Mortgage Rates in Decatur, Illinois — March 2026
Updated March 2026 | Based on Decatur market data and regional lending conditions
Decatur is a growing city in Illinois with a population of 70,522. The current 30-year fixed mortgage rate in Decatur is 6.69%, which is 0.04% above the national average. With a median home price of $85,000 and a 20% down payment of $17,000, homebuyers can expect a monthly principal and interest payment of approximately $438.
Current Mortgage Rates in Decatur, IL
Below are the current average mortgage rates available in the Decatur area as of March 2026. Rates vary by lender, credit score, and loan-to-value ratio. Use our free calculator above to see your personalized estimate.
| Loan Type | Rate | National Avg | Difference |
|---|---|---|---|
| 30-Year Fixed | 6.69% | 6.65% | +0.04% |
| 15-Year Fixed | 5.93% | 5.89% | +0.04% |
| 5/1 ARM | 6.19% | 6.15% | +0.04% |
| FHA | 6.29% | 6.25% | +0.04% |
| VA | 6.09% | 6.05% | +0.04% |
| Jumbo | 6.89% | 6.85% | +0.04% |
Decatur Housing Market Overview
The Decatur housing market offers relatively affordable housing compared to many major cities. The median household income in Decatur is $38,250, and the cost of living index is 80.5 (national average = 100). Based on the 28% affordability rule, the median income in Decatur is sufficient to afford the median-priced home.
Monthly Payment Breakdown for Decatur
Based on the median home price of $85,000 with 20% down ($17,000), here is what you can expect to pay monthly in Decatur:
15-Year vs. 30-Year Mortgage in Decatur
Choosing a 15-year mortgage in Decatur at 5.93% instead of a 30-year at 6.69% would save you $54,900 in total interest over the life of the loan. However, your monthly payment would be $571 instead of $438 — an increase of $133 per month.
Calculate Your Decatur Mortgage Payment
Use our free calculator to get a personalized estimate based on your loan amount, interest rate, and term.
Open Free CalculatorFrequently Asked Questions About Mortgages in Decatur
What are the current mortgage rates in Decatur, IL?
As of March 2026, the average 30-year fixed mortgage rate in Decatur, Illinois is 6.69%, while the 15-year fixed rate is 5.93%. FHA loans average 6.29% and VA loans 6.09%. These rates are 0.04% above the national average of 6.65%.
How much is a monthly mortgage payment in Decatur?
Based on the median home price of $85,000 with 20% down, the estimated monthly mortgage payment in Decatur is $438 for principal and interest. Including property taxes of $147/month, the total monthly housing cost is approximately $585.
What income do I need to buy a home in Decatur?
Using the 28% rule, you would need an annual income of approximately $25,071 to afford the median-priced home in Decatur at $85,000. The median household income in Decatur is $38,250. The median income is currently sufficient to meet this threshold.
Is Decatur a good place to buy a home in 2026?
Decatur offers a below-average cost of living with a cost of living index of 80.5 (national average = 100). The property tax rate in Illinois is 2.07%, which is above the national average. Decatur has a population of 70,522 and offers a very affordable lifestyle.
Mortgage Rates in Other Illinois Cities
Related Tools & Guides
Last updated: March 2026. Rates are approximate averages based on regional lending data for the Decatur, Illinois area. Individual rates may vary by lender, credit score, loan amount, and other factors. Use our free calculator for a personalized estimate.