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The Other Shoe Drops
This week, the focus is on how the latest tariff shocks are impacting inflation and consumer sentiment.
The release of April Consumer Price Index (CPI) data will be the main event, while the Producer Price Index (PPI) and import/export price data will play a supporting role. Together these reports will provide the first comprehensive look at price trends since new tariffs were implemented.
Of particular importance for investors will be the extent of price hikes – and whether they are isolated to import-sensitive goods like cars, clothing, and pharmaceuticals or more widespread. Though consumer prices actually fell in March, expectations are for them to rise 0.3% m/m in April. Any significant deviation from consensus expectations could lead to market volatility.
We’ll also get a look at how consumers are feeling when the University of Michigan releases preliminary consumer sentiment for the month of May. Last month sentiment fell to its lowest point since July 2022, while year-ahead inflation expectations jumped to their highest since 1981. Feelings can influence behavior, and the impact of this sentiment could eventually transform into the factual hard data that catalyzes action from investors and the Federal Reserve.
Economic and Earnings Calendar
Monday
• April Treasury Statement: This summarizes the U.S. federal government budget by tracking government revenues and expenditures.
• Fedspeak: Fed Governor Adriana Kugler will deliver a speech at the International Economic Symposium.
• Earnings: DaVita (DVA), Fox Class B (FOX), Twenty-First Century Fox Class A (FOXA), NRG Energy (NRG), Simon Property Group (SPG)
Tuesday
• April NFIB Small Business Optimism: This measures how small business owners feel about current and future economic conditions.
• April Consumer Price Index: The CPI is one of the most popular indicators for tracking consumer price trends and is a marquee release for market watchers.
Wednesday
• Weekly Mortgage Applications: Mortgage activity gives insight on demand conditions in the housing market.
• Fedspeak: San Francisco Fed President Mary Daly will participate in a fireside chat at a California Bankers Association event followed by Q&A.
• Earnings: Cisco (CSCO), STERIS (STE)
Thursday
• May Empire State Manufacturing Activity: The New York Fed’s survey of manufacturing executives in the region on business conditions and their outlook.
• April Retail Sales: This measures spending at retail stores and is a key indicator of consumer demand.
• April Producer Price Index: The PPI tracks price trends that producers face and is down significantly from its peak earlier in the cycle.
• May Philadelphia Fed Manufacturing Activity: The Philadelphia Fed’s survey of manufacturing executives in the region on business conditions and their outlook.
• April Industrial Production and Capacity Utilization: The industrial sector accounts for much of the cyclical swings in economic activity.
• May NAHB Housing Market Index: This index tracks how homebuilders feel about the current and future state of the single-family housing market.
• Weekly Jobless Claims: This high frequency labor market data gives insight into filings for unemployment benefits. Jobless claims have continued to show a labor market that remains strong despite having cooled.
• Fedspeak: Fed Chair Jerome Powell will give opening remarks at the Thomas Laubach Research Conference, which will focus on the central bank’s monetary policy review.
• April Building Permits and Housing Starts: Construction data is a leading indicator of economic activity.
• April Import/Export Price Indexes: These indexes track the changes in the prices of nonmilitary goods and services traded between the U.S. and the rest of the world.
• May New York Services Activity: The New York Fed’s survey of manufacturing executives in the region on business conditions and their outlook.
• May University of Michigan Consumer Sentiment: How consumers feel about economic conditions affect their spending habits. This survey places a particular focus on inflation and its trajectory.
• Fedspeak: San Francisco and Richmond Fed Presidents Mary Daly and Thomas Barkin will deliver commencement speeches.
• Earnings: Copart (CPRT)
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• Mortgage rates in Illinois are influenced by economic indicators and a borrower’s financial profile.
• Fixed-rate mortgages mean monthly payments stay the same. Adjustable-rate mortgages have rates that can fluctuate up or down.
• The better a buyer’s credit and the more money they can put down, the lower the interest rate.
• First-time homebuyers can tap into assistance programs for help with down payments and closing costs.
• Closing costs usually fall between 2% and 5% of the total loan amount.
Introduction to Mortgage Refinance Rates
Welcome to our comprehensive guide to mortgage rates in Chicago. If you’re buying a home in the Windy City, you’re probably also in the market for a home loan. This article is designed to help you gain a solid understanding of how Chicago mortgage rates are determined and, more importantly, how you can secure the lowest possible rate for your upcoming home purchase. Taking the time to learn could save you significant money down the line. Step one? Understand how lenders set mortgage rates in the first place.
