Utah is one of the best states in the U.S. to apply for mortgage loans, as gaining approval has become much easier than the past 10 years, according to the Mortgage Bankers Association.
Community Lending Group added that home loans in Salt Lake City and other cities in the state would also be more affordable due to low-interest rates. For instance, a 30-year fixed-rate mortgage can have an interest of as low as 3.93%, while lending companies can offer a 15-year fixed rate mortgage with an interest of as low as 3.10%.
Tax credits also await those who plan to buy their first house, providing buyers with another reason to have their very own property.
The federal government has offered tax incentives to first-time buyers as a way to stimulate investments in the property market. If you bought your first home in 2016 or you finally plan to buy one in 2017, find out if you qualify for a deduction on mortgage interest.
The deduction is one of the biggest tax incentives that you can get since it covers paid interest on loans worth up to $1 million. For married people that are filing a separate return, you could be eligible for up to a $500,000 tax break.
If you live outside Utah, there are other states that offer the best rates for mortgages. A 30-year fixed-rate mortgage in Pennsylvania, for example, could have an interest of as low as 3.91%. The best interest rate for a 15-year fixed rate mortgage in the state is also the same with what Utah can offer at 3.10%.
Take note, however, that your credit score will also affect your chances of landing a low-price mortgage aside from your area of residence.
Even as mortgage loan applications become easier in the U.S., there’s no certainty that it will remain for a long period of time. That’s why you should make a decision as quick as possible while market conditions are favorable to home buyers.