Idaho Mortgage and Refinance Rates

Current mortgage rates in Idaho

As of Wednesday, July 10, 2024, current mortgage interest rates in Idaho are 6.88% for a 30-year fixed mortgage and 6.25% for a 15-year fixed mortgage.

While mortgage rates are higher today than in recent years, they’re in line with the historic average. If you’re buying a house in Idaho, know that the market is still competitive, but has shown signs of cooling. Before buying or refinancing, compare at least three mortgage offers.

Refinance rates in Idaho

Mortgage rates rose steadily in 2022 and 2023. Despite some downward motion, they’re still above 7 percent, making refinancing a less appealing choice than it was when rates were low. Still, if you’re remodeling your home or need funds for another purpose, a cash-out refinance might be an option for you. You might also explore a home equity line of credit (HELOC).

Idaho mortgage rate trends

After hitting record lows in 2021, rates rose steadily throughout much of 2022 and 2023. Despite rates beginning to dip, they are still elevated. This high-rate environment, along with higher housing prices, is making affordability difficult for Idaho homebuyers.

National mortgage rates by loan type

Mortgage statistics for Idaho 

Known for scenic views — including the Shoshone Falls and Hell’s Canyon — the Gem State has more than spuds to offer. If you’re thinking about buying a home in Idaho, check out these statistics:

• Median home value (as of Feb. 2024): $434,540 (Zillow)
• Median days to pending (as of Jan. 2024): 42 (Zillow)
• Homes with price drops (as of Jan. 2024): 25.1% (Redfin)
• Homeownership rate (as of Q4 2023): 70.2% (Census Bureau)

Mortgage options in Idaho

If you’re looking for a mortgage in Idaho, consider these options:

• Idaho conventional mortgages: For a conventional mortgage in Idaho, you’ll generally need a debt-to-income (DTI) ratio of no more than 45 percent and a credit score of at least 620. The minimum down payment is typically 3 percent (at that level, you’ll need to pay private mortgage insurance, or PMI, premiums, as well).
• Idaho FHA loans: If you have a lower credit score, a loan insured by the Federal Housing Administration (FHA) might be a better option. You can get an FHA loan with a credit score of 580 and a down payment of 3.5 percent.
• Idaho VA loans: If you’re a qualifying veteran, an active-duty member of the military or a surviving spouse, you can get a mortgage guaranteed by the Department of Veterans Affairs (VA). VA loans don't require a down payment or mortgage insurance, but you do need to pay a funding fee.
• Idaho USDA loans: Since Idaho is largely a rural state, there are a lot of properties eligible for loans backed by the United States Department of Agriculture (USDA). Like VA loans, USDA loans don’t require a down payment. However, you’ll need to meet area-specific income requirements.

First-time homebuyer programs in Idaho

Idaho Housing, the state’s housing finance authority, offers many programs to assist with buying a home, including down payment and closing costs assistance. Here are some of the options available: 

• Idaho Housing loan: Idaho Housing offers low-interest-rate loans for qualifying buyers. To qualify for a loan, you’ll need to have an annual household income under $150,000. Along with low mortgage rates, you can also qualify for down payment assistance, pay low or no mortgage insurance and receive up to $2,000 in annual tax credits.
• Down payment assistance — second mortgage: Along with an Idaho Housing loan to buy your home, you can apply for a second mortgage of up to 10 percent of the home’s sale price to pay for some of the down payment or closing costs. This loan is repaid over 15 years at a 7 percent interest rate. In addition, you must complete a homebuyer education course and pay at least 0.5 percent of the home purchase price yourself.
• Down payment assistance — forgivable loan: With this assistance, you’ll receive a zero-interest loan that is gradually forgiven over your time owning the home. In exchange for the assistance, the interest rate on your primary mortgage will increase by 0.125 percent for every 0.5 percent of the purchase price you borrow.

How to find the best mortgage rate in Idaho for you

• Step 1: Strengthen your credit score - Before you start looking for a lender and applying for a loan, review your credit history and take steps to improve your score, such as paying down existing debt.
• Step 2: Determine your budget - Have a good understanding of how much house you can afford before you go shopping.
• Step 3: Know your mortgage options - There are a few different types of mortgages.
• Step 4: Compare rates and terms from several lenders - Rate-shop with at least three different lenders to get the best deal on rates, fees and terms.
• Step 5: Get preapproved for a mortgage - Getting a mortgage preapproval is the only way to get accurate loan pricing for your specific situation. Plus, it will show sellers you’re serious when you make an offer.

Additional Idaho mortgage resources

• Idaho first-time homebuyer resources: Find out what assistance you may qualify for when buying your first home in Idaho.
• Idaho loan limits by county: Here are the maximum loan limits in Idaho for FHA and conventional loans.
• Idaho mortgage lenders: Learn what kind of mortgage offer you can get from these Idaho mortgage lenders.
• How to buy a house in Idaho: Read our guide to learn the ins and outs of buying a home in Idaho.
• Best homeowners insurance in Idaho for 2024: After your principal and interest, your homeowners insurance is a major part of your mortgage payment. Our guide can help you find the right rate and coverage for your home.

Meet our Bankrate experts

Written by: Andrew Dehan, Writer, Home Lending

I’ve covered mortgages, real estate and personal finance since 2020. At Bankrate, I’m focused on all of the factors that affect mortgage rates and home equity. I enjoy distilling data and expert advice into takeaways borrowers can use. Prior to Bankrate, I wrote and edited for Rocket Mortgage/Quicken Loans. My work has been published by Business Insider, Forbes Advisor, SmartAsset, Crain’s Business and more.

Read more from Andrew Dehan

Edited by: Laurie Dupnock, Editor, Home Lending

I’ve spent five years in writing and editing roles, and I now focus on mortgage, mortgage relief, homebuying and mortgage refinancing topics. I’m most interested in providing resources for aspiring first-time homeowners to help demystify the homebuying process. In 2021, I earned a Poynter ACES Certificate in Editing. I have an MA in English. 

Read more from Laurie Dupnock