First-time homebuyer programs usually consider anyone who hasn’t owned a home in the previous three years to be a “first-timer.” If you think you might qualify as a first-time homebuyer, you could enjoy special benefits such as lower down payment minimums, grants, and closing cost assistance.
Where Mortgage Rates Come From
Mortgage rates are influenced by a number of economic factors that fall into two big buckets: economic factors, which are beyond your control, and personal factors (that’s where you come in). Let’s break it down.
Economic Factors Influencing Mortgage Rates
• The bond market, particularly the 10-year U.S. Treasury Note, is a primary indicator of where mortgage rates are headed. When its rates rise, mortgage interest tends to head in the same direction.
• The health of the housing market plays a role too. When the housing market cools, lenders may lower rates to keep attracting customers.
• Inflation and unemployment are also important. When the economy is strong, mortgage rates tend to rise. A recession is usually accompanied by lower mortgage rates.
Borrower Factors Influencing Mortgage Rates
• Your credit score is a significant predictor of the rate you’ll be offered. The higher the score, the lower the rate you’ll likely obtain. For a conventional mortgage (one not backed by a government program), most borrowers will need a minimum credit score of 620.
• The amount of your down payment plays a role as well. Making a larger down payment can result in a lower interest rate because borrowers who have more equity in their newly purchased property are perceived as a lower default risk by the lender.
• Your debt-to-income (DTI) ratio is also important. Lenders will look at your income in relation to your monthly debts. In general, mortgage lenders like to see a DTI ratio of no more than 36%, though that is not necessarily the maximum.
Discover how your debt level may impact your mortgage.
Try SoFi’s debt-to-income calculator to calculate your DTI number.
Discover how your debt level may impact your mortgage.
Try SoFi’s debt-to-income calculator to calculate your DTI number.
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Mortgage rates are a big deal. Let’s say you’re looking at a $400,000 loan. At a 6.50% interest rate, you’d be paying $2,528 each month, and your total interest paid would be just over $510,000. But if that rate jumps to 7.00%, your monthly payment goes up to $2,661 and your total interest paid hits $558,000. Over 30 years, that’s about $48,000 in interest payments you’d be saving with the lower rate. That’s why it’s so important to get the best mortgage rate you can.
The term of your mortgage and the rate are intertwined. As you can see from the examples below — again for a $400,000 loan — a shorter term means a higher monthly payment but less interest paid overall.
The Windy City has a lot to offer, but from a financial standpoint, living here isn’t exactly a breeze. At 42% above the average cost of living in the U.S., Chicago is unlikely to be found on any lists of the best affordable places in the U.S. Food, housing, and health care costs are all noticeably higher here.
The median home sale price in Chicago is $363,000, Redfin reports. According to the Massachusetts Institute of Technology’s Living Wage Calculator, an annual living wage before taxes for a single person with no children in Chicago would be $51,752. A family of four with two working adults would need almost $122,000. When examining mortgage rates in Chicago, it’s also important to take the cost of living into account.
Should You Wait for Interest Rates to Fall?
It’s a common question, especially for those stepping into the Chicago real estate market for the first time. Whether it’s a smart move to wait for rates to drop depends as much on your personal situation as on the market as a whole. Projections from Fannie Mae suggest that the average U.S. mortgage rate will be around 6.30% by year end, with relatively little movement in 2026. Given that little change is anticipated, whether it’s time to buy might depend more on whether you need a house. Is your rental lease ending? Is your family growing? Do you want to live in a certain school district in the coming year? If so, make your move, assuming you can afford to purchase a home, and find the best mortgage rate available. If rates do take a dip in the future, you can always explore a mortgage refinance.
Chicago Mortgage Rate Trends
Historical U.S. Mortgage Rates
When you’re seeking a mortgage in Chicago, it helps to have perspective on the history of mortgage rates in the area. Average mortgage rates have risen since hitting a historic low in 2021, but they are still well below the high points of previous decades.
To gain perspective on what “high” and “low” rates have looked like over the last half-century, consider the graph below. The chart shows how Chicago’s average rate has compared to the national average in recent decades. (The Federal Housing Finance Agency stopped compiling this data after 2018.)
