Refinance rates in South CarolinaCurrent 30-year fixed mortgage refinance rates are averaging: 7.31%
The current average rate for a 15-year fixed mortgage refinance is: 6.76%
See whether refinancing makes sense for you using our mortgage refinance calculator.
What is the current mortgage rates forecast for 2024?The current mortgage rates forecast is for rates to drop over the course of 2024, ending the year near 6%. That’s a relief after 30-year rates reached a high of 7.79% in October 2023, but rates will almost undoubtedly remain elevated compared to where they were before the pandemic. Prospective buyers across the country are still struggling with housing affordability — this is due in part to mortgage rates but also because of low housing stock, inflation and other economic factors.
If the rate quotes you’ve been receiving are higher than you’d like, don’t worry. There are several factors determining mortgage rates that are within your control, and many steps you can take to get the best mortgage rate:
Read more about our picks for the best mortgage lenders.
When should I lock in my mortgage rate?Once you’re under contract on a house, you can ask your lender to give you a mortgage rate lock. It ensures that as long as you’re still moving toward closing at a reasonable pace, your interest rate won’t increase.
The South Carolina State Housing Finance and Development Authority (SC Housing) offers a loan program that pairs a 30-year purchase mortgage with a 15-year second mortgage. The second mortgage provides funds that can be used for a down payment, closing costs or prepaid costs (like homeowners insurance or property taxes). You won’t have to make monthly payments or worry about paying interest on that second loan as long as you stay in the home for 15 years.
Who qualifies?Borrowers must:
Be a first-time homebuyer* or purchase a home in a targeted area
Earn within the program’s income limits, which range from $82,900 to $155,820 depending on your household size and location
Purchase a home for $395,000 or less
Have at least a 640 credit score for conventional, VA and USDA loans; or at least a 620 score for FHA loans
Make at least a 3.5% down payment for FHA loans and 3% down payment for conventional loans. USDA and VA loans don’t have a minimum down payment requirement.
Take a homebuyer education course
*SC Housing may make an exception to the first-time homebuyer rule for single parents or borrowers with disabilities.
Who qualifies as a first-time homebuyer? People who have never owned a home
People who haven’t owned real estate in the last three years
This program is also from SC Housing and, similarly, offers conventional, FHA, VA and USDA loans that can be combined with down payment assistance. Qualified borrowers can receive up to 4% of their mortgage amount in forgivable down payment assistance. This means the money doesn’t have to be repaid as long as you stay in the home for 10 years.
The Palmetto program’s requirements are a little looser than the SC Housing Homebuyer program (covered above). You don’t have to be a first-time homebuyer or purchase in a targeted area — you only need to worry about the income and credit requirements.
Who qualifies?Borrowers must:
Have at least a 640 credit score
Earn no more than $124,000 per year
SC Housing’s County First program is specifically for borrowers who live in rural areas, offering special interest rates on a purchase mortgage, plus up to $8,500 in forgivable down payment assistance.
Who qualifies?Borrowers must:
Live in one of the following counties: Abbeville, Allendale, Bamberg, Barnwell, Beaufort, Calhoun, Chester, Clarendon, Dillon, Edgefield, Fairfield, Georgetown, Hampton, Jasper, Lee, Marion, Marlboro, McCormick, Newberry, Orangeburg, Saluda, Union or Williamsburg.
Earn within the program’s income limits, which range from $82,900 to $155,820 depending on your household size and location
Purchase a home for $395,000 or less
Have at least a 640 credit score for conventional, VA and USDA loans; or at least a 620 score for FHA loans
Make at least a 3.5% down payment for FHA loans and 3% down payment for conventional loans. USDA and VA loans don’t have a minimum down payment requirement.
Ready to explore more programs? Find more information at our first-time homebuyer programs page.
→ South Carolina conventional loans. Many borrowers choose conventional loans, especially those with strong credit. These loans can be a good option, but you’ll need to meet the minimum requirements set by Fannie Mae and Freddie Mac.
→ South Carolina FHA loans. For those who can’t quite reach the credit scores demanded by conventional loans, FHA loans can be a good choice. FHA loan requirements allow borrowers to qualify with a credit score as low as 500, as long as you make a 10% down payment. Borrowers with at least a 580 score have the option to put down as little as 3.5%.
→ South Carolina VA loans. VA loan requirements give borrowers even more leeway, since they don’t come with a VA-mandated minimum credit score or down payment amount.
→ South Carolina streamline refinances will be of interest to borrowers who want to refinance from an FHA loan into an FHA loan, or from a VA loan into a VA loan. You can use an FHA streamline refinance loan or VA interest rate reduction refinance loan (IRRRL) to “streamline” the refinance process, completing it with less time and paperwork.
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