Missouri Mortgage and Refinance Rates

Current mortgage rates in Missouri

As of Saturday, December 21, 2024, current mortgage interest rates in Missouri are 6.94% for a 30-year fixed mortgage and 6.00% for a 15-year fixed mortgage.

Refinance rates in Missouri

Refinance rates in Missouri are well above the lows they dropped to in 2020 and 2021, making refinancing less of an option for Missourians. However, with the Federal Reserve's recent rate cuts, Missouri refinance rates may come down — albeit likely only slightly — in the near future. 

Refinancing could still be beneficial if you could secure a lower interest rate. In addition, Missouri borrowers who saw their home equity rise in recent years might still be interested in refinancing as a way to tap those funds.

Missouri mortgage rate trends

Missouri mortgage rates hit record lows in 2021, but they have since risen sharply. Many expected rates to fall following the Federal Reserve's rate cuts, and while they did dip to 6.2 percent in September, they have since hovered back around 7 percent, per Bankrate’s national survey of lenders. While mortgage rates are difficult to predict, where rates will head next, including in Missouri, depends on further rate cuts by the Fed and the strength of the economy. 

National mortgage rates by loan type

Mortgage statistics for Missouri

Here are some statistics about mortgages and the housing market in Missouri:

• Average home value (as of Oct. 2024): $248,328 (Zillow)
• Homeownership rate (as of Q3 2024): 70.5% (U.S. Census Bureau)
• Homes with price drops (as of Oct. 2024): 23.7% (Redfin)
• Number of homes for sale (as of  Oct. 2024): 26,312 (Redfin)

Mortgage options in Missouri

If you’re looking to get a mortgage in Missouri, there are several options:

• Missouri conventional mortgages: To qualify for a conventional mortgage, you’ll need a minimum credit score of 620 and a debt-to-income (DTI) ratio of no more than 43 percent. If you make a down payment of less than 20 percent, you’ll need to pay private mortgage insurance (PMI) premiums, as well. Conventional mortgages are often best for those with higher credit scores and down payments, as they come with fewer fees.
• Missouri FHA loans: If your credit history disqualifies you from a conventional mortgage, you might be able to obtain a loan insured by the Federal Housing Administration (FHA). If you have a down payment of at least 3.5 percent, you could qualify for this type of loan with a credit score as low as 580. With their lower credit score, income and down payment requirements, FHA loans are great for first-time homebuyers and applicants with lower incomes.
• Missouri VA loans: If you’re a veteran or active-duty member of the military, you might qualify for a mortgage guaranteed by the Department of Veterans Affairs (VA). A VA loan doesn’t require a down payment or mortgage insurance, but you do need to pay a funding fee, which ranges from 1.25 percent to 3.3 percent.

First-time homebuyer programs in Missouri

If you’re a homebuyer in Missouri, you might be eligible for one or more special mortgage programs through the Missouri Housing Development Commission (MHDC), including:

• First Place Loan Program: The Missouri First Place Loan Program is designed to help first-time homebuyers (or those who have not owned a home in three years) buy a home. Borrowers are eligible for down payment and closing costs assistance (equal to 4 percent of the first mortgage amount) and additional cash assistance in the form of a second mortgage, which will be forgiven if the borrower stays in the home for at least 10 years. You must meet income and purchase price limits to qualify.
• Next Step Program: MHDC’s Next Step Program provides a primary mortgage with a low interest rate, as well as down payment and closing cost assistance. This program is available to first-time and repeat homebuyers with higher household incomes who wouldn’t qualify for the First Place Loan Program.
• Missouri mortgage credit certificate: The Missouri mortgage credit certificate (MCC) program converts a portion of the borrower’s mortgage interest paid into a non-refundable federal tax credit. The maximum tax credit in a year is $2,000; minimum credit scores, household income limits and home purchase price limits apply.

How to find the best mortgage rate in Missouri for you

• 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.
• 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 Missouri mortgage resources

• Missouri loan limits by county: Learn the loan limits for FHA and conventional loans broken down by county.
• Missouri mortgage lenders: Check out a variety of lenders who service Missouri.
• Missouri homeowners insurance: Find the right homeowners insurance coverage and rate for you.
• Mortgage calculator: Use this tool to estimate your monthly mortgage payment based on the home you buy. 
• Missouri housing market: This overview looks at the housing market across the state. 

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