California Mortgage Rates
Today’s Mortgage Rates In California
Historical California Interest Rates
| Year | Average 30-Year Fixed Rate | Annual Percentage Rate (APR) |
|---|---|---|
| 2000 | 30-Year Fixed Rate = 7.84% | APR = 7.96% |
| 2001 | 30-Year Fixed Rate = 6.97% | APR = 7.09% |
| 2002 | 30-Year Fixed Rate = 6.54% | APR = 6.67% |
| 2003 | 30-Year Fixed Rate = 5.83% | APR = 5.97% |
| 2004 | 30-Year Fixed Rate = 5.84% | APR = 5.97% |
| 2005 | 30-Year Fixed Rate = 5.87% | APR = 6.00% |
| 2006 | 30-Year Fixed Rate = 6.41% | APR = 6.55% |
| 2007 | 30-Year Fixed Rate = 6.34% | APR = 6.48% |
| 2008 | 30-Year Fixed Rate = 6.03% | APR = 6.17% |
| 2009 | 30-Year Fixed Rate = 5.04% | APR = 5.18% |
| 2010 | 30-Year Fixed Rate = 4.69% | APR = 4.82% |
| 2011 | 30-Year Fixed Rate = 4.45% | APR = 4.58% |
| 2012 | 30-Year Fixed Rate = 3.66% | APR = 3.79% |
| 2013 | 30-Year Fixed Rate = 3.98% | APR = 4.12% |
| 2014 | 30-Year Fixed Rate = 4.17% | APR = 4.31% |
| 2015 | 30-Year Fixed Rate = 3.85% | APR = 3.98% |
| 2016 | 30-Year Fixed Rate = 3.65% | APR = 3.78% |
| 2017 | 30-Year Fixed Rate = 3.99% | APR = 4.13% |
| 2018 | 30-Year Fixed Rate = 4.54% | APR = 4.68% |
| 2019 | 30-Year Fixed Rate = 3.94% | APR = 4.07% |
| 2020 | 30-Year Fixed Rate = 3.11% | APR = 3.24% |
| 2021 | 30-Year Fixed Rate = 2.88% | APR = 3.00% |
California Mortgage FAQS
What are conforming loans?
Conforming loans are mortgages that meet Freddie Mac and Fannie Mae underwriting guidelines. Conforming mortgage lenders underwrite and fund the loans and then sell them to investors like Freddie Mac and Fannie Mae.
What is a private mortgage insurance?
Private Mortgage Insurance (PMI) is a type of insurance that borrowers may be required to obtain when purchasing a home with a down payment that is less than 20% of the purchase price. PMI protects the lender in case the borrower defaults on the mortgage loan.
What are the different types of California home loans?
- Conventional Loans: These are traditional mortgages offered by a credit union, private lenders or banks, and are not insured or guaranteed by the government.
- FHA Loan: Insured by the Federal Housing Administration, these FHA loans are designed to help low-to-moderate income borrowers and require a lower down payment compared to conventional loans.
- VA Loans: Available to eligible veterans, active-duty service members, and surviving spouses, these loans are guaranteed by the U.S. Department of Veterans Affairs and offer favorable terms, including no down payment.
- USDA Loans: Offered by the U.S. Department of Agriculture, these loans are designed to promote rural development and offer low to no down payment options for eligible borrowers.
- Jumbo Loans: jumbo loans are non-conforming loans that exceed the maximum loan limits set by Fannie Mae and Freddie Mac, typically used for high-priced properties.
- Fixed Rate Mortgage: With this type of loan, the interest rate remains the same throughout the loan term, providing stability in monthly payments.
- Adjustable-Rate Mortgages Loans (ARMs): These loans have a fixed interest rate for an initial period, after which the rate adjusts periodically based on market conditions.
- Interest-Only Loans: With this type of loan, borrowers only pay interest for a set period, typically 5-10 years, after which they start making principal and interest payments.
- Reverse Mortgages: Designed for homeowners aged 62 and older, reverse mortgages allow borrowers to convert a portion of their home equity into loan proceeds, which are typically not required to be repaid until the homeowner sells the home or passes away.
- Home Equity Loan: allows homeowners to borrow money using the equity they have built up in their home as collateral. Home equity line of credit loan rates are higher than conventional mortgage and refinance rates rates.
What does PITI mean?
“PITI” is an acronym that stands for Principal, Interest, Taxes, and Insurance. It is commonly used in the context of mortgages to refer to the total monthly payment a borrower needs to make, including these four components.
- Principal: This is the portion of the monthly payment that goes towards paying down the original loan amount.
- Interest: This is the cost of borrowing money from the lender, calculated as a percentage of the remaining loan balance.
- Taxes: This refers to property taxes that borrowers are required to pay as a homeowner. The lender may collect these funds as part of the monthly mortgage payment and then distribute them to the appropriate tax authority.
- Insurance Fee: Mortgage lenders typically require borrowers to have homeowner’s insurance to protect their investment. The cost of home insurance is also included in the monthly payment.
By considering all of these components, lenders can ensure that borrowers are able to afford not only the principal and interest but also the taxes and insurance associated with homeownership.
California Mortgage Interest & Total Payments Breakdown
| Interest Rate | Loan Value | Interest Paid | Total Payments |
|---|---|---|---|
| 6% Interest Rate | $200,000 | Interest: $231,676.38 | Total: $584,676.38 |
| 6% Interest Rate | $300,000 | Interest: $347,514.57 | Total: $800,514.57 |
| 6% Interest Rate | $400,000 | Interest: $463,352.76 | Total: $1,039,519.42 |
| 6% Interest Rate | $500,000 | Interest: $579,190.95 | Total: $1,275,315.95 |
| 6% Interest Rate | $600,000 | Interest: $695,029.13 | Total: $1,508,529.13 |
| 6% Interest Rate | $700,000 | Interest: $810,867.32 | Total: $1,740,575.66 |
| 6% Interest Rate | $800,000 | Interest: $926,705.51 | Total: $1,972,372.18 |
| 6% Interest Rate | $900,000 | Interest: $1,042,543.70 | Total: $2,203,918.70 |
| 6% Interest Rate | $1,000,000 | Interest: $1,158,381.89 | Total: $2,435,131.89 |
| 6% Interest Rate | $2,000,000 | Interest: $2,316,763.78 | Total: $4,745,597.11 |