Brian McKay
Current 30-year fixed mortgage rates in Block Island, Rhode Island include The Peoples Credit UnionThe Peoples Credit UnionA+5.0 ★Texas Ratio: 3.20% at 6.38%, Coastal1 Credit UnionCoastal1 Credit UnionA+5.0 ★Texas Ratio: 1.35% at 6.75%, BankNewportBankNewportA5.0 ★Texas Ratio: 7.77% at 7.00%, and Citizens BankCitizens BankA5.0 ★Texas Ratio: 7.72% at 7.25%. Mortgage rates as of September 16, 2026 according to verified data from MonitorBankRates.
Block Island borrowers can compare 15 mortgage rates from 5 lenders serving the Rhode Island area, with mortgage rates as low as 6.38% from The Peoples Credit Union. Use the tabs below to compare available loan types. Rates are continually updated, so we recommend checking back frequently.
Mortgage Rates reflect actual verified offers from lenders actively lending to Rhode Island borrowers. Your final approved rate will depend on your credit profile, loan-to-value ratio, and daily market movements. Last Updated and Verified: September 16, 2026
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Rates as Low As; Fixed rate mortgage; APRs are based on a 45 day Rate Lock Agreement for purchase transactions only, a 25% down payment and a 760 or higher credit score. Rates are available for single family primary residence in Rhode Island, Southeastern Massachusetts or Eastern Connecticut. Lower down payments available. Closing costs apply. Subject to credit approval. Homeowners insurance is required. Flood insurance may be required. Other programs and terms may be available. Other terms and conditions may apply. Monthly payments do not include taxes and insurance. Your payments may be greater.
Rates listed include 0.125% autopay and paperless discount. Rates are for conforming purchase loans, are effective as of 09/11/2026 3:50 PM CT and subject to change at anytime. Rates include a 0.125 percentage point reduction which requires a Citizens consumer checking account set up at time of loan origination with automatic monthly payment deduction. One offer per property. Not applicable to Bond or CRA loans. Other restrictions may apply.
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Rates listed include 0.125% autopay and paperless discount. Rates are for conforming refinance loans, are effective as of 09/11/2026 3:50 PM CT and subject to change at anytime. Rates include a 0.125 percentage point reduction which requires a Citizens consumer checking account set up at time of loan origination with automatic monthly payment deduction. One offer per property. Not applicable to Bond or CRA loans. Other restrictions may apply.
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Compare local Block Island, RI mortgage rate quotes against the statewide average
Daily mortgage rate averages tracked across our database of verified mortgage rate quotes, updated every evening.
Rhode Island 30-year fixed rates rose 0.113 points over the past 7 days to 6.830%.
Rhode Island 15-year fixed rates rose 0.093 points over the past 7 days to 6.332%.
Where are Rhode Island mortgage rates headed through September 2027?
Based on Fed funds rate futures, 10-year Treasury path, and historical mortgage spread model. Not financial advice.
Monthly principal & interest payment on Block Island, RI median home of $303,400 (20% down, 30-year fixed, city-level Census ACS median)
| Scenario | Rate | Mo. Payment | vs. Today | % of Income |
|---|---|---|---|---|
| Today (RI avg) | 6.830% | $1,587 | — | 21.7% |
| 6-Month Forecast | 6.830% (6.48–7.13%) | $1,587 | +$0/mo | 21.7% |
| 12-Month Forecast | 7.080% (6.73–7.38%) | $1,628 | +$41/mo | 22.2% |
Income column = annual mortgage payment as % of Block Island, RI median household income ($87,796). Above 30% is generally considered cost-burdened.
A daily-updated affordability score for Block Island, Rhode Island , computed from local Census Bureau data combined with current Rhode Island mortgage rates. Based on Rhode Island statewide data for this location.
With a score of 85.4, Block Island, Rhode Island is 13.7 points less affordable than the national average of 99.1. The area’s median home value of $404,200 against a median household income of $87,796 produces a price-to-income ratio of 4.6x , modestly above the national norm. At the current Rhode Island mortgage rate of 6.830%, a buyer purchasing the median-priced home with 20% down would carry a monthly payment of approximately $2,115 in principal and interest.
Beyond the mortgage payment, the median total monthly owner cost in this area is $1,799, covering mortgage, property taxes, insurance, and utilities. Property taxes alone average $404/month ($4,842/year). These ongoing costs factor directly into the MBR-HAI alongside the mortgage rate and income data.
