What is the average mortgage rate in Rhode Island in 2026?

The average 30-year fixed mortgage rate in Rhode Island is approximately 6.8% as of 2026, close to the national average of 6.8%. Rates vary by lender, credit score, and loan type.

What is the average monthly mortgage payment in Rhode Island?

For a $465,000 home with 20% down in Rhode Island, the estimated PITI (principal, interest, taxes, and insurance) is approximately $3,093/month at 6.8%.

Do I need PMI in Rhode Island?

Yes — if your down payment is less than 20%, lenders in Rhode Island require Private Mortgage Insurance (PMI). This typically adds 0.5–1% of the loan amount per year to your payment. PMI is removed once you reach 20% equity.

What is the average home price in Rhode Island?

The median home price in Rhode Island is approximately $465,000 in 2026, based on recent market data. Prices vary significantly by city and county.

What is the property tax rate in Rhode Island?

Rhode Island's effective property tax rate is approximately 1.4%, which translates to roughly $6,510 per year on a $465,000 home.

Rhode Island Mortgage Calculator 2026

Estimate your full monthly mortgage payment in Rhode Island — principal & interest, property taxes, homeowner insurance, and PMI if applicable. Uses the 6.8% average 2026 rate and Rhode Island-specific costs. Calculated privately in your browser.

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The Rhode Island Mortgage Calculator estimates your complete monthly housing cost — principal, interest, property tax, insurance, and PMI — using real 2026 data for Rhode Island. Enter any home price, down payment, and rate to get an instant PITI breakdown.

How Rhode Island Mortgage Rates Compare in 2026

The average 30-year fixed mortgage rate in Rhode Island is approximately 6.8% in 2026 — equal to the 6.80% national average. Rates in Rhode Island are influenced by local housing demand, median credit scores, and the share of conforming versus jumbo loans in the market.

On a $465,000 home with 20% down, a 6.8% rate produces a monthly principal and interest payment of approximately $2,425. A 0.25% rate increase adds roughly $46 to your monthly payment, so shopping multiple lenders can save thousands over the life of the loan.

Adjustable-rate mortgages (ARMs) often start lower but carry rate-reset risk. Most Rhode Island homebuyers choose 30-year fixed loans for payment predictability, especially with home prices currently at $465,000. FHA loans (3.5% down) and VA loans (0% down for veterans) are also popular in Rhode Island.

Last updated: May 2026. Rates shown are estimates based on national Freddie Mac data adjusted for Rhode Island market conditions.

Rhode Island-Specific Closing Costs and Fees

Beyond your down payment, Rhode Island homebuyers pay closing costs averaging 2–5% of the loan amount. On a $372,000 loan, that is approximately $7,440–$18,600 due at closing. Key fees include:

Origination fee: 0.5–1% of the loan amount for lender processing.
Title insurance: Protects against prior ownership claims. Required by most Rhode Island lenders.
Appraisal: $400–$700 to confirm the home value matches the purchase price.
Prepaid property taxes: Rhode Island lenders typically collect 2–3 months of property tax at closing into an escrow account. At 1.4%, that is approximately $1,627 upfront.
Homeowners insurance: First year premium (~$1,500) is usually paid at closing.
Transfer taxes: Vary by county in Rhode Island — ask your agent for local rates.

Some of these costs are negotiable. Sellers sometimes cover a portion of buyer closing costs as a concession, particularly in slower Rhode Island markets.

First-Time Buyer Programs in Rhode Island

Rhode Island Housing FirstHomes100 and RIHousing Loan Center programs. These programs can reduce the cash needed to close by thousands of dollars, making homeownership more accessible in Rhode Island's current market.

FHA loans are available nationwide and require only 3.5% down with a 580+ credit score — ideal for first-time buyers in Rhode Island who have limited savings. USDA loans offer 0% down for eligible rural properties in Rhode Island. VA loans are available to qualified veterans and active-duty service members with no down payment required and no PMI.

If your down payment is below 20%, Private Mortgage Insurance (PMI) adds approximately $186/month to your payment at a 0.6% annual rate. PMI can be removed once your loan-to-value ratio reaches 80%, so making extra payments accelerates the timeline to dropping PMI.

Rhode Island Mortgage Calculator — Real Estate Conveyance Tax and RIHousing Programs

Two Rhode Island specifics this calculator does not automatically include: (1) Real Estate Conveyance Tax (RI's state transfer tax). Per RI Division of Taxation, the rate is $2.30 per $500 of consideration ($4.60 per $1,000), split into $2.30 state portion and $2.30 municipal portion. On a $460,000 home that is $2,116, typically paid by the seller but negotiable in the purchase agreement. Homes above $800,000 add a "Mansion Tax" of an extra $2.30 per $500 on the portion above $800K. (2) RIHousing FirstHomes100 program — the flagship RI first-time buyer loan combines below-market 30-year fixed rates with up to $17,500 in down-payment / closing-cost assistance as a 15-year deferred second mortgage forgiven at year 5 (partially) and year 15 (fully) for buyers under income limits (typically ~$120K single, ~$140K family depending on county). See rihousing.com for the current-year income and purchase-price caps. Combined with the RIHousing rate discount, first-time RI buyers can shave 0.5-0.9% off the ~7.05% market rate this calculator uses — worth $100-$180/month on a $368,000 loan. Updated 2026-07-16.