Par Rate
A par rate is the interest rate a borrower can get with no discount points paid and no lender credit received.
What Par Rate means
It's the baseline pricing from which paying points lowers the rate or taking a credit raises it. Knowing your par rate clarifies whether points or credits make sense.
Florida example
A Florida lender quotes a 6.75% par rate. The borrower can buy it down to 6.5% with a point or accept 7.0% with a credit toward closing costs, depending on their cash and time horizon.
What it is
The par rate is the base interest rate a lender offers with no points paid and no lender credit given. It is the neutral starting point.
From there, you can buy the rate down with points or take a higher rate for a credit.
Why it matters
Knowing the par rate helps you see whether points are worth it. It is the honest baseline for comparing offers.
We show you the par rate and your options around it. Apply now and we will find the smartest choice.
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Verify the details for your own situation against these government and agency sources: Freddie Mac Primary Mortgage Market Survey and Federal Reserve H.15 selected rates.