Score computed from Rhode Island statewide U.S. Census Bureau ACS 5-Year Estimates (2024) and CPS/HVS Q4 2025 data, combined with the current Rhode Island live mortgage rate. Score of 100 = national average at 6.5% reference rate. Full methodology →
City-level home value data is not available for Block Island ; figures below reflect Rhode Island statewide data.
The Rhode Island statewide median owner-occupied home value is approximately $404,200, according to the U.S. Census Bureau. The 2026 FHFA conforming loan limit for this area is $832,750 — meaning most buyers financing at 80% LTV will qualify for conforming loan pricing, making rate comparison across local lenders especially valuable.
The homeownership rate in Block Island, Rhode Island stands at 67.4%, near the national average of 65.7%. The homeowner vacancy rate of 0.4% signals a tight market with limited available inventory, making it critical to secure the best possible rate quickly when a suitable property becomes available.
Even a small difference in your interest rate can add up to tens of thousands of dollars over the life of a loan. The table below shows monthly principal and interest payments on a $400,000 mortgage.
| Interest Rate | Loan Term | Monthly Payment | Total Interest Paid |
|---|---|---|---|
| 6.330% | 30-year fixed | $2,484 | $494,139 |
| 6.830% Current Avg | 30-year fixed | $2,616 | $541,652 |
| 7.330% | 30-year fixed | $2,750 | $590,160 |
| 6.332% | 15-year fixed | $3,448 | $220,567 |
A 0.500% rate increase on a $400,000 loan adds roughly $135 per month and over $48,508 in total interest over a 30-year term. That’s why comparing verified, current rates from multiple lenders, using the rate table above, is one of the most impactful financial decisions a Block Island, Rhode Island buyer can make.
Data sources: U.S. Census Bureau; Federal Housing Finance Agency (FHFA). Monthly payments shown are principal & interest only; taxes, insurance, and PMI not included.
City-level Census data is not available for Block Island ; figures below reflect Rhode Island statewide data.
At a price-to-income ratio of 4.6x, Rhode Island is a relatively affordable housing market compared to national averages. That ratio, median home value divided by median household income, is a standard benchmark used by housing economists to gauge how accessible homeownership is relative to local earnings. The national baseline is approximately 3.8x.
With a median household income of $87,796 per year in Rhode Island statewide ($7,316/month) and a median home value of approximately $404,200, a buyer financing at 80% LTV at the current average rate would commit roughly 35.8% of gross monthly income to principal and interest alone. That places most buyers above the 30% threshold housing economists use to define "cost burdened", before taxes, insurance, HOA fees, or PMI are factored in.
Data sources: U.S. Census Bureau. Monthly payment estimate assumes 80% LTV at current average rate; principal and interest only.
A mortgage payment is just the starting point. Property taxes, insurance, and utilities add hundreds of dollars per month to the true cost of owning a home in Block Island, Rhode Island. Understanding the full picture before you buy is the difference between a home you can afford and one that stretches you thin.
In Block Island, Rhode Island, the median homeowner with a mortgage pays approximately $1,799/month in total housing costs, covering the mortgage payment, property taxes, insurance, and utilities. The median renter pays $1,342/month including utilities. The $457/month difference between owning and renting is relatively narrow, worth factoring carefully into a rent vs. buy analysis given that owners also build equity over time. Property taxes alone account for $404/month of the ownership cost, a figure that can vary dramatically by location and is often underestimated by first-time buyers.
The federal standard defines “cost burdened” as spending more than 30% of gross household income on housing. “Severely cost burdened” means spending 50% or more. Both thresholds leave little room for savings, emergencies, or other financial goals.
In Block Island, Rhode Island, 30.7% of homeowners with mortgages are cost burdened and 48.4% of renters are cost burdened. Renters face significantly higher burden rates than owners, a pattern that often reflects lower renter incomes rather than lower rental costs, and one that can make the path from renting to owning financially difficult even when mortgage payments might be affordable. With an owner burden rate of 30.7% near the national average of 28.0%, this market reflects typical affordability conditions for mortgage holders.
