Bank of America Mortgage Rates

Bank of America is offering some of the best mortgage rates available these days. For a single family home purchase in Dallas, Texas we were offered a 30-year fixed rate conforming mortgage at 4.875 percent with one discount point. The annual percentage rate on this mortgage qoute is 5.005 percent. The total lender fees were $9,386.00.

For 15-year fixed rate conforming mortgage we were offered a rate quote of 4.625 percent, with an annual percentage rate of 4.849 percent and one discount point. Not much lower than the annual percentage rate on the 30-year fixed rate mortgage. Closing costs on this loan also amounted to $9,386.00. Even though the APR is almost the same as a 30-year mortgage the real savings is being able to pay your mortgage off in half the time. 

For a 5-year adjustable rate conforming mortgage we were offered a quote of 3.875 percent, with an annual percentage rate of 3.99 percent and one discount point. The mortgage closing costs on this loan is the same as the fixed rate mortgages. Surprisingly we were also offered an interest only 5-year adjustable rate mortgage, most banks are not offering interest only mortgages these days. The rate, APR and discount points on the interest only loan is the same as the 5-year ARM.

With an interest only mortgage your monthly mortgage payments are about $600 lower but you won’t be paying down principal which can be dangerous in the long run. We were also quoted a 3-year ARM with a rate of 4.375 percent and an APR of  4.114 percent. One point and the same closing costs.

These rates are as of 5/15/09, check Bank of America’s website for more recent rates in your area.