Year
Chicago Rate
U.S. Rate
2000
7.74
8.14
2001
6.95
7.03
2002
6.33
6.62
2003
5.49
5.83
2004
5.57
5.95
2005
5.77
6.00
2006
6.58
6.60
2007
6.58
6.44
2008
6.07
6.09
2009
5.22
5.06
2010
4.95
4.84
2011
4.90
4.66
2012
3.67
3.74
2013
3.86
3.92
2014
4.12
4.24
2015
3.86
3.91
2016
3.70
3.72
2017
4.01
4.03
2018
4.61
4.57
Source: Federal House Finance Agency
Types of Mortgages Available in Chicago, Illinois
Which type of loan you opt for can have an impact on the rate you’ll be offered and whether that rate changes over the life of the loan. These are some of the more common types of loans:
Fixed-Rate Mortgage
Fixed-rate mortgages are the bedrock of home financing. They offer the security of knowing your interest rate and monthly payment amount won’t change over the life of the loan, which could be anywhere from 10 to 40 years. If you value predictability and want to protect yourself against the risk of rising mortgage rates, a fixed-rate mortgage may be the right choice for you.
Adjustable-Rate Mortgage (ARM)
Adjustable-rate mortgages (ARMs) typically offer a lower introductory rate than fixed-rate loans, and that rate will hold steady for 5 to 7 years. But after that, the rate on your mortgage will adjust up or down depending on market factors. Homeowners who think they might sell before the introductory period ends should consider an ARM. Just be sure to weigh the potential for rate increases and how they might impact your monthly payments down the line.
FHA Loan
Backed by the Federal Housing Administration (FHA), these loans are known for their more forgiving eligibility criteria compared to conventional loans. A credit score of 580 is the threshold for a minimum 3.5% down payment, and this opens doors for a wider range of homebuyers. Those with credit scores of 500 to 580 can also get an FHA home loan, albeit with a 10% down payment. The flexible underwriting guidelines are a boon, especially if you’re buying your first home.
VA Loan
VA loans make purchasing a home budget-friendly for eligible active-duty military members, veterans, reservists, National Guard members, and surviving spouses. One of the most significant advantages of a VA loan is the potential to secure a mortgage without a down payment. Moreover, VA loans often feature lower interest rates than loans in the general marketplace.
Jumbo Loan
In most areas, and throughout Illinois, conventional mortgage loans have a 2025 cap of $806,500 for a single-family home. Jumbo loans are for borrowers whose needs exceed this limit. They often come with stricter qualification requirements for approval, including a higher credit score and a larger down payment. However, they can be a good option for those looking to purchase more expensive homes in Chicago.
Current mortgage rates by state.
Compare current home interest rates by state and find a mortgage rate that suits your financial goals.
Select a state to view current rates:
How to Get Your Best Possible Rate in Chicago
To get the best mortgage rates in Chicago, you’ll want to focus on your credit score. The higher it is, the lower the interest rate you’re likely to get. Check your credit report for inaccuracies; request a correction if you find anything wrong. And pay your monthly bills on time, of course. You can also work on paying down debts, which will lower your debt-to-income ratio (DTI) to 36% or less to make yourself a more attractive borrower.
A larger down payment can also help you get a better rate, so consider how much you can afford without compromising your emergency fund. Going through a lender’s mortgage preapproval process can help you see exactly how much a lender feels you can afford. And having that preapproval letter when you’re house-hunting will show sellers that you’re a serious buyer. Finally, you’ll also want to consider all the different type of mortgage loans and the mortgage rates being offered in Chicago.
Helpful Tools & Calculators
Online calculators are a house-hunter’s best friend. An affordability calculator can help you set your initial budget for your home search. A mortgage payment calculator can allow you to see how different rates and loan terms can affect your monthly payments and total interest paid. These are some useful calculators you’ll want to keep at hand during your search.
Using the free calculators is for informational purposes only, does not constitute an offer to receive a loan, and will not solicit a loan offer. Any payments shown depend on the accuracy of the information provided.
How to Evaluate Loan Offers in Chicago
Given that even half a percentage point can make a significant difference in the cost of your home loan, it’s important to carefully weigh offers from multiple lenders before you make a decision about your mortgage. Don’t just look at interest rates; be sure to consider the annual percentage rate (APR), which encompasses fees, closing costs, and mortgage points. Once you’ve found an offer that suits you, and if you’re concerned about potential rate hikes, you can pay a fee to the lender to lock in your rate for up to 90 days.
Chicago Mortgage Resources
Illinois offers several resources and programs tailored to assist homebuyers, particularly those stepping into the market for the first time or those with limited financial means. The Illinois Housing Development Authority (IHDA) spearheads several initiatives, such as the IHDA Access Forgivable, which pairs a 30-year fixed-rate mortgage with a forgivable second loan of up to 4% of the home’s price. The Chicago Housing Authority also offers a down payment assistance programs that provides eligible buyers with up to $20,000.