Data sources: U.S. Census Bureau, American Community Survey 5-Year Estimates. Monthly owner costs include mortgage payment, taxes, insurance, and utilities. Property taxes reflect median annual taxes for mortgage holders. Rent reflects median gross rent including utilities. Cost burden figures reflect households spending 30%+ of gross income on housing.
See your estimated monthly principal & interest payment at today’s Block Island, Rhode Island rates. The home price is prefilled with the local median home value. Adjust anything, or click a current rate on the right to apply that loan type’s rate and term instantly.
Principal & interest only, excludes property taxes, homeowners insurance, PMI, and HOA dues. See the Full Cost of Homeownership section above for those figures. Estimates are for informational purposes only.
Rates are only part of the equation. Use these calculators to translate current Block Island, Rhode Island mortgage rates into real numbers for your specific situation before you talk to a lender.
Enter your loan amount, interest rate, and term length to see your estimated monthly principal and interest payment. Adjust any variable to model different scenarios: a larger down payment, a shorter term, or a rate a quarter-point lower than what you were quoted.
CalculateTell us your gross income, monthly debt obligations, and how much you have for a down payment. We’ll show you the home price range you’re likely to qualify for at current Block Island, Rhode Island rates, so you can shop with a realistic number in mind rather than discovering your ceiling after you’ve fallen in love with a property.
CalculateIf you already own a home, enter your current rate, remaining loan balance, and the rate you’ve been quoted to refinance. The calculator shows your new monthly payment, how much you’d save each month, and the break-even point, the number of months it takes for your savings to cover the closing costs of refinancing.
CalculateBuying isn’t always the better financial decision, and renting isn’t always throwing money away. This calculator weighs the full cost of each path: mortgage payments, taxes, insurance, and maintenance against rent increases and the opportunity cost of a down payment, to show which option builds more wealth over your intended time horizon in Block Island, Rhode Island.
CalculateNot every loan program is right for every buyer in Block Island, Rhode Island. Rates, down payment requirements, eligibility rules, and long-term costs vary significantly across products, and the right choice depends on your credit profile, how long you plan to stay, and whether you qualify for any government-backed programs.
A fixed-rate mortgage locks your interest rate in for the entire loan term. Your principal and interest payment on day one is identical to payment 360. That predictability is valuable for long-term financial planning, especially in markets where housing costs represent a large share of household income.
Available in 10-, 15-, 20-, and 30-year terms. The 30-year minimizes monthly payments; the 15-year cuts total interest paid dramatically but requires a higher monthly commitment. The payment comparison table above shows exactly how those trade-offs look at today’s Block Island, Rhode Island rate levels.
An ARM offers a fixed introductory rate for an initial period, commonly 5, 7, or 10 years, after which the rate adjusts periodically based on a market index. The starting rate is typically lower than a comparable fixed-rate loan, which reduces your monthly payment during the initial window.
ARMs work best when you have a defined exit timeline: if you plan to sell or refinance before the fixed period ends, you capture the lower rate without exposure to future adjustments. Rate caps govern how much the rate can move at each adjustment and in total, so read those terms closely before committing.
Backed by the Federal Housing Administration, FHA loans are built for buyers who don’t yet meet conventional loan standards. You can qualify with a credit score of 580 and just 3.5% down, and some lenders will consider scores as low as 500 with a 10% down payment.
The cost of that lower barrier is mortgage insurance. FHA loans carry an upfront MIP of 1.75% of the loan amount (which can be rolled in) plus an annual MIP of 0.15%–0.75% depending on your term and LTV. For buyers who would otherwise wait years to save a larger down payment, given ongoing home price trends in Block Island, Rhode Island, FHA is often the faster path to ownership.
Available to eligible active-duty service members, veterans, reservists, National Guard members, and qualifying surviving spouses, VA loans are among the most favorable mortgage programs available anywhere. No down payment is required, there is no monthly mortgage insurance, and rates are generally competitive with, and often better than, conventional loan rates.
A one-time funding fee applies, 2.15% of the loan for first-time VA borrowers with no down payment, which can be financed into the loan. In Block Island, Rhode Island, where home prices require substantial savings for a conventional down payment, the zero-down VA benefit is an enormous advantage for those who qualify.
The 2026 FHFA conforming loan limit for Block Island, Rhode Island is $832,750. Mortgages above that amount are classified as jumbo loans and are not eligible for purchase by Fannie Mae or Freddie Mac, which means lenders carry the full risk and price that risk accordingly.
