What is the maximum interest rate that can be charged on a mortgage loan?

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  1. Reply
    April H
    January 25, 2011 at 1:16 pm

    check with the banks for daily interest rates, they cant go over that limit.

  2. Reply
    keshar s
    January 25, 2011 at 2:14 pm

    go to bank and ask banker

  3. Reply
    January 25, 2011 at 2:54 pm

    That depends on the usury laws of your state and the going market competition. New Mexico does not have any usury laws. It’s a free for all but the market takes care of the rate. It’s the poor folks that get nailed because they can’t use reputable lenders.

  4. Reply
    January 25, 2011 at 3:36 pm

    It mainly will depend on your credit score. If you have a good credit score, 640 or higher you APR that you get will be lower than if you had a credit score under 640.

    I work in Washington State and that is our standards for the banks that we work with. The going rate here is 6.25% on a 30yr fix, but rates are starting to go down.

  5. Reply
    January 25, 2011 at 3:49 pm

    The simple answer is, what ever you agree upon.

    Most of the time rates are related to your credit rating, availability of funds and the common market conditions.

    If you are talking about a typical mortgage on a typical house by a typical applicant with decent credit, you can look at any bank, mortgage company or mortgage brokers website and get a good indication of what the current and local market is offering.

    But again it often depens on what your specific situation is about that determines the final details, including but not limited to the rates.

    In Canada an annual rate over 60 % is considered loan sharking and is therefore a criminal offence, so between current ratest and 60 % everything is possible.

    It is also a good idea to consider how the rates are been quoted as far as the frequency of compounding periods per year, one is considered simple interest but in the USA most mortgages are compounded monthly, which infact is a higher than stated rate method, hiding the actual rate of interest in the method by which the interest is calculated.

    Good Luck

  6. Reply
    January 25, 2011 at 4:19 pm

    Prime + 8%

    That’s 16.5% in todays market.

  7. Reply
    January 25, 2011 at 4:49 pm

    25%, with some other factors involved.

  8. Reply
    January 25, 2011 at 5:06 pm

    It varies by state law, but usually 24% to 25%.

  9. Reply
    January 25, 2011 at 5:56 pm

    13.99% in New york

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