Michelle Ortelli Shares Three Ways St. Johns County Homebuyers Can Improve Their Mortgage Rate Opportunities

New Realtor.com research highlights how credit scores, down payments and lender comparisons can affect mortgage rates, offering practical considerations for Northeast Florida homebuyers.

FOR IMMEDIATE RELEASE

ST. AUGUSTINE, Fla., Oct. 13, 2026

How can St. Johns County homebuyers qualify for a better mortgage rate?

St. Johns County homebuyers may improve their mortgage rate opportunities by strengthening their credit profiles, evaluating down payment options and comparing offers from multiple lenders. New national research from Realtor.com shows that borrowers can receive meaningfully different mortgage rates depending on their financial circumstances and lender selection.

Michelle Ortelli, Realtor with The Ortelli Team – Coldwell Banker Vanguard Realty, is sharing practical guidance to help homebuyers in St. Johns County, Florida, understand these findings and make more informed financing decisions.

The guidance follows research published October 1, 2026, by Realtor.com economist Jake Krimmel, who examined how borrower characteristics and lending decisions affect the mortgage rates consumers receive.

The findings suggest that buyers should not assume the average advertised mortgage rate represents the only rate available to them.

Mortgage rates can vary substantially among borrowers

According to Realtor.com’s analysis of Freddie Mac loan data, the middle 80% of borrowers received mortgage rates spanning 93 basis points within a single month.

That represents a difference of 0.93 percentage points.

The research illustrates that, using a 7% benchmark, those borrowers’ rates would range from approximately 6.50% to 7.43%.

For a hypothetical buyer working with a $2,000 monthly principal-and-interest budget, Realtor.com estimated that this difference could represent approximately $28,400 in additional home purchasing power.

These figures illustrate differences among borrowers in the national dataset. They do not represent guaranteed savings or actual mortgage offers available to individual buyers.

1. Credit scores can influence mortgage pricing

One of the strongest factors identified in the research was borrower credit quality.

Realtor.com found that improving a credit score from approximately 680 to 720 was associated with an 11-basis-point reduction in the mortgage rate, holding other analyzed characteristics constant.

For a buyer with a $2,000 monthly principal-and-interest budget, the study estimated approximately $3,200 in additional purchasing power.

Credit improvements may take time, making early financial preparation particularly important for prospective buyers.

Ortelli encourages buyers to consult qualified mortgage professionals before beginning an active home search so they can better understand their financing position and potential options.

2. Down payment decisions can influence financing costs

The research also found that down payment amounts can affect mortgage rates, although the benefits do not increase equally at every percentage threshold.

Moving from a down payment of 5% to 9% into the 10% to 14% range was associated with an approximately 5.5-basis-point rate improvement.

Larger down payments may provide additional benefits, but buyers should evaluate the full financing picture.

For conventional mortgages, reaching a 20% down payment can also eliminate the need for private mortgage insurance, potentially reducing monthly borrowing costs.

However, buyers should consider their available savings, closing expenses, emergency reserves and overall financial circumstances before deciding how much cash to contribute toward a purchase.

A larger down payment is not automatically the right decision for every borrower.

3. Comparing mortgage lenders can create opportunities

One of the most immediately actionable findings involved lender selection.

Realtor.com’s analysis found that borrowers with similar financial characteristics could receive different rates from competing lenders.

The research estimated that moving from a typical retail lender to one among the lowest-priced 10% of retail lenders was associated with an approximately 19-basis-point improvement.

For the study’s hypothetical $2,000 monthly principal-and-interest budget, that difference represented approximately $5,800 in additional purchasing power.

However, rate comparisons should extend beyond the advertised interest rate.

Buyers should also evaluate discount points, lender fees, annual percentage rates, mortgage insurance requirements, available loan programs and the lender’s ability to meet contractual deadlines.

Michelle Ortelli’s perspective for St. Johns County buyers

“For buyers in St. Johns County, the mortgage rate they qualify for can be just as important as the home’s purchase price. I encourage buyers to understand their credit, explore down payment options and compare lenders early. The goal is not just the lowest advertised rate, but financing that fits their needs and long-term financial comfort,” said Ortelli.