Jumbo underwriting is stricter: lenders typically require a credit score of 700 or higher, substantial cash reserves, thorough income documentation, and a down payment of at least 10–20%. Rates may run slightly above conforming levels, though the gap narrows in competitive lending environments.
Independent, Free, and Unbiased Rate Comparisons: MonitorBankRates.com is an independent rate comparison service. Our Block Island, Rhode Island mortgage rate tables are free for consumers to use, and we do not receive payment from any lender to be included or to be ranked in any particular order. Listings are based solely on the rates each lender publicly advertises on its own website.
A Note on Third-Party Rate Tools: Some pages on our site also feature rate comparison widgets and tools provided by third-party partners. These tools may include sponsored listings or affiliate links, and we may receive compensation when users click through them. We clearly label these widgets so you can tell at a glance which rates come from our independent MonitorBankRates.com tables and which come from our advertising partners.
Direct-Sourced & Verified Mortgage Rate Data: We aggregate mortgage and refinance rates for Block Island, Rhode Island directly from the official websites of local lenders, credit unions, and national mortgage originators using our proprietary rate aggregation technology and a dedicated team of rate updaters. Every rate displayed is highly accurate and trustworthy.
Local, Regional, and National Coverage: Our systems constantly monitor the market to provide a complete picture of available home loan products in Block Island, Rhode Island. We feature a comprehensive mix of licensed NMLS financial institutions, from neighborhood credit unions and competitive regional banks to large national originators available to borrowers in RI.
Daily Updates & Time-Stamped Accuracy: Our rate updaters verify and update mortgage rates daily. Because rates and APRs can fluctuate rapidly based on bond markets and economic conditions, every loan product features its own “last updated” date for full transparency.
Proprietary Lender Health & Safety Grades: Beyond tracking rates, MonitorBankRates evaluates the financial stability of every listed institution. Our Health Grades (A+ to F) and Star Ratings are composite metrics calculated using objective regulatory data, including the Texas Ratio, ensuring you compare rates from secure, reliable lenders.
A mortgage is a loan used to buy a home in Block Island, Rhode Island, secured by the property itself as collateral. The borrower repays the amount over a set term, most commonly 30 or 15 years, in monthly installments that cover both principal and interest. Because the loan is secured, the lender can foreclose on the home if payments are not made, which is part of why mortgage rates are lower than rates on unsecured debt.
A fixed-rate mortgage keeps the same interest rate for the entire term, so a Block Island, Rhode Island homeowner’s principal-and-interest payment never changes. For example, The Peoples Credit Union is listing a 30 Year Fixed Rate at 6.38%. An adjustable-rate mortgage (ARM) starts with a fixed period, often five, seven, or ten years, and then adjusts periodically based on a market index. ARMs usually open with a lower rate, but the payment can rise once the fixed period ends, so they tend to suit Block Island, Rhode Island borrowers who expect to move or refinance before that point. On the adjustable-rate side, The Peoples Credit Union is listing a Adjustable Rate Mortgage - 5/1 ARM at 5.88%.
Mortgage rates move with the broader bond market, particularly the yield on the 10-year Treasury, plus a spread that reflects lender costs and risk. On top of that national baseline, the rate a Rhode Island borrower is offered depends on individual factors: credit score, down payment size, loan amount, loan type, and the property itself. This is why the advertised rates above are a starting point, and a borrower’s final rate is set once an application is underwritten.
The interest rate is not the only cost of buying a home in Block Island, Rhode Island. Discount points are an optional upfront fee (one point equals one percent of the loan amount) paid to lower the rate over the life of the loan. Closing costs cover items such as origination fees, appraisal, title insurance, and recording, and typically run two to five percent of the loan. Comparing the annual percentage rate (APR) alongside the note rate helps Block Island, Rhode Island shoppers account for these costs when weighing lenders.
Refinancing replaces an existing mortgage with a new one, usually to secure a lower rate, change the term, or tap home equity. For Block Island, Rhode Island homeowners, the general guideline is that refinancing makes sense when the savings from a lower rate recoup the closing costs within the time the borrower plans to stay in the home, known as the break-even point. Borrowers also refinance to switch from an adjustable rate to a fixed rate, or to remove mortgage insurance once enough equity has built up. Current Block Island, Rhode Island refinance rates from local lenders are listed on our refinance page.