Closing Costs in Chicago
In Chicago, you’re looking at 2% to 5% of your loan value for closing costs. Property value and location play a significant role in where you will fall on the cost spectrum. Loan origination fees, property appraisal costs, and title insurance policies all factor into your costs. It’s vital to include closing costs in your financial game plan when purchasing a new place.
The Takeaway
Chicago’s mortgage landscape offers a diverse range of options for prospective homebuyers. By staying well-informed about current mortgage rates in Chicago and thoroughly exploring available assistance programs, homebuyers can make strategic decisions. Whether you’re a first-time buyer or a seasoned homeowner looking to refinance, understanding the different types of mortgages and the various factors that influence rates can greatly assist you in securing the best possible loan terms and save money over the long run.
Looking for an affordable option for a home mortgage loan? SoFi can help: We offer low down payments (as little as 3% - 5%*) with our competitive and flexible home mortgage loans. Plus, applying is extra convenient: It's online, with access to one-on-one help.
VA loans are available to eligible active-duty military members, veterans, reservists, and surviving spouses. The first step toward qualifying is to obtain a Certificate of Eligibility from the U.S. Department of Veterans Affairs. After that a lender that offers VA loans can help you obtain a loan, assuming you meet minimum credit score and other financial requirements. Good news: VA loans do not require a down payment.
What’s the scoop on fixed-rate versus adjustable-rate mortgages?
With a fixed-rate mortgage, you’ve got the stability of a consistent interest rate for the life of the loan, which could be anywhere from 10 to 40 years. This means your monthly payments will stay the same as well. Adjustable-rate mortgages (ARMs), on the other hand, tend to start out with a relatively low introductory rate but then the rate can rise or fall according to the market, within certain limits that will be outlined in your loan agreement.
Will mortgage rates in Chicago decrease?
Keeping an eye on economic trends and market conditions is the best way to know what will happen to mortgage rates in Chicago. If the 10-year Treasury Bond rate is falling, mortgage interest rates may fall as well. However, the forecast for interest rates through 2025 is one of relative stability, with the national average rate ending the year at 6.30%.
How do mortgage interest rates work?
Mortgage interest is the cost to borrow money, expressed as a percentage of the loan. Rates depend on each borrower’s finances and economic conditions. Rates can be fixed or variable. When you make a mortgage payment, a portion of the payment goes toward the principal that you owe and a portion of it is interest. To see what amount is going where, a borrower can review the amortization schedule for their loan.
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*SoFi requires Private Mortgage Insurance (PMI) for conforming home loans with a loan-to-value (LTV) ratio greater than 80%. As little as 3% down payments are for qualifying first-time homebuyers only. 5% minimum applies to other borrowers. Other loan types may require different fees or insurance (e.g., VA funding fee, FHA Mortgage Insurance Premiums, etc.). Loan requirements may vary depending on your down payment amount, and minimum down payment varies by loan type.
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¹FHA loans are subject to unique terms and conditions established by FHA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. FHA loans require an Upfront Mortgage Insurance Premium (UFMIP), which may be financed or paid at closing, in addition to monthly Mortgage Insurance Premiums (MIP). Maximum loan amounts vary by county. The minimum FHA mortgage down payment is 3.5% for those who qualify financially for a primary purchase. SoFi is not affiliated with any government agency.
†Veterans, Service members, and members of the National Guard or Reserve may be eligible for a loan guaranteed by the U.S. Department of Veterans Affairs. VA loans are subject to unique terms and conditions established by VA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. VA loans typically require a one-time funding fee except as may be exempted by VA guidelines. The fee may be financed or paid at closing. The amount of the fee depends on the type of loan, the total amount of the loan, and, depending on loan type, prior use of VA eligibility and down payment amount. The VA funding fee is typically non-refundable. SoFi is not affiliated with any government agency.
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• Mortgage rates in Pittsburgh are influenced by a variety of economic and personal financial factors.
• Fixed-rate mortgages give you peace of mind with steady monthly payments.
• The better your credit score and down payment, the better your interest rate.
• The good news is that today’s rates are still well below the historical average.
• First-time homebuyers can take advantage of assistance programs to help with the down payment and closing costs.
• Understanding how interest rates affect your buying power is key to saving money on interest.
