving today.

At Bankrate we strive to help you make smarter financial decisions. While we adhere to strict editorial integrity, this post may contain references to products from our partners. Here's an explanation for how we make money.

Montana mortgage overview
First-time homebuyer programs in Montana
Montana mortgage refinancing

About our Mortgage Rate Tables: The above mortgage loan information is provided to, or obtained by, Bankrate. Some lenders provide their mortgage loan terms to Bankrate for advertising purposes and Bankrate receives compensation from those advertisers (our "Advertisers"). Other lenders' terms are gathered by Bankrate through its own research of available mortgage loan terms and that information is displayed in our rate table for applicable criteria. In the above table, an Advertiser listing can be identified and distinguished from other listings because it includes a "Next" button that can be used to click-through to the Advertiser's own website or a phone number for the Advertiser.

Availability of Advertised Terms: Each Advertiser is responsible for the accuracy and availability of its own advertised terms. Bankrate cannot guaranty the accuracy or availability of any loan term shown above. However, Bankrate attempts to verify the accuracy and availability of the advertised terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. Click here for rate criteria by loan product.

Loan Terms for Bankrate.com Customers: Advertisers may have different loan terms on their own website from those advertised through Bankrate.com. To receive the Bankrate.com rate, you must identify yourself to the Advertiser as a Bankrate.com customer. This will typically be done by phone so you should look for the Advertisers phone number when you click-through to their website. In addition, credit unions may require membership.

Loans Above $726,200 May Have Different Loan Terms: If you are seeking a loan for more than $726,200, lenders in certain locations may be able to provide terms that are different from those shown in the table above. You should confirm your terms with the lender for your requested loan amount.

Taxes and Insurance Excluded from Loan Terms: The loan terms (APR and Payment examples) shown above do not include amounts for taxes or insurance premiums. Your monthly payment amount will be greater if taxes and insurance premiums are included.

Consumer Satisfaction: If you have used Bankrate.com and have not received the advertised loan terms or otherwise been dissatisfied with your experience with any Advertiser, we want to hear from you. Please click here to provide your comments to Bankrate Quality Control.

Montana mortgage overview

As of Thursday, June 1, 2023, current mortgage interest rates in Montana are 7.22% for a 30-year fixed mortgage and 6.52% for a 15-year fixed mortgage.

The state of Montana has both first-time homebuyer programs and programs for current homeowners. State funding helps homebuyers with financial incentives such as down payment and closing costs assistance or a competitively lower interest rate.

First-time homebuyer programs in Montana

Montana Housing administers the state’s homeownership and rental programs, which include first-time homebuyer programs. Montana Housing also works along with NeighborWorks Montana, a nonprofit organization, to help make homeownership more affordable. The state considers a first-time homebuyer as a borrower who has not purchased a home in the past three years.

Regular Bond Program

Montana Housing’s Regular Bond Program provides 30-year, low-interest mortgages to eligible first-time homebuyers, and allows buyers to purchase a single-family home, condo or and manufactured home in the state.

The interest rates vary and are based on credit history, and borrowers must meet location-based household income and purchase price limits.

Applicants must also qualify for an FHA, VA, USDA or Section 184 first mortgage to qualify, and may be required to take a homebuyer education course, unless the borrower has a credit score of 680 or higher, a front-end debt ratio of 31 percent or less and a back-end debt ratio of 41 percent or less. All three criteria must be met to waive the homebuyer education requirement.

Down Payment Assistance Programs

Through Montana Housing’s Down Payment Assistance programs, first-time homebuyers who need help coming up with the down payment and closing costs can receive funds from the state in conjunction with a Regular Bond Program loan.

There are two down payment assistance programs available:

Bond Advantage DPA: A 15-year mortgage for up to 5 percent of the home’s sale price, up to $10,000, with low monthly payments; requires a $1,000 investment from the borrower, a minimum credit score of 620 and completion of a homebuyer education course.
MBOH Plus 0% Deferred DPA: A zero-percent interest mortgage for up to 5 percent of the home’s sale price, up to $10,000, with no monthly payments, due when the first mortgage is paid off or the home is refinanced or sold; requires a $1,000 investment from the borrower, a minimum credit score of 620, a maximum debt-to-income ratio of 45 percent and completion of a homebuyer education course; an income limit of $55,000 also applies.

80% Combined Program

Under the 80% Combined Program, homebuyers who are eligible for Montana Housing financing can apply for an alternative to an FHA-insured loan to avoid paying mortgage insurance. The homeowner will have two mortgages: an 80 percent, 30-year first mortgage, and a 20 percent second mortgage.

Montana Veterans’ Home Loan Program

The Montana Veterans’ Home Loan Program helps residents who are serving or have already served in the military or the Montana National Guard purchase their first home. The program offers a mortgage with an interest rate 1percent lower than the current market rate. There are no income or purchase price limits.

Mortgage Credit Certificate

Montana’s Mortgage Credit Certificate (MCC) is a federal tax credit that lowers the federal income tax the borrower pays. The credit applies to 20 percent of the mortgage interest, up to a maximum of $2,000, each year. Note: Borrowers with a Montana Housing loan are not eligible for the credit.

Montana mortgage refinancing

Montana Housing does not provide a mortgage refinancing program. Refinancing to a lower interest rate can help you save thousands of dollars over the life of your mortgage, and make the payments more affordable. If you’re considering a refinance, shop around for lenders and compare the terms of each loan offer to get the best possible refinance rate.