Oregon Mortgage and Refinance Rates

Current mortgage rates in Oregon

Mortgage interest rates have been steadily increasing for much of the year. As of Saturday, September 23, 2023, current interest rates in Oregon are 7.81% for a 30-year fixed mortgage and 6.88% for a 15-year fixed mortgage.

As of August 2023, the median single-family home price in Oregon was $496,690, according to Zillow's Home Values Index.

Refinance rates in Oregon

While today’s mortgage refinance rates are significantly higher than they were in recent years, you might still want to explore cash-out refinancing, which allows you to pull from the equity in your home in Oregon. If you’re planning renovations or have another major expense coming up, this could be a cheaper route compared to credit cards or home improvement loans.

How to find the best mortgage rate in Oregon for you

Shopping around, including with Bankrate, could help you land the best possible rate on your mortgage. As you set out to compare offers, follow these steps:

Step 1: Strengthen your credit score

Long before you start looking for a mortgage lender and applying for a loan, give your finances a checkup, and improve your standing if needed. This means pulling your >a href="https://www.bankrate.com/real-estate/what-credit-score-do-you-need-to-buy-a-house/">credit score and credit reports. You’re entitled to a free credit report from each of the three main reporting bureaus (Experian, Equifax and TransUnion), which you can get through Ma href="https://www.annualcreditreport.com/index.action">AnnualCreditReport.com.

Step 2: Determine your budget

Get a handle on how much house you can afford. One rule of thumb many buyers use to figure out their price range is the 28/36 rule. Keep in mind that a mortgage lender could qualify you for a loan over your budget, but that would leave no room for unexpected expenses.

Step 3: Know your mortgage options

There are different types of mortgages, including conventional loans with as little as 3 percent down and government-backed loans. If you’re in the market for a jumbo loan, check Oregon’s county-by-county loan limits.

Step 4: Compare rates and terms from multiple lenders

Don’t settle on the first lender you talk to. Rate-shop with different lenders — banks, credit unions, online lenders and local independents — to ensure you’re getting the best deal on rates, fees and terms.

Step 5: Get preapproved for a mortgage

Get a mortgage preapproval with three or four different lenders. This’ll help you understand exactly what loan amount you’d qualify for if you were to apply, and prepare you to make offers on homes.

Mortgage options in Oregon

Ready to buy a home in Oregon? Consider these mortgage financing options:

• Fixed-rate mortgages: Fixed-rate mortgages maintain the same interest rate over the life of your loan, which means your monthly mortgage payment always stays the same.
• Adjustable-rate mortgages: Unlike the stability of fixed-rate loans, adjustable-rate mortgages (ARMs) have interest rates that fluctuate with market conditions.
• FHA loans: Backed by the FHA, these home loans come with competitive interest rates, and help make homeownership possible for borrowers without a large down payment or pristine credit.
• VA loans: VA loans provide flexible, low-interest mortgages for members of the U.S. military (active duty and veterans) and their families.
• USDA loans: USDA loans help moderate- to low-income borrowers who meet certain income limits buy homes in rural, USDA-eligible areas.
• Jumbo loans: Jumbo mortgages are home loan products that fall outside FHFA borrowing limits. Jumbo loans are more common in higher-cost areas where home prices are often on the higher end.

First-time homebuyer programs in Oregon

The Oregon Bond Residential Loan Program, made available to participating lenders through OCHS (Oregon Housing and Community Services), offers two options for qualifying low- to moderate-income buyers:

• Cash Advantage Home Loan
• Rate Advantage Home Loan

For either program, buyers must meet income and home price limit requirements (which vary by county and household size) and complete a homeowner education class.

Cash Advantage offers low interest rates and up to 3 percent in closing cost assistance. Conventional, FHA, USDA, and VA loans are included in the program. However, you'll have to pay the required down payment for an FHA loan.

Rate Advantage offers the lowest fixed rate possible. FHA, USDA or conventional mortgages are included in the program.

Down Payment Assistance is also available via qualifying organizations throughout Oregon. Buyers can receive up to $15,000 in down payment and closing cost assistance. Requirements vary by organization, though all buyers who receive this assistance are required to take a homeownership education class.

Additional Oregon mortgage resources

• Review Oregon mortgage lenders
• Oregon first-time homebuyer assistance programs
• Buying a home in Oregon: A how-to
• Oregon housing market: Everything you need to know