Introduction to Mortgage Refinance Rates
Welcome to our comprehensive guide on mortgage interest rates, tailored specifically for Pittsburgh. We’ve designed this article to help you understand how mortgage rates are determined in this region and, importantly, how you can secure the lowest available rate. We’ll explore the various factors that influence rates and offer practical tips and advice to help you navigate the mortgage process from start to finish. The first thing anyone seeking a mortgage should understand is how lenders set their rates to begin with.
First-time homebuyer programs usually consider anyone who hasn’t owned a home in the previous three years to be a “first-timer.” If you think you might qualify as a first-time homebuyer, you could enjoy special benefits such as lower down payment minimums, grants, and closing cost assistance.
Where Mortgage Rates Come From
Mortgage rates in Pennsylvania are influenced by a number of factors, including the state of the local and national economies and the bond market. The 10-year U.S. Treasury bond has long been a good indicator of where mortgage rates are headed, and you might find yourself paying closer attention to bond prices than you have in the past. If the yield on the 10-year U.S. Treasury note is moving up, mortgage rates probably are too. But if it’s moving down, mortgage rates could be on the way down as well.
But economic factors are only part of the interest rate puzzle. Your own personal financial statistics add another layer of complexity as a lender determines what rate to offer you, personally. Lenders will examine the following:
• Your credit score A conventional mortgage (one not backed by a government agency) typically requires a credit score of 620 or higher. The higher the score, the lower the rate you’ll likely obtain.
• Your down payment amount Making a larger down payment can result in a lower interest rate because lenders perceive a lower default risk.
• Your debt-to-income (DTI) ratio In general, mortgage lenders like to see a DTI ratio of no more than 36%, though that is not necessarily the maximum.
Discover how your debt level may impact your mortgage.
Try SoFi’s debt-to-income calculator to calculate your DTI number.
Discover how your debt level may impact your mortgage.
Try SoFi’s debt-to-income calculator to calculate your DTI number.
Get matched with a local
real estate agent and earn up to
$9,500‡ cash back when you close.
Pair up with a local real estate agent through HomeStory and unlock up to $9,500 cash back at closing.‡ Average cash back received is $1,700.
In Pittsburgh, mortgage rates can significantly affect the affordability of a home for buyers. Even a small change in the mortgage rate can have a big impact over the long term. Consider a $400,000 loan at 6.50% with a 30-year term. It would carry a monthly payment of $2,528. If the rate increases to 7.00%, the monthly payment increases to $2,661. Over the life of the loan, the borrower with the lower rate ultimately saves nearly $48,000 in interest payments. Below are more examples of costs on a $400,000 loan.
Interest Rate
Loan Term
Monthly Payment
Total Interest
6.00%
30-year
$2,398
$463,353
6.00%
15-year
$3,375
$207,577
7.00%
30-year
$2,661
$558,036
7.00%
15-year
$3.595
$247,156
Pittsburgh Mortgage Rate Trends
Historical U.S. Mortgage Rates
Having a sense of the history of mortgage rates can provide perspective on current rates for those looking to buy a home in Pittsburgh. While rates have gone up in the last few years, they are still relatively low compared to significantly higher rates of, say, the 1980s. The graph shows a half-century of average mortgage rates. The chart shows how Pittsburgh has tended to stack up against national averages.
Year
Pittsburgh Rate
U.S. Rate
2000
8.02
8.14
2001
6.98
7.03
2002
6.51
6.62
2003
5.81
5.83
2004
5.85
5.95
2005
5.98
6.00
2006
6.22
6.60
2007
6.10
6.44
2008
5.87
6.09
2009
5.05
5.06
2010
4.68
4.84
2011
4.48
4.66
2012
3.61
3.74
2013
3.94
3.92
2014
4.20
4.24
2015
3.97
3.91
2016
3.76
3.72
2017
4.07
4.03
2018
4.57
4.57
Source: Federal House Finance Agency
Types of Mortgages Available in Pittsburgh
Pittsburgh offers ever type of mortgage loan a prospective homebuyer might need. Each type of mortgage has its own benefits and requirements, so it’s important to compare your options and find the right fit for your financial situation and homeownership goals. These are the more popular types you’ll encounter.
Fixed-Rate Mortgage
Fixed-rate mortgages are a popular choice across the U.S. because they offer stability. With this type of mortgage, the interest rate on your loan remains the same throughout the entire loan term, which could be anywhere from 10 to 40 years. This means the monthly payment stays the same as well. Fixed-rate mortgages are especially beneficial if interest rates are rising because they protect you against future interest rate increases.
