Mortgage Rates in Muskegon, MichiganMarch 2026

Updated March 2026 | Based on Muskegon market data and regional lending conditions

30-Year Fixed
6.09%
15-Year Fixed
5.33%
Median Home Price
$145,000
Est. Monthly Payment
$900

Muskegon is a growing city in Michigan with a population of 38,318. The current 30-year fixed mortgage rate in Muskegon is 6.09%, which is 0.56% below the national average. With a median home price of $145,000 and a 20% down payment of $29,000, homebuyers can expect a monthly principal and interest payment of approximately $703.

Current Mortgage Rates in Muskegon, MI

Below are the current average mortgage rates available in the Muskegon 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 TypeRateNational AvgDifference
30-Year Fixed6.09%6.65%-0.56%
15-Year Fixed5.33%5.89%-0.56%
5/1 ARM5.59%6.15%-0.56%
FHA5.69%6.25%-0.56%
VA5.49%6.05%-0.56%
Jumbo6.29%6.85%-0.56%

Muskegon Housing Market Overview

The Muskegon housing market offers relatively affordable housing compared to many major cities. The median household income in Muskegon is $32,000, and the cost of living index is 80 (national average = 100). Based on the 28% affordability rule, you would need an income of approximately $38,571 to comfortably afford the median-priced home in Muskegon, which exceeds the current median household income.

Population
38,318
Median Income
$32,000
Property Tax Rate
1.63%
Cost of Living
80
Down Payment (20%)
$29,000
Income Needed
$38,571

Monthly Payment Breakdown for Muskegon

Based on the median home price of $145,000 with 20% down ($29,000), here is what you can expect to pay monthly in Muskegon:

Principal & Interest (30-yr at 6.09%)$703
Property Tax$197
Estimated Insurance$36
Total Estimated Monthly$936

15-Year vs. 30-Year Mortgage in Muskegon

Choosing a 15-year mortgage in Muskegon at 5.33% instead of a 30-year at 6.09% would save you $84,420 in total interest over the life of the loan. However, your monthly payment would be $937 instead of $703 — an increase of $234 per month.

Calculate Your Muskegon Mortgage Payment

Use our free calculator to get a personalized estimate based on your loan amount, interest rate, and term.

Open Free Calculator

Frequently Asked Questions About Mortgages in Muskegon

What are the current mortgage rates in Muskegon, MI?

As of March 2026, the average 30-year fixed mortgage rate in Muskegon, Michigan is 6.09%, while the 15-year fixed rate is 5.33%. FHA loans average 5.69% and VA loans 5.49%. These rates are 0.56% below the national average of 6.65%.

How much is a monthly mortgage payment in Muskegon?

Based on the median home price of $145,000 with 20% down, the estimated monthly mortgage payment in Muskegon is $703 for principal and interest. Including property taxes of $197/month, the total monthly housing cost is approximately $900.

What income do I need to buy a home in Muskegon?

Using the 28% rule, you would need an annual income of approximately $38,571 to afford the median-priced home in Muskegon at $145,000. The median household income in Muskegon is $32,000. This means most households would need to either earn above the median or consider homes below $145,000.

Is Muskegon a good place to buy a home in 2026?

Muskegon offers a below-average cost of living with a cost of living index of 80 (national average = 100). The property tax rate in Michigan is 1.63%, which is above the national average. Muskegon has a population of 38,318 and offers a very affordable lifestyle.

Mortgage Rates in Other Michigan Cities

Grand Rapids, MI
6.72% | $245,000
Ann Arbor, MI
6.72% | $415,000
Lansing, MI
6.72% | $135,000
Sterling Heights, MI
6.72% | $245,000
Warren, MI
6.72% | $175,000

Related Tools & Guides

Loan Calculator
Calculate any loan payment with amortization schedule
First-Time Homebuyer Guide
Everything you need to know about buying your first home
15 vs 30 Year Mortgage
Which mortgage term saves you the most money?
Mortgage Rate Forecast
Where are mortgage rates headed this year?

Last updated: March 2026. Rates are approximate averages based on regional lending data for the Muskegon, Michigan area. Individual rates may vary by lender, credit score, loan amount, and other factors. Use our free calculator for a personalized estimate.