Pennsylvania Refinance Rates & Programs 2026

Pennsylvania homeowners face moderate refinancing costs with some unique state taxes. From Philadelphia to Pittsburgh and across the Keystone State, here's what you need to know.

Current Pennsylvania Refinance Rates

| Loan Type | Average Rate | |-----------|--------------| | 30-Year Fixed | 6.22% | | 15-Year Fixed | 5.54% | | FHA 30-Year | 6.17% | | VA 30-Year | 5.50% |

Use our refinance calculator.

Pennsylvania-Specific Programs

Pennsylvania Housing Finance Agency (PHFA)

• Keystone Home Loan Program
• Down payment assistance available
• Mortgage Credit Certificates

USDA Refinancing

Rural PA counties qualify for USDA loans outside Philadelphia, Pittsburgh, Harrisburg, and Allentown.

Cost of Refinancing

Moderate-to-high costs:

| Cost Item | Typical Amount | |-----------|---------------| | Origination | $0 - $2,500 | | Appraisal | $450 - $700 | | Title | $800 - $1,400 | | Recording | $100 - $200 | | PA mortgage tax | See below | | Total | $4,500 - $8,000 |

Pennsylvania Mortgage Tax: PA charges 2% on new mortgage amount for refinances (one of the highest in the nation).

Example: $400,000 loan = $8,000 tax

However: This can sometimes be avoided or reduced depending on the county and lender structure. Ask your lender about options.

When to Refinance

Given PA's 2% mortgage tax, you need rates to drop 1.0%-1.5%+ to justify refinancing in most cases. Factor this cost carefully.

FAQ

How long? 35-45 days. Can I avoid the 2% tax? Sometimes, depending on county and lender. Ask your lender. Property taxes change? No. Credit score? 580 FHA, 620 conv, 740+ best.

Bottom Line

PA's 2% mortgage tax makes refinancing expensive. Only refinance if rates dropped significantly and you plan to stay 5+ years.

Get quote: See rates.

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Author: Bill McCoy, 15 years experience.