Adjustable-Rate Mortgage (ARM)
An adjustable-rate mortgage (ARM) could be the savvy choice for some home purchasers in Pittsburgh. ARMs tend to kick off with a lower interest rate than their fixed-rate counterparts. After an introductory period, however, rates can rise or fall according to the market. ARMs are often popular for those who think they will move after only a few years (before the introductory rate period ends). If you go with an ARM, knowing how much the rate adjustment might be (there are caps) is key to preventing unexpected financial jolts.
FHA Loan
FHA loans, backed by the Federal Housing Administration, are a popular choice for those who are buying their first home in Pittsburgh. These loans typically have more lenient eligibility requirements. Those with a minimum credit score of 580, for example, can make a down payment as low as 3.5%. And even people with lower credit scores of 500-579 can qualify for a loan if they put down 10%. This makes homeownership more accessible, especially for those with limited financial resources.
VA Loan
VA loans are for eligible active-duty military members, veterans, reservists, National Guard members, and surviving spouses. One of their standout features is the lack of a down payment requirement, making them a compelling choice for those with limited savings. Moreover, VA loans do not mandate mortgage insurance, which can translate to substantial savings over the loan’s lifetime.
Jumbo Loan
In most areas of Pennsylvania, the conventional mortgage loan limit is $806,500 for a single-family home. If you’re eyeing a property that will require a mortgage in excess of this amount, you’ll need a jumbo loan to make it yours. These specialized loans can come with stricter qualification criteria, but they’re still a great option for purchasing a dream home in Pittsburgh.
Compare current home interest rates by state and find a mortgage rate that suits your financial goals.
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Should You Wait for Interest Rates to Take a Dip?
If you’re considering purchasing in Pittsburgh — and especially if you’re a first-time buyer — you might be wondering if waiting for interest rates to drop is the right move. Current predictions suggest that interest rates are expected to remain relatively stable through 2025, ending the year at 6.30%. Rates in 2026 aren’t expected to change significantly, either, although financial unrest could change that outlook. Remember, though, that if you buy now and rates do fall, you can always consider a mortgage refinance to take advantage of the lower rate.
Pittsburgh made SoFi’s list of best affordable places in the U.S. so it’s no surprise that it has a moderate cost of living. The average sale price of a home in Pittsburgh is $242,000 and while it has risen about 6% over the last year, it is still well below the U.S. average. These factors come together to paint a picture of Pittsburgh as an appealing choice for those considering a fresh start in the area. Here’s how Pittsburgh compares to other Pennsylvania cities on a cost-of-living index where 100 equals the average cost of living in the U.S.
City
Cost of Living
Allentown
102.2
Philadelphia
103.3
Pittsburgh
106.3
Scranton
90.9
Wayne County
87.0
Wilkes-Barre
89.2
Get Your Best Possible Rate in Pittsburgh
To obtain the most favorable mortgage rate available to you in Pittsburgh, it’s essential to focus on two key factors: your credit score and your debt-to-income (DTI) ratio. A higher credit score and a DTI under 36% can translate to more attractive interest rates from lenders. Step one? Check your credit report and make sure it doesn’t contain any errors. Then focus on paying every bill on time. As for your DTI, to the extent you are able, pay down debts, such as credit-card debt, before applying for a loan.
Boosting your down payment, maintaining a stable income, and having sufficient assets can further bolster your application. It’s wise to go through the mortgage preapproval process with a lender and to explore the array of mortgage options, including fixed-rate and government-backed loans, which often come with more competitive rates.
Helpful Tools & Calculators
Online tools can be a lifesaver during the home-buying process. You can figure out your budget, see how different interest rates affect your payments, and more. These are a few of our favorite calculators.
Using the free calculators is for informational purposes only, does not constitute an offer to receive a loan, and will not solicit a loan offer. Any payments shown depend on the accuracy of the information provided.
How to Evaluate Loan Offers in Pittsburgh
Given how important a competitive mortgage rate is to your financial well-being, you’ll want to spend some time comparing loan offers in Pittsburgh. Once you’ve gotten interest rate numbers and fee information from several lenders, do a side-by-side comparison. Don’t just look at interest rates — focus on the annual percentage rate (APR), which encompasses fees, closing costs, and discount points. Once you have zeroed in on a loan that is attractive to you, you can usually lock in the rate for up to 90 days, providing peace of mind in a potentially volatile market. (Lenders do tend to charge a fee for a rate lock.)
