Mortgage Rates in Allentown, Pennsylvania: 2026 Guide
30-year fixed: 6.7%. Median: $275,000.
Current Mortgage Rates in Allentown
| Loan Type | Rate | APR | Monthly* |
|---|---|---|---|
| 30-Year Fixed | 6.7% | 6.780% | $1,420/mo |
| 15-Year Fixed | 6.18% | 6.250% | $1,878/mo |
| 5/1 ARM | 6.08% | 6.430% | $1,330/mo |
Allentown Market Insights
Allentown is part of the Lehigh Valley, one of Pennsylvania’s fastest-growing regions. The area offers affordable housing with easy access to both Philadelphia and New York City. The healthcare and logistics sectors drive the local economy, and the downtown rekeyization has attracted new businesses and residents.
Frequently Asked Questions
What is the average mortgage rate in Allentown?+
How much down payment is needed in Allentown?+
What are property taxes in Allentown?+
What a $275,000 Home Costs in Allentown
At Allentown's median home price of $275,000, a 20% down payment is $55,000. On a 30-year fixed loan at 6.7%, the monthly principal and interest payment works out to $1,420, and property taxes add roughly $362 per month at an effective rate of 1.58%. That puts the total PITI payment near $1,782 a month before homeowners insurance and HOA fees.
Keeping housing at or below 28% of gross income means a buyer in Allentown typically needs to earn about $76,371 a year to carry this payment comfortably.
Tax & Rate Context in Allentown
The effective property tax rate in Allentown is 1.58%, which works out to roughly $4,345 a year on a median-priced home. The average 30-year fixed rate of 6.7% sits -0.01 points below the national average of 6.71%, giving local buyers a small payment advantage. Allentown has an estimated population of 126K, and demand in the local market affects how quickly homes move and how often sellers negotiate on price.