For buyers considering a home purchase in St. Johns County, mortgage preparation is one component of a broader financial decision.

Property taxes, homeowners insurance, association fees, maintenance expenses and individual financing terms can all affect the total cost of homeownership.

Ortelli emphasizes that homebuyers should evaluate these expenses together rather than concentrating exclusively on the mortgage interest rate.

What should buyers do before beginning their home search?

Prospective buyers can begin by reviewing their financial readiness with a qualified mortgage professional.

Understanding credit qualifications, available down payment funds and potential loan options can help buyers establish a realistic price range before making an offer.

Obtaining comparable written loan estimates from multiple lenders can also make it easier to evaluate differences in financing costs.

For buyers relocating to St. Augustine or other communities in St. Johns County, early preparation can be particularly helpful when coordinating a move, financing approval and purchase timelines.

The goal is to make decisions using current, property-specific and borrower-specific information rather than relying solely on national mortgage averages.

Important research limitations

The Realtor.com analysis primarily examined conventional loans acquired by Freddie Mac.

It did not include FHA, VA, jumbo or portfolio loans.

The underlying loan data also did not disclose discount points, meaning some observed differences in mortgage rates may reflect borrowers paying additional upfront costs to obtain lower rates.

The research findings are statistical estimates, not guarantees of individual financing outcomes.

Buyers should consult appropriately licensed mortgage professionals for information about current rates, qualification requirements and available financing programs.

Research Source

Realtor.com Economic Research

Jake Krimmel, October 1, 2026

Beating the Headline Mortgage Rate: What Borrowers Still Control in a 7% Market

https://www.realtor.com/research/mortgage-rates-credit-score-down-payment-2026/

FAQ 1: How can St. Johns County homebuyers get a lower mortgage rate?

St. Johns County homebuyers can potentially improve their mortgage rates by strengthening their credit, evaluating down payment options and comparing multiple mortgage lenders. Individual results depend on creditworthiness, loan terms and market conditions.

FAQ 2: What credit score helps buyers qualify for better mortgage rates in St. Johns County?

There is no single credit score that guarantees the best mortgage rate. Realtor.com’s national research found meaningful pricing improvements at certain credit thresholds, including approximately 700, 720 and 740. Buyers should consult a mortgage professional about their specific qualifications.

FAQ 3: Does putting 20% down guarantee a lower mortgage rate?

No. A 20% down payment does not guarantee a particular interest rate. However, reaching that threshold generally allows buyers using conventional loans to avoid private mortgage insurance, which can reduce overall monthly borrowing costs.

FAQ 4: Should St. Johns County buyers compare multiple mortgage lenders?

Yes. Comparing lenders can help St. Johns County buyers identify differences in interest rates, closing costs, discount points and loan programs. Buyers should compare equivalent loan terms and written estimates rather than advertised rates alone.

FAQ 5: Is the lowest mortgage interest rate always the best financing option?

Not necessarily. A lower interest rate may require paying additional discount points or other upfront fees. Buyers should evaluate the annual percentage rate, expected ownership period, closing costs and total financing expenses.

FAQ 6: Should buyers wait for mortgage rates to decline before purchasing in St. Johns County?

That depends on individual finances, housing needs and available properties. Future mortgage rates are uncertain. Buyers should evaluate whether a purchase is affordable under current financing terms rather than assuming refinancing at a lower rate will become available.

About Michelle Ortelli

Michelle Ortelli is a Realtor with The Ortelli Team – Coldwell Banker Vanguard Realty, serving homeowners, buyers and relocation clients throughout St. Johns County, St. Augustine and Northeast Florida.

Her professional focus includes residential real estate, luxury properties, relocation, second homes and helping homeowners sell with confidence.

Ortelli provides real estate guidance focused on informed decisions, transparent communication and each client’s individual property goals.

Media Contact

Michelle Ortelli
Realtor
The Ortelli Team – Coldwell Banker Vanguard Realty

904-570-8130
mortelli@cbvfl.com
www.ortelliteam.com

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