What Affects Mortgage Interest Rates in Tennessee
Tennessee mortgage interest rates are driven by national lending markets rather than state borders. Your credit profile, loan structure, property details and other application factors can affect the pricing offered to you.
A mortgage quote in Nashville can differ from one for a property in rural Tennessee when the borrower, property or loan details change.
When comparing lenders, look at both the interest rate and the annual percentage rate, or APR. The interest rate is the percentage charged for borrowing the principal. APR is a broader annualized measure that includes the interest rate plus certain loan costs.
If you’re considering changing the rate or term of a Tennessee mortgage, compare Tennessee refinance rates with your current loan.
Types of Mortgages Available in Tennessee
Tennesseans buying a home can choose among several mortgage structures, while the property's county can determine how much a conventional one-unit mortgage can reach before moving into the jumbo category.
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A conventional fixed-rate mortgage keeps the same interest rate for the full loan term.
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FHA loans in Tennessee follow separate borrower and property requirements. FHA loan limits are set separately from conforming limits and are published county by county.
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Eligible borrowers can compare Tennessee VA loan rates. VA financing follows its own borrower and property requirements.
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USDA loans combine borrower qualification with property eligibility and may apply when you are buying in an eligible rural part of Tennessee.
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An adjustable-rate mortgage can change after its initial rate period according to the loan terms.
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A jumbo loan finances an amount above the conforming limit that applies to the property's county. Tennessee's county-level difference is covered below.
Buyers entering the market for the first time can compare first-time homebuyer loan options in Tennessee.
Mortgage insurance treatment varies by loan program, so include mortgage insurance requirements by loan type when estimating the full payment.
2026 Conforming and Jumbo Loan Limits in Tennessee
Tennessee has two one-unit conforming thresholds for 2026. The limit is $1,029,250 in 14 counties and $832,750 in the remaining 81 counties.
All 14 higher-cost counties share the same $1,029,250 limit. That puts their jumbo threshold $196,500 above the threshold used in the other 81 counties.
| County |
2026 one-unit conforming limit |
| Cannon County |
$1,029,250 |
| Cheatham County |
$1,029,250 |
| Davidson County |
$1,029,250 |
| Dickson County |
$1,029,250 |
| Hickman County |
$1,029,250 |
| Macon County |
$1,029,250 |
| Maury County |
$1,029,250 |
| Robertson County |
$1,029,250 |
| Rutherford County |
$1,029,250 |
| Smith County |
$1,029,250 |
| Sumner County |
$1,029,250 |
| Trousdale County |
$1,029,250 |
| Williamson County |
$1,029,250 |
| Wilson County |
$1,029,250 |
The Federal Housing Finance Agency, or FHFA, sets conforming loan limits annually. A one-unit mortgage above the limit that applies to the property falls into the jumbo category.
Buyers financing above the applicable threshold can compare Tennessee jumbo loan rates.
These are 2026 limits for one-unit properties. Limits for two-, three- and four-unit properties are higher. The FHFA publishes annual conforming loan limit values by county and property size.
FHA financing uses a separate county-level limit system. The VA does not impose a loan limit for eligible borrowers with full entitlement. Lenders may still apply their own underwriting and loan-size requirements.
Tennessee Mortgage Payment Examples By Rate
Tennessee's payment examples extend to a $1,000,000 mortgage. That amount is above the $832,750 limit used in 81 counties and below the $1,029,250 limit in the state's 14 higher-cost counties. Use the Tennessee mortgage payment calculator to test a different loan amount or other mortgage details.
| Loan Amount |
5.50% |
5.75% |
6.00% |
6.25% |
6.50% |
| $1,000,000 |
$5,678 |
$5,836 |
$5,996 |
$6,157 |
$6,321 |
| $900,000 |
$5,110 |
$5,252 |
$5,396 |
$5,541 |
$5,689 |
| $800,000 |
$4,542 |
$4,669 |
$4,796 |
$4,926 |
$5,057 |
| $700,000 |
$3,975 |
$4,085 |
$4,197 |
$4,310 |
$4,424 |
| $600,000 |
$3,407 |
$3,501 |
$3,597 |
$3,694 |
$3,792 |
| $500,000 |
$2,839 |
$2,918 |
$2,998 |
$3,079 |
$3,160 |
| $400,000 |
$2,271 |
$2,334 |
$2,398 |
$2,463 |
$2,528 |
| $300,000 |
$1,703 |
$1,751 |
$1,799 |
$1,847 |
$1,896 |
The figures cover principal and interest only. Property taxes, homeowners insurance, mortgage insurance, association fees and other costs are not included.
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