Mortgage Rates & Terms

Current New York Mortgage Interest Rates


Past 3 Months Historical Rates

Important Terms

Fixed-rate mortgage — A home loan in which the interest rate will remain the same through the life of the loan, most often 15 years or 30 years, but sometimes 10, 20, 40 and even 50 years.

Jumbo mortgage — A mortgage that exceeds the conforming limit. The single-family limit changes annually. Rates on jumbo mortgages tend be one-eighth to one-quarter of a percentage point higher than comparable conforming mortgages.

Point — Factored into the loan’s APR, a point equals 1 percent of a mortgage loan. Some lenders charge “origination points” to cover expenses of making a loan. Some borrowers pay “discount points” to reduce the loan’s interest rate.

Prepayment penalty — This is a fee charged to borrowers who pay a loan off faster than the prescribed payment schedule. Some prepayment penalties can add up to thousands of dollars, so they’re worth asking about. Many states place limits on prepayment penalties.

Private mortgage insurance, or PMI — An insurance policy that protects the lender against default on loans by providing a way for mortgage companies to recoup the costs of foreclosure. PMI is usually required if the down payment is less than 20 percent of the sale price. Home buyers pay for the coverage in monthly installments. PMI should be terminated when the home buyer has built up 20 percent equity in the property.

The information provided herein are not to be deemed legal advice and provide general information that is usually applicable to real estate transactions in New York City. Please consult with your attorney regarding the specifics of your transaction.