There are so many things to consider when purchasing a new home, and your mortgage rate is definitely something to keep an eye on! The lower the rate, the more you save on the loan over its lifetime…and when it comes to a 30-year fixed rate loan, that can really add up!
So how do you get the lowest mortgage rate? Here are a few tips from The Jeff Brand Team, the #1 real estate agency in Flower Mound, Texas!
Have an Excellent Credit Score
Most people are aware that there credit score pays a key role in any loan application. Generally speaking, if you’re FICO score is above 760, you will be considered someone with excellent credit and given the best rates. But what if you’re not in that category? Work toward the highest credit possible by paying bills on time, paying down revolving debts, and keeping your credit inquiries and new debt to a minimum.
Put Down As Much as You Can
The higher the loan, the more risk it is for the lender. And higher risk = higher rates. While there are many loan options available for those who want to put 5% or 10% down on a loan, putting 20% or more down gives you less risk, and therefore, better rates guaranteed.
Explore Loan Products Available
Don’t just settle on the first 30-year fixed rate mortgage you see. There are many different loan products available, and this is where working with a reputable mortgage broker is vitally important to getting the best mortgage rate. He or she can help you explore shorter loan terms, variable rate loans, specialized loan programs, etc. A reputable, seasoned mortgage broker can find the loan products that best fit your individual needs.
April is a great time to buy, and The Jeff Brand Team is here to help! We will guide you through the entire home buying process, including recommending trusted mortgage brokers who will get you the best mortgage rates available.