Best Mortgage Rates in Pennsylvania

See Mortgage Rate Quotes for Your Home


Mortgage rates in Pennsylvania vary considerably by lender and only slightly depending on your location in the state. We collected online quotes from both banks and direct mortgage lenders to find the lowest rates on purchases and refinance mortgages in cities like Philadelphia and Pittsburgh. Read more about the best rates we found in Pennsylvania or enter your information in the tool above for quotes.

Best Pennsylvania Mortgage Rates for Purchasing

We started our survey based on a hypothetical borrower profile with a $170,000 purchase price, 20% down payment and a credit score of 740. We also looked for rates as close as possible to zero mortgage points.

Lowest Mortgage Rates Online for Pennsylvania

We found that the best purchase mortgage rates in Pennsylvania can be found among direct lenders, which were substantially lower than the rates we were quoted at the state's most popular bank lenders.

30-year fixed15-year fixed5/1 ARM
Garden State Home Loans3.79%3.08%3.63%
Sebonic Financial3.89%3.24%3.72%
First Direct Mortgage4.00%3.25%3.72%

Based on the profile described above, direct lenders offered the biggest rate advantage over banks on 30-year and 15-year fixed rate mortgages. In contrast, direct lender rates for adjustable rate mortgages (ARM) were similar to bank quotes on the same loan amount.

Mortgage Rates at Pennsylvania's Largest Lenders

We also looked at purchase mortgage rates from the most active lenders in Pennsylvania, based on the number of active mortgages and origination dollars. In this group, Dollar Bank offered the best rate on both types of fixed rate mortgages. However, this was partly because Dollar Bank provided no zero-point mortgages, meaning that its advertised rates included the effect of purchasing mortgage points in order to lower the final interest rate.

30-year fixed15-year fixed5/1 ARM
Dollar Bank4.01%3.17%3.73%
Wells Fargo4.08%3.38%3.63%
Citizens Bank4.08%3.39%3.86%

Best Refinancing Rates in Pennsylvania

For Pennsylvanians thinking about refinancing a current mortgage, we found a much wider range of available rates in each mortgage type than we did for purchase mortgages. For example, there was a 70-basis-point difference in the lowest and highest 15-year fixed rate among direct lenders. However, these differences were dependent on the individual lender rather than on the specific zip code we used.

Best Online Mortgage Refinance Rates for Pennsylvania

As with purchase mortgages, direct lenders offered the best refinancing rates, beating traditional banks by a dozen percentage points on fixed rate mortgage rates. ConsumerDirect Mortgages charged the lowest rates in all three of the mortgage types we surveyed. However, the differences among competing lenders in 30-year fixed rate quotes was relatively slim.

30-year fixed15-year fixed5/1 ARM
AnnieMac Home Mortgage3.81%3.25%3.70%
NBKC Bank4.02%3.34%3.88%
Sebonic Financial4.36%3.82%3.92%

Mortgage Refinance Rates Among Top Pennsylvania Lenders

Bank lenders in Pennsylvania generally fall behind direct lenders except in the case of 5/1 adjustable rate mortgages. 5/1 ARM rates from the state's biggest mortgage lenders were largely similar to those obtained from direct lenders. The lowest rates overall belonged to Dollar Bank, which also provided the lowest purchase rates for a brick-and-mortar bank. Again, however, some of these rates were dependent on the purchase of points; the bank did not provide rate estimates for a zero-point refinance mortgage.

30-year fixed15-year fixed5/1 ARM
Dollar Bank4.00%3.19%3.72%
Citizens Bank4.22%3.53%3.86%
Wells Fargo4.35%3.80%4.01%

Pennsylvania Mortgage Rates by City

To test whether mortgage rates in Pennsylvania change according to city, we asked the state's biggest lenders for purchase mortgage rates in four cities, based on the same $170,000 loan profile used above. The differences in rate were minimal: most lenders kept their rates the same regardless of zip code, and rate increases for the largest markets went no higher than 0.08 percentage points.

