Detroit Mortgage Rates Survey – Week of March 05, 2012

Written by: PrimaLoans Staff

According to a recent Primerates.com survey of Detroit mortgage rates offered by the largest area banks & credit unions, four Detroit institution offered rates above 4.00% on 30-year fixed-rate conforming loans in the Detroit area for well-qualified borrowers. The First State Bank of East Detroit (www.thefsb.com) offered rates at 4.00%, the Citizens Bank (www.citizensbanking.com) offered rates at 4.09%, RBS Citizens (www.citizensbank.com) offered rates at 4.13% while the Comerica Bank (www.comerica.com) offered the highest rates in the country with 4.25%.

While most lenders will push one of the three products on the list below, there are other options for the borrower.  The 30-year fixed rate loan is the most popular since it offers the lowest monthly payment.  The trade-off is paying a higher interest rate.  For those who have a better cash flow, the 15-year product may be more suitable.  The 15-year fixed rate loan will allow the borrower to pay more toward principal with each payment, and since it has a lower interest rate the overall amount of money that is paid in interest will be much lower.  While many people steer clear of the 5/1 ARM it is beneficial to some borrowers.  For instance, a person with a smaller loan (usually due to refinancing) may have the cash flow to pay off their ARM in 5 years or less.  This person could save an extra 1% in interest payments over the 15-year product and never worry about the rate adjusting later in the life of the loan.

Top Detroit Area Banks and Credit Unions

As of

30 Yr-Rate

30 Yr- APR

15 Yr- Rate

15 Yr- APR

5/1 ARM-IR

5/1 ARM-APR

Comerica Bank 03/04/2012

4.25%

4.30%

3.44%

3.53%

3.13%

3.25%

RBS Citizens 03/04/2012

4.13%

4.16%

NA

2.75%

3.11%

NA

Citizens Bank 03/04/2012

4.09%

4.18%

3.33%

3.49%

2.94%

3.23%

First State Bank of East Detroit 03/04/2012

4.00%

4.03%

3.38%

3.43%

NA

NA

 

Listed rates from banks, thrifts, and credit unions were listed on their websites on the date indicated for conforming loans with 0 points.  Data is believed accurate at time of collection, can change without notice, and will vary based on an individual’s credit history.  Contact a specific institution for current rates.


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Detroit Mortgage Rates Survey – Week of March...

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