California Mortgage and Refinance Rates

Current mortgage interest rates in California

As of Thursday, January 9, 2025, current interest rates in California are 7.31% for a 30-year fixed mortgage and 6.60% for a 15-year fixed mortgage. This aligns with current national mortgage rate trends. 

Refinance rates in California

While refinance rates are higher than they were a few years ago, it still might make sense to swap your loan if you recently bought a home and rates are now lower. Likewise, if you've owned a home in California for some time and need a significant amount of cash, you might be able to tap your equity with a cash-out refinance. 

California mortgage rate trends

While mortgage rates are hard to predict, local mortgage rates tend to follow the movement of national mortgage rates, which have been rising slightly in recent weeks.

Along with rates, home prices in California have been rising, too. The median sale price for a single-family home in the state was up 3.8 percent year-over-year to $852,880 as of November 2024, according to the California Association of Realtors. However, if you’re willing to cast a wider net, you could find significantly lower prices in the far northern reaches of the state, where the median home price was $375,000 — nearly $1 million cheaper than the median home price in the Bay Area.

Regardless of where you’re looking, keep in mind real estate prices are often hyper-local. In the Bay Area, for example, San Mateo’s November median sold price of $2.19 million was over three times higher than Solano’s $597,000 median price. 

National mortgage rates by loan type

Mortgage statistics for California

With beaches, mountains and a vibrant economy, California is home to some of the nation’s most expensive housing markets. Affordability is a real challenge here, but over the decades, California homeowners have been rewarded with outsized appreciation. Here are some statistics about mortgages and the housing market in The Golden State:

• Median single-family home sales price, Nov. 2024: $852,880
• Median condo/townhome sales price, Nov. 2024: $675,000
• Median days on market, Nov. 2024: 26
• Median down payment, Oct. 2024: $158,000

Sources: ATTOM, California Association of Realtors 

Mortgage options in California

• California conventional mortgages: Rates and requirements for conventional mortgages will vary depending on the area you want to live in and your financial situation. You can compare mortgage rates to find the option that’s right for you.
• CalHFA: The California Housing Finance Agency (CalHFA) offers state residents access to mortgages, as well as smaller loans designed to help with down payment or closing costs. To get started, borrowers can contact a CalHFA-approved lender or preferred loan officer.
• California FHA loans: Home loans backed by the Federal Housing Administration (FHA) are offered throughout the U.S. While the FHA doesn’t offer loans directly, you can find one through an FHA-approved lender in California. They are offered to first-time homebuyers, defined as those who have not purchased a home in the past two years, as well as repeat buyers. FHA loans are generally designed for low- to moderate-income borrowers with lower credit scores.
• California VA loans: Guaranteed by the Department of Veterans Affairs, VA loans are offered to eligible veterans and active-duty service members. While the VA doesn’t offer loans directly, you can find one through a VA-approved lender in California. VA loan interest rates are typically lower than conventional mortgages, and these loans require no down payment.
• California jumbo loans: You’ll find higher conforming loan limits in many of California’s pricier zip codes, but you may still need to borrow even more money to make homeownership a reality in the state. If you do, you’ll need to compare jumbo loan rates from multiple lenders and be prepared to meet higher down payment and credit score requirements.

First-time homebuyer programs in California

Buying a house in California can be pricey, but first-time homebuyers might qualify for grants or other forms of help. This includes:

• CalHFA down payment assistance programs: Low- to moderate-income borrowers can apply for small down payment and closing costs assistance loans through CalHFA. One option is the MyHome Assistance program, which allows you to borrow a deferred loan worth up to 3.5 percent of the purchase price or appraised value to help you cover closing costs and the down payment. Another option is the California Dream For All Shared Appreciation Loan, which lends qualifying first-generation, first-time buyers up to 20 percent (but not more than $150,000) of the home’s purchase price. The loan must be repaid, along with up to 20 percent of the home’s appreciated value.
• CalHFA Loan Programs: With the CalHFA Conventional Loan Program, you can get a 30-year fixed-rate conventional loan at potentially a more affordable interest rate, but you’ll also need to meet qualification requirements. The CalPLUS Conventional Loan Program is similar, but with a slightly higher interest rate that can be combined with the CalHFA Zero Interest Program to help pay closing costs. CalHFA also offers lower-interest rate FHA, VA and USDA loans, which come with their own benefits and qualifying criteria.

In addition to statewide assistance programs, be sure to compare local options. Some local organizations offer loans and grants to certain types of buyers, including first-time buyers and low- to moderate-income families.

How to find the best mortgage rate in California

• Step 1: Strengthen your credit score - Long before you start looking for a mortgage lender or applying for a loan, give your finances a checkup, and improve your credit score if needed.
• Step 2: Determine your budget - To find the right mortgage, you’ll need a good handle on how much house you can afford.
• 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 banks or mortgage companies to get the best deal, and be sure to read reviews from different lenders.
• Step 5: Get preapproved for a mortgage - Getting a mortgage preapproval is the only way to get accurate loan pricing for your specific situation.

Additional California mortgage resources

• California loan limits by county: Learn the conforming loan limit for your city or town.
• Best mortgage lenders in California: Find out Bankrate’s top picks.
• California housing market overview: Know what to expect as a homebuyer or seller in California.
• Cost to buy a house in California: Home prices vary widely across the state. Narrow down your budget here.
• Homeowners insurance in California: Compare policies from a variety of providers.

Meet our Bankrate experts

Written by: Jeff Ostrowski, Principal Reporter, Mortgages

I cover mortgages and the housing market. Before joining Bankrate in 2020, I spent more than 20 years writing about real estate and the economy for the Palm Beach Post and the South Florida Business Journal. I’ve had a front-row seat for two housing booms and a housing bust. I’ve twice won gold awards from the National Association of Real Estate Editors, and since 2017 I’ve served on the nonprofit’s board of directors.

Read more from Jeff Ostrowski

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