CityLender30-Year Fixed15-Year Fixed5/1 ARM
Wells Fargo4.08%3.38%3.63%
Citizens Bank4.08%3.39%3.86%
Dollar Bank4.01%3.17%3.73%
Online Lenders3.79%3.04%3.62%
Wells Fargo4.08%3.53%3.94%
Citizens Bank4.08%3.39%3.86%
Dollar Bank4.01%3.17%3.73%
Online Lenders3.75%2.93%3.42%
Wells Fargo4.08%3.54%3.96%
Citizens Bank4.08%3.39%3.86%
Dollar Bank4.01%3.17%3.73%
Online Lenders3.75%2.93%3.42%
Wells Fargo4.08%3.53%3.94%
Citizens Bank4.08%3.39%3.86%
Dollar Bank4.01%3.17%3.73%
Online Lenders3.75%2.93%3.42%

In most cities, the best mortgage rates at direct lenders outperformed bank rates for all three loan types. The lone exception we found was the Wells Fargo 5/1 ARM rate for Philadelphia, which proved nearly identical to the lowest direct lender rate. While online rates were the lowest, they were also the most affected by location, with higher rates in all categories of purchase mortgages in Philadelphia.

Philadelphia, PA

  • Average 30-Year Rate at Top 5 Lenders: 4.05%
  • 2017 Average Mortgage Amount: $195,109

According to the estimates we received from direct lenders, Pennsylvania's largest metropolitan area had the highest mortgage rates in the state. However, Wells Fargo actually offered lower rates on 15-year mortgages and 5/1 ARMs in Philadelphia than it did in any of the other cities we looked at. Nevertheless, the bank failed to match the best available rates online, overshooting direct lender rates by nearly 30 basis points on fixed rate mortgages. So far in 2017, the average mortgage amount in Philadelphia county has stayed about $25,000 over the state median sales price.

Pittsburgh, PA

  • Average 30-Year Rate at Top 5 Lenders: 4.02%
  • 2017 Average Mortgage Amount: $145,050

In Pittsburgh, PNC made one of its only location-based rate adjustments for mortgages, dropping the 15-year and 30-year fixed rate estimates relative to Philadelphia. Overall, however, rates in Pittsburgh stayed about the same as what we found for smaller cities in Pennsylvania. Similarly, online quotes from direct lenders revealed a decrease for rates in Pittsburgh and the rest of the state compared to the highly populated areas around Philadelphia.

Allentown, PA

  • Average 30-Year Rate at Top 5 Lenders: 4.02%
  • 2017 Average Mortgage Amount: $181,846

The average mortgage rates for Allentown were essentially the same as those quoted for Pittsburgh, with minor increases in rates at PNC and Wells Fargo. The greatest difference was the unusually high rate on PNC's 15-year fixed rate for Lehigh County, which surpassed 3.50% in a market where direct lenders stayed below 3.00%. Still, this seemed in line with other increases relative to other areas of the state. PNC and Wells Fargo both posted slight markups in 15-year and 5/1 ARM rates for Allentown.

Erie, PA

  • Average 30-Year Rate at Top 5 Lenders: 4.02%
  • 2017 Median Listing Price: $79,900

Although Erie was by far the smallest of the areas we covered, banks made almost no changes to their rate structure. While Philadelphia seemed to have higher mortgage rates as a possible consequence of its denser population, Erie saw more of a difference in its average home prices than it did with typical mortgage rates. Erie's 2017 median listing price of less than $80,000 came in at less than 50% of the state median.

Tracking mortgage rates in the country as a whole showed that like most states, Pennsylvania's interest rates closely track national patterns. Historical data collected by the Federal Reserve shows that 30-year fixed mortgage rates haven't experienced drastic changes in some time. The importance of mortgage rate trends depends on whether you seek to purchase or refinance an existing mortgage.

line graph showing average U.S. rate on 30-year fixed rate mortgages between 2012 and 2017

Keeping track of mortgage rate trends is more important in refinancing, which boils down to a constant lookout for chances to lower monthly payments or pay off your balance more quickly. If you're willing to stay at the same payment amount, a reduced rate can also give you a way to tap the value of your home through a cash-out refinance. Cash-out refinancing means moving into a new mortgage with a lower rate but a higher outstanding loan balance and receiving the difference as cash.

Purchasers should know that rates are just one way to measure the cost of a mortgage. Closing fees on the front end of a low-rate mortgage can sometimes outweigh the benefit of a discounted rate. Generally, purchasing mortgage points and accepting lender credit are the two different ways in which you can choose between up-front payment and final interest rate. Finding the right balance between short- and long-term costs is an essential part of a successful mortgage shopping strategy.


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