Pittsburgh Mortgage Resources
Pittsburgh offers several programs to aid homebuyers, especially those stepping into the market for the first time or with limited financial means. The Pennsylvania Housing Finance Agency (PHFA) is your go-to, with offerings like the Keystone Advantage Assistance Loan program and the HOMEStead Down Payment and Closing Cost Assistance Loan. Down payment assistance programs and loans with forgiving terms can significantly ease the financial load of purchasing a home. And don’t forget to explore the city and county programs for added support.
Closing Costs in Pittsburgh
If you’re purchasing a home in Pittsburgh, you can anticipate closing costs to range from 2% to 5% of the loan value. These costs can fluctuate based on a variety of factors, including property value and location. Common closing costs include loan origination fees, appraisal fees, and title insurance. To keep these expenses in check, it’s wise to shop around. By understanding the breakdown of closing costs, you can budget more effectively and avoid unwelcome surprises.
The Takeaway
The mortgage market in Pittsburgh is ripe with possibilities, waiting for you to make the right move. By keeping your finger on the pulse of current mortgage rates in Pittsburgh and delving into assistance programs, if needed, you can make savvy decisions that will bring you closer to your dream of owning a home in the Steel City.
Looking for an affordable option for a home mortgage loan? SoFi can help: We offer low down payments (as little as 3% - 5%*) with our competitive and flexible home mortgage loans. Plus, applying is extra convenient: It's online, with access to one-on-one help.
While it’s tough to pinpoint the future where mortgage rates are concerned, the forecast through the end of 2025 is that rates will not change dramatically but rather will end the year around 6.30%.
Will mortgage rates ever go back to normal?
What is “normal” for mortgage rates is going to vary for each person. Some homebuyers may remember the double-digit rates of the 1980s, and others may only remember the dramatic dip in rates that happened around 2021. Rather than focus on what’s normal, watch economic factors, such as inflation, bond prices, and housing market conditions. This will help you make strategic decisions about when to lock in your best rate.
Will Pittsburgh home prices ever decrease?
Pittsburgh home prices have risen a bit over the last year, but for the last five years or so, they have been up, down, then up again. So if that pattern continues, they may drop a bit. One leading indicator of home prices is population, and over the last couple decades, Pittsburgh has had a net loss of residents, with people moving south to North and South Carolina and Florida. If this trend continues, there could be a softening market for housing in the city.
How do you secure a mortgage rate?
Locking in a mortgage rate typically secures the rate for up to 90 days and is often a smart move. You can easily do this by reaching out to the lender that offers you the best overall rate and terms. Sometimes there is a fee involved.
SoFi Loan Products
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SoFi Mortgages
Terms, conditions, and state restrictions apply. Not all products are available in all states. See SoFi.com/eligibility-criteria for more information.
¹FHA loans are subject to unique terms and conditions established by FHA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. FHA loans require an Upfront Mortgage Insurance Premium (UFMIP), which may be financed or paid at closing, in addition to monthly Mortgage Insurance Premiums (MIP). Maximum loan amounts vary by county. The minimum FHA mortgage down payment is 3.5% for those who qualify financially for a primary purchase. SoFi is not affiliated with any government agency.
†Veterans, Service members, and members of the National Guard or Reserve may be eligible for a loan guaranteed by the U.S. Department of Veterans Affairs. VA loans are subject to unique terms and conditions established by VA and SoFi. Ask your SoFi loan officer for details about eligibility, documentation, and other requirements. VA loans typically require a one-time funding fee except as may be exempted by VA guidelines. The fee may be financed or paid at closing. The amount of the fee depends on the type of loan, the total amount of the loan, and, depending on loan type, prior use of VA eligibility and down payment amount. The VA funding fee is typically non-refundable. SoFi is not affiliated with any government agency.
*SoFi requires Private Mortgage Insurance (PMI) for conforming home loans with a loan-to-value (LTV) ratio greater than 80%. As little as 3% down payments are for qualifying first-time homebuyers only. 5% minimum applies to other borrowers. Other loan types may require different fees or insurance (e.g., VA funding fee, FHA Mortgage Insurance Premiums, etc.). Loan requirements may vary depending on your down payment amount, and minimum down payment varies by loan type.
Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
Checking Your Rates: To check the rates and terms you may qualify for, SoFi conducts a soft credit pull that will not affect your credit score. However, if you choose a product and continue your application, we will request your full credit report from one or more consumer reporting agencies, which is considered a hard credit pull and may affect your credit.
