Frequently Asked Questions
What is the current average mortgage rate in the USA?
As of 2026, the average 30-year fixed mortgage rate is around 6.5–7.0%. The 15-year fixed is typically 0.5–0.75% lower. Rates vary by credit score, down payment, and lender. Use our calculator with your actual rate quote for the most accurate payment.
How much down payment do I need?
Conventional loans typically require 5–20% down. FHA loans allow as low as 3.5% (with 580+ credit score). If you put less than 20% down, you'll pay PMI (Private Mortgage Insurance) of 0.5–1.5% of the loan per year. Putting 20% down eliminates PMI and saves thousands.
What is PITI in a mortgage?
PITI stands for Principal, Interest, Taxes, and Insurance — the four components of your total monthly mortgage payment. Lenders use your PITI to calculate your debt-to-income ratio. Most lenders want PITI to be less than 28–31% of your gross monthly income.
Should I choose a 15-year or 30-year mortgage?
A 15-year mortgage saves massive interest (often $100,000+) but has higher monthly payments. A 30-year mortgage has lower monthly payments giving you more cash flow flexibility. Rule of thumb: choose 15-year if the payment is less than 25% of your take-home pay.