Idaho Mortgage and Refinance Rates

Current mortgage rates in Idaho

As of Sunday, December 22, 2024, current mortgage interest rates in Idaho are 7.06% for a 30-year fixed mortgage and 6.19% for a 15-year fixed mortgage.

While Idaho mortgage rates are higher today than the record lows from a few years ago, they’ve been on a gradual decline since mid-July. If you’re buying a house in Idaho, know that the market is still competitive, but has shown signs of cooling. As of July 2024, just over 50 percent of sales in the state came in under the list price, according to Zillow. Before buying or refinancing, compare at least three mortgage offers.

Refinance rates in Idaho

Idaho refinance rates rose steadily in 2022 and 2023. Despite some downward motion, they’re still above 6 percent, making refinancing a less appealing choice than it was when rates were lower in 2021. However, those who locked in a mortgage rate in the 7 to 8 percent range might find refinancing appealing now. 

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 all-time lows in 2021, rates increased throughout much of 2022 and 2023. But rates have begun a downward trend in the last few months, and with the Fed beginning to cut rates at its September meeting, there's a possibility that rates could continue to fall through the end of the year. But how fast and how far rates could drop remains to be seen. 

National mortgage rates by loan type

If you’d like to see how mortgage rates in Idaho compare to U.S. averages, here’s a look at the current national average rates for various loan types:

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 Aug. 2024): $454,300 (Zillow)
• Median days to pending (as of Aug. 2024): 25 (Zillow)
• Homes with price drops (as of Aug. 2024): 40.5% (Redfin)
• Homeownership rate (as of Q4 2023): 71% (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 7 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 rate that’s 2 percent higher than your primary mortgage rate. In addition, you must complete a homebuyer education course and pay at least 0.5 percent of the home purchase price yourself.

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