According to a recent Primerates.com survey of Boston mortgage rates offered by the largest area banks & credit unions, only one bank in the Boston area offered rates under 4%. Sovereign Bank (www.sovereignbank.com) came in at 3.99% on 30-year fixed -rate conforming loans in the Boston metro area for well-qualified borrowers. Bank of America (www.bankofamerica.com), Eastern Bank (www.easternbank.com), Rockland Trust (www.rocklandtrust.com), and Danversbank (www.danversbank.com) were negligibly different all with rates of 4.00%. Century Bank and Trust (www.centurybank.com) offered the highest rates, a mere quarter of a percentage point higher.
Often when the ideal time to buy comes, the borrower does not have enough to make a down payment of 20%. In this case, if they obtain a single loan, they will be forced to pay Private Mortgage Insurance (PMI). PMI protects the lender in the event that the borrower defaults on their payments. While it is necessary to keep the PMI in place, the homeowner can pay for a new appraisal of the home when they believe the loan is at, or less than, 80% of the loan value. If they do not want to pay for a new appraisal, the lender is required to drop the PMI when the loan to value ratio hits 78%, as long as the homeowner is current on their payments.
|
Top Boston Area Banks and Credit Unions |
As of |
30-year Fixed |
15-year Fixed |
5/1 ARM |
| Sovereign Bank |
12/16/11 |
3.99% |
3.25% |
NA |
| Bank of America |
12/16/11 |
4.00% |
3.25% |
2.75% |
| Eastern Bank |
12/18/11 |
4.00% |
3.50% |
2.99% |
| Rockland Trust |
12/16/11 |
4.00% |
3.38% |
3.25% |
| Danversbank |
12/16/11 |
4.00% |
3.25% |
3.00% |
| TD Bank |
12/18/11 |
4.02% |
3.20% |
2.70% |
| RBS Citizens |
12/16/11 |
4.13% |
3.38% |
2.75% |
| Century Bank and Trust |
12/18/11 |
4.25% |
3.50% |
3.00% |
| Middlesex Savings Bank |
12/16/11 |
NA |
3.75% |
NA |
| Boston Private Bank and Trust |
12/16/11 |
NA |
4.25% |
3.63% |
Listed rates from banks, thrifts and credit union 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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