According to a recent Primerates.com survey of Miami mortgage rates offered by the largest area banks & credit unions, five Miami institutions offered rates above 4.00% on 30-year fixed-rate conforming loans in the Miami area for well-qualified borrowers. Wells Fargo (www.wellsfargo.com) offered rates at 3.63%, JP Morgan Chase (www.jpmorganchase.com) and Branch Banking & Trust (www.bbt.com) offered rates at 3.75%. The Bank of America (www.bankofamerica.com) offered rates at 3.88%. The Suntrust Bank (www.suntrust.com) offered rates at 3.99%. HSBC Bank (www.banking.us.hsbc.com) offered rates at 4.00% and Citibank (www.citibank.com) offered rates at 4.13%.
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 Miami 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|
|Bank of America||05/04/2012||3.88%||4.00%||3.00%||3.32%||2.63%||3.17%|
|Branch Banking & Trust||05/04/2012||3.75%||4.12%||2.88%||3.56%||2.50%||2.75%|
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.