El Paso mortgage rates have been on the rise, making it a challenging time to buy or refinance a home in the city. The average 30-year fixed mortgage rate in El Paso is currently around 4.5%, which is higher than the national average.
Home affordability in El Paso is a concern, especially for first-time homebuyers. According to data, the median home price in El Paso is around $230,000, which is beyond the reach of many buyers.
To put this into perspective, a buyer with a 20% down payment would need to make a monthly mortgage payment of around $1,100 on a $230,000 home. This can be a significant burden for many families.
Discover more: First Time Homeowner Mortgage Rates
El Paso Mortgage Rates
El Paso's mortgage rates are currently competitive, with a 30-year fixed-rate mortgage averaging 6.64% in Texas, which is 24 basis points lower than the national average of 6.88%. This is according to data from Zillow's weekly survey of lending institutions.
The average 30-year fixed mortgage rate in El Paso, TX is 6.542%, with an APR of 6.611%. This is a great option for those looking for a stable and long-term mortgage solution. If you're considering a 15-year fixed mortgage, you can expect an interest rate of 5.649% and an APR of 5.757%.
Here are some of the current mortgage rates in El Paso, TX:
As of August 14, 2023, mortgage rates in El Paso, TX are 24 basis points lower than the national average, making it an attractive option for homebuyers and refinancers alike.
Current Mortgage Rates
The average 30-year fixed mortgage rate in Texas is at 6.64%, which is a decrease of 34 basis points from 6.98%.
As of August 14, 2023, mortgage rates in El Paso, TX are 24 basis points lower than the 6.88% national average.
The current average 5-year ARM mortgage rate is down 74 basis points from 7.12% to 6.38% in Texas.
Explore further: What Are the Average Mortgage Rates
The average Texas mortgage interest rate will be 6.87%, which is a decrease of 23 basis points from the previous week's average.
Here are the current mortgage rates in El Paso, TX as of August 14, 2023:
Naturally, individuals are encouraged to contact reliable local lenders to find out the mortgage rates that match their unique financial situation and goals.
El Paso Market Trends
El Paso's housing market has seen a significant increase in popularity, with a 12% rise in home prices over the past year. This is largely due to the city's growing economy and limited housing supply.
The median home price in El Paso is now around $230,000, up from $200,000 just a few years ago. This increase is expected to continue as more people move to the area for its low cost of living and job opportunities.
El Paso's job market is thriving, with major employers like Fort Bliss and the medical center creating thousands of new jobs each year. This growth has led to an influx of new residents, further driving up housing demand.
The city's limited housing supply is a major factor in the rising home prices, with many builders struggling to keep up with demand. As a result, many buyers are opting for older homes or fixer-uppers as a more affordable alternative.
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Housing Affordability
El Paso's housing market is experiencing a strong demand, resulting in a rise in property prices. The median listing price in El Paso was $300K in June 2023, up 13.2% from the previous year.
To afford a home in El Paso, you'll need to make a decent income. Based on the median home value of $171,847, you'd need to earn at least $35,850 per year to qualify for a mortgage.
The good news is that El Paso's housing prices are average, with the home price you can afford based on household income being 144% of the median home value. This is according to the FREEandCLEAR Housing Affordability Index, which ranks El Paso's housing market as average.
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Texas Housing Market
The Texas housing market is experiencing a strong demand, resulting in a rise in property prices. In June 2023, the median listing price in El Paso was $300K, up 13.2% from the previous year.
Properties in El Paso are generally selling for around the initial asking price, with a 99.4% ratio of the sale price to the listed price. This suggests a well-balanced market.
The median duration a property stayed on the market was 43 days, a bit longer compared to the previous year. This indicates that properties are taking a slightly extended period to be sold.
El Paso boasts a wide variety of 180 distinct neighborhoods, each with its unique charm. The most upscale locality, High Ridge, presents opulent homes and a median listed price of $663.9K.
For more budget-conscious buyers, Irvin View Pointe provides affordability with a median price of $170K.
Affordability in El Paso
El Paso has a relatively low cost of living compared to other major US cities. The median home value is around $170,000, making it an attractive option for first-time homebuyers.
The city's affordable housing market is also influenced by its proximity to the US-Mexico border, which has driven down housing costs over the years. This is evident in the city's high percentage of renter-occupied homes.
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In El Paso, the average rent for a 1-bedroom apartment is around $700 per month, which is lower than the national average. This makes it an affordable option for those looking to rent in the area.
However, the city's affordability is also affected by its relatively low median household income, which is around $43,000 per year. This can make it challenging for residents to afford housing, even with the lower costs.
Despite these challenges, El Paso remains a popular destination for those looking for affordable housing options. Its unique blend of small-town charm and big-city amenities makes it an attractive option for many.
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Mortgage Information
The mortgage rates in El Paso, TX can vary depending on the type of loan and the lender. As of August 14, 2023, the average 30-year fixed mortgage rate in Texas is 6.64%, which is 34 basis points lower than the previous rate.
The rates for different loan products are as follows:
You can see that the rates vary significantly across different loan products. For example, the 15-year fixed-rate mortgage has an interest rate of 5.649% and an APR of 5.757%.
Broaden your view: Bank 5 Mortgage Rates
Frequently Asked Questions
How much is a $200,000 mortgage payment for 30 years?
For a $200,000 mortgage with a 6% fixed interest rate, your monthly payment is approximately $1,199. However, actual payments may vary based on insurance, loan type, and other factors.
What are mortgage interest rates in Texas right now?
As of now, mortgage rates in Texas are 6.962% for a 30-year fixed, 6.177% for a 15-year fixed, and 7.487% for a 5-year ARM. Check our rates page for the latest updates and to explore your mortgage options.
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