What would a good percentage rate on a home loan be?

Depends on the term and your credit

Anything under 4% is a good rate.

You should still be able to secure a mortgage under 4%. I see 3.88–3.97 currently being offered.

Well, it all depends, really.

Are you talking about a first mortgage or a home equity line of credit (HELOC)? A HELOC is a second mortgage, and will naturally come with a somewhat higher rate due to its secondary nature.

M, I think it is more like a HELOC, @CWOTUS. She quoted me 4.5%.

I have money to put on my current mortgage to bring it down around $40,000, then plan to take the loan out from my bank for that $40. That was my lender’s suggestion. She said the gubment won’t let them do home finance loans for less than $40, or something.

Don’t go under the dollar threshold ($40,000) put the extra money in a money market or CD. Fix something on the house with extra money.

Remember to have six months or MORE of mortgage payments in a savings account.

There are banks lending at 3.65 % but for 15 year mortgages and about 3.8% for 30 year.

It is not the government that is say not mortgages under $40K it is the BANK.

Right now about 4% is good on a home loan that is a 30 year fixed. 15 year will be a little less.