North Dakota has had a housing boom in the past decade, with lots of available real estate. The state has middle-of-the-road mortgage rates and slightly lower home prices than the national average, making this state one to consider during this period of historically low mortgage rates.
North Dakota Mortgage and Refinance Interest Rates
Compare today’s average mortgage rates in the state of North Dakota, based on an aggregated pool of rates from multiple sources.
|Product||Rate||Rate Last Week|
|30-Year Fixed Rate||3.280%||3.260%|
|15-Year Fixed Rate||2.510%||2.520%|
|5/1 ARM Rate||N/A||N/A|
|30-Year Jumbo Mortgage Rate||3.280%||3.260%|
|30-Year Fixed Refinance Rate||3.380%||3.360%|
Rates data based on Fargo, North Dakota as of 3/5/2021
Mortgage Rates Trends
In this graph:
On , the APR was for the 30-year fixed rate, for the 15-year fixed rate, and for the 5/1 adjustable-rate mortgage rate. These rates are updated almost every day based on Bankrate’s national survey of mortgage lenders. Toggle between the three rates on the graph and compare today’s rates to what they looked like in the past days.
Note: Not sure how much house you can afford? Use our mortgage calculator to find out.
North Dakota has been a notable state to move to throughout the last decade, with its population reaching a record level of 762,062 people in 2019, up from 672,591 people in 2010. The growth in population has also increased the inventory for the housing market in North Dakota, with the state building homes at a faster rate than any other state between 2010 to 2017.
Homes in North Dakota fall just under the national average in terms of price, at about $185,000 compared to the national average of $204,900. Mortgage rates in North Dakota also tend to be a little lower than average, with lower mortgage rates than 32 other states, according to a 2019 study. With historically low mortgage rates, you could snag an average-priced home in North Dakota for a lower rate than you could get in many other places.
Getting a mortgage in North Dakota
With a boom in home inventory over the past decade, North Dakota had 5,795 homes on the market on Zillow as of May 2020. Applying for a mortgage in North Dakota is a straightforward process. Like most states, your credit history, assets, debt-to-income ratio and other factors will determine whether you get approved.
North Dakota offers assistance to help first-time homebuyers with closing costs and down payments. Look into the down payment and closing cost assistance program to decrease mortgage costs if you’re in the market for a North Dakota home.
- Median home price: $185,000
- Average 30-year fixed rate: 3.78%
- Median monthly mortgage cost: $1,389
- Homeownership rate: 62.7%
North Dakota state mortgage rate trends
North Dakota’s mortgage rates are consistently near the middle of the pack when compared to all states in the U.S. Since mid-2018, North Dakota’s rates have been on a downward trend. According to Zillow, they’re now at a two-year low, meaning it’s a great time to buy.
In mid-2018, the average 30-year fixed-rate hovered close to 4.9%, the 15-year fixed-rate was at 4.19% and the 5/1 ARM was around 4.3%. Those rates have been on a steady decline, with minor increases here and there, and have landed at today’s lowest rates: 3.02% for a 30-year fixed-rate mortgage, 2.65% for a 15-year fixed-rate and 3.75% for a 5/1 ARM.
North Dakota current mortgage rates
Mortgage rates in North Dakota are at historical lows due to the impact of COVID-19 — just as they are throughout the U.S. The average 30-year fixed rate was 3.02% as of August 2020.
For a 30-year fixed-rate mortgage refinance in 2020, the average rate was 3.11% in August 2020. For a 15-year fixed-rate mortgage, the average rate was 2.65%. For a 5/1 ARM, the average rate was 3.75%. For a 30-year fixed jumbo mortgage, the average rate was 2.98%. These rates are historically low, and the lower mortgage rates today give homebuyers and refinancers the opportunity to lock in low rates and pay less over time, even if mortgage rates climb in the future.
Most and least expensive places to live in North Dakota
Generally, the bigger the city in North Dakota, the higher the home price tends to be. North Dakota has 53 counties, and the most expensive county in North Dakota in 2019 was Burleigh County, home to North Dakota’s capital Bismarck. The median home value there was $269,916.
Conversely, smaller towns in North Dakota tend to have lower home prices. In Niche.com’s 2020 list of the North Dakota counties with the lowest cost of living, none of the top five counties on the list had more than 15,000 people. Benson County, which was named the 2019 least expensive county in North Dakota, was home to 6,886 people in 2020. The median home value there was $70,141.
- Burleigh County: $250,600 was the 2020 median home value.
- Stark County: $238,100 was the 2020 median home value.
- Cass County: $211,500 was the 2020 median home value.
- Ward County: 209,400 was the 2020 median home value.
- Grand Forks County: $193,300 was the 2020 median home value.
- Benson County: $73,600 was the 2020 median home value.
- Rolette County: $81,400 was the 2020 median home value.
- Walsh County: $85,600 was the 2020 median home value.
- Pembina County: $89,700 was the 2020 median home value.
- McHenry County: $123,200 was the 2020 median home value.
North Dakota state mortgage resources and intricacies
The North Dakota Housing Finance Agency (NDHFA) has several homebuyer programs that can lower housing costs. All require a $500 out-of-pocket cash investment and the home must be occupied as the primary residence.
The Down Payment and Closing Cost Assistance program provides low-income homebuyers with affordable home loans, including closing cost and down payment assistance. The Start Program provides low-to-moderate income buyers with affordable home loans, including closing cost and down payment assistance.
The NDHFA also offers the FirstHome program, which low-to-moderate income homebuyers who haven’t owned a home in the past three years can use to receive purchase assistance. The HomeAccess program offers similar assistance to veterans, single parents and families with elderly or disabled household members who may have previously owned a home.
As with most mortgage and refinancing procedures, to get a mortgage or to refinance in North Dakota, you’ll need to provide personal information like your checking, savings and investment account information, retirement account information, past and present addresses, employment records and other assets. To get lower rates, look into state mortgage assistance programs to see if you qualify.
The final word
North Dakota has experienced a statewide population and housing boom over the past decade. Because of this, there’s plenty of housing inventory available, and you can secure a home loan with average rates compared to the rest of the country — and at all-time low rates in history. If you already own a home in North Dakota and want to take advantage of the lower rates, refinance mortgages are also an option.