‡Up to $9,500 cash back: HomeStory Rewards is offered by HomeStory Real Estate Services, a licensed real estate broker. HomeStory Real Estate Services is not affiliated with SoFi Bank, N.A. (SoFi). SoFi is not responsible for the program provided by HomeStory Real Estate Services. Obtaining a mortgage from SoFi is optional and not required to participate in the program offered by HomeStory Real Estate Services. The borrower may arrange for financing with any lender. Rebate amount based on home sale price, see table for details.
Qualifying for the reward requires using a real estate agent that participates in HomeStory’s broker to broker agreement to complete the real estate buy and/or sell transaction. You retain the right to negotiate buyer and or seller representation agreements. Upon successful close of the transaction, the Real Estate Agent pays a fee to HomeStory Real Estate Services. All Agents have been independently vetted by HomeStory to meet performance expectations required to participate in the program. If you are currently working with a REALTOR®, please disregard this notice. It is not our intention to solicit the offerings of other REALTORS®. A reward is not available where prohibited by state law, including Alaska, Iowa, Louisiana and Missouri. A reduced agent commission may be available for sellers in lieu of the reward in Mississippi, New Jersey, Oklahoma, and Oregon and should be discussed with the agent upon enrollment. No reward will be available for buyers in Mississippi, Oklahoma, and Oregon. A commission credit may be available for buyers in lieu of the reward in New Jersey and must be discussed with the agent upon enrollment and included in a Buyer Agency Agreement with Rebate Provision. Rewards in Kansas and Tennessee are required to be delivered by gift card.
HomeStory will issue the reward using the payment option you select and will be sent to the client enrolled in the program within 45 days of HomeStory Real Estate Services receipt of settlement statements and any other documentation reasonably required to calculate the applicable reward amount. Real estate agent fees and commissions still apply. Short sale transactions do not qualify for the reward. Depending on state regulations highlighted above, reward amount is based on sale price of the home purchased and/or sold and cannot exceed $9,500 per buy or sell transaction. Employer-sponsored relocations may preclude participation in the reward program offering. SoFi is not responsible for the reward.
SoFi Bank, N.A. (NMLS #696891) does not perform any activity that is or could be construed as unlicensed real estate activity, and SoFi is not licensed as a real estate broker. Agents of SoFi are not authorized to perform real estate activity.
If your property is currently listed with a REALTOR®, please disregard this notice. It is not our intention to solicit the offerings of other REALTORS®.
Reward is valid for 18 months from date of enrollment. After 18 months, you must re-enroll to be eligible for a reward.
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By Lora Shinn |
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Comments Off on Why Moms Should Be Successful Investors
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Most of us moms would rank patience, discipline and consistency as among the most important traits of a good mother. We know that the terrible twos eventually end, screentime is earned, and dinner and bedtime routines are important.
But guess where else these qualities shine? When we’re investing our money.
Those were the three strengths valued most by 1,200 women investors Charles Schwab surveyed earlier this year.
• Patience helps them wait for their investments to grow.
• Discipline enables them to stick to a plan and avoid emotional or impulsive decisions.
• Consistency ensures they invest money regularly to build their portfolio over time.
Of course, the survey didn’t differentiate between mothers and non-mothers, so there’s no reason to think these strengths are exclusive to parents. But you have to wonder how much motherhood might prepare women for investing their money, and conversely, how much investing might prime them to be good moms.
In fact, the most common lesson the women learned through investing — to stay invested through the market’s ups and downs — could easily translate to a toddler’s tantrum: Just hang on, because it probably won’t last too long.
To be sure, being a mom can make money management harder too. Twenty percent of survey respondents said they had less money to invest because they’d taken time away from their career for their kids and other caregiving. And 14% said childcare and other domestic responsibilities ate up their time to do research on their investments.
But despite these and other barriers, 90% said they’re on track to achieve their financial goals. And roughly the same percentage said they feel empowered by their investing.
So what? Whether you’re investing in your kids or your financial future, the right mindset is one of your best assets. This Mother’s Day, celebrate the moms in your life (including yourself, if you’re one of them) for all the strengths they bring to their families, financially and otherwise.
Please understand that this information provided is general in nature and shouldn’t be construed as a recommendation or solicitation of any products offered by SoFi’s affiliates and subsidiaries. In addition, this information is by no means meant to provide investment or financial advice, nor is it intended to serve as the basis for any investment decision or recommendation to buy or sell any asset. Keep in mind that investing involves risk, and past performance of an asset never guarantees future results or returns. It’s important for investors to consider their specific financial needs, goals, and risk profile before making an investment decision.
The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by SoFi. These links are provided for informational purposes and should not be viewed as an endorsement. No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this content.
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