Mortgage Rates in O'Fallon, Illinois — March 2026
Updated March 2026 | Based on O'Fallon market data and regional lending conditions
O'Fallon is a growing city in Illinois with a population of 31,977. The current 30-year fixed mortgage rate in O'Fallon is 6.63%, which is 0.02% below the national average. With a median home price of $225,000 and a 20% down payment of $45,000, homebuyers can expect a monthly principal and interest payment of approximately $1,153.
Current Mortgage Rates in O'Fallon, IL
Below are the current average mortgage rates available in the O'Fallon 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 | 6.63% | 6.65% | -0.02% |
| 15-Year Fixed | 5.87% | 5.89% | -0.02% |
| 5/1 ARM | 6.13% | 6.15% | -0.02% |
| FHA | 6.23% | 6.25% | -0.02% |
| VA | 6.03% | 6.05% | -0.02% |
| Jumbo | 6.83% | 6.85% | -0.02% |
O'Fallon Housing Market Overview
The O'Fallon housing market offers relatively affordable housing compared to many major cities. The median household income in O'Fallon is $65,000, and the cost of living index is 90 (national average = 100). Based on the 28% affordability rule, the median income in O'Fallon is sufficient to afford the median-priced home.
Monthly Payment Breakdown for O'Fallon
Based on the median home price of $225,000 with 20% down ($45,000), here is what you can expect to pay monthly in O'Fallon:
15-Year vs. 30-Year Mortgage in O'Fallon
Choosing a 15-year mortgage in O'Fallon at 5.87% instead of a 30-year at 6.63% would save you $144,000 in total interest over the life of the loan. However, your monthly payment would be $1,506 instead of $1,153 — an increase of $353 per month.
Calculate Your O'Fallon Mortgage Payment
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Open Free CalculatorFrequently Asked Questions About Mortgages in O'Fallon
What are the current mortgage rates in O'Fallon, IL?
As of March 2026, the average 30-year fixed mortgage rate in O'Fallon, Illinois is 6.63%, while the 15-year fixed rate is 5.87%. FHA loans average 6.23% and VA loans 6.03%. These rates are 0.02% below the national average of 6.65%.
How much is a monthly mortgage payment in O'Fallon?
Based on the median home price of $225,000 with 20% down, the estimated monthly mortgage payment in O'Fallon is $1,153 for principal and interest. Including property taxes of $328/month, the total monthly housing cost is approximately $1,481.
What income do I need to buy a home in O'Fallon?
Using the 28% rule, you would need an annual income of approximately $63,471 to afford the median-priced home in O'Fallon at $225,000. The median household income in O'Fallon is $65,000. The median income is currently sufficient to meet this threshold.
Is O'Fallon a good place to buy a home in 2026?
O'Fallon offers a below-average cost of living with a cost of living index of 90 (national average = 100). The property tax rate in Illinois is 1.75%, which is above the national average. O'Fallon has a population of 31,977 and offers a very affordable lifestyle.
Mortgage Rates in Other Illinois Cities
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Last updated: March 2026. Rates are approximate averages based on regional lending data for the O'Fallon, Illinois area. Individual rates may vary by lender, credit score, loan amount, and other factors. Use our free calculator for a personalized estimate.