If you are looking to buy a home, or want to get a mortgage, you probably have a few questions.
One of the questions we get asked a lot is “what should I use my money on?” Our advice is always the same. “What?” Why? Because you want to make as much money as possible, and as little as possible as soon as possible. In order to do that, you need to have a great credit score. Also, if you want to be a homeowner, you need to take out a mortgage on as much of your home as possible.
The advice on mortgage rates is also pretty standard. The first step in learning what your mortgage rate is is to look at the rate for your state. You can find out what your average mortgage rate is by looking at the site of your most likely lender. I usually look at rates for my state and mortgage calculator to get a general idea of what my mortgage is looking like.
In general, I don’t feel strongly about mortgage rates. My mortgage is only about $1,000 so it’s not like I’m paying more than I should be. However, I see a lot of mortgage calculators that give different rates based on which bracket of the mortgage you are in. I don’t get it. Maybe someone else does. I also see others that give different rates on the various types of mortgages.
My mortgage rate varies from 3.5, 5.5, and 7.0% depending on the type of loan you qualify for (fha, refi, jumbo) and the amount of money you put down. I’m in a jumbo bracket so I do not qualify for a refi. I also see a lot of people that base their rates on what they see in the newspaper.
This may sound a bit ridiculous, but it’s actually pretty common. I once had a customer that was looking to refinance his mortgage and said that he had a great rate, saw a great rate in the newspaper and had no idea whether or not it was legitimate. The first time I heard about it, I was appalled.
I’m not saying it’s wrong to base your rates on what you see in the newspaper, or that it’s wrong to base your rates on what you see in the newspaper. It’s just one of those things that people tend to do. Some people see a great rate in the newspaper, and they think it’s the most competitive rate around.
The problem with that is that its the most competitive rate that you don’t even know about yet. You have no idea whether or not that rate applies to you, which makes your decision to apply to it all the more important. For instance, even if your lender is offering you a great rate before you apply, your decision to do so is still important. If you get to the point of deciding to apply to that rate, you have a better chance of getting approved for it.
It’s not like this applies to every single lender out there either. If you are a new student loan, for instance, you may not have a good idea of whether or not your application is a good fit for your lender. That said, there are some lenders who are very transparent about their rate, and others who are more secretive. The good news is it doesn’t matter.
If you have an approved finance application, you know exactly what the rate is. The bad news is that your rate is often lower than it would be if you had a bad credit rating. The best news is that the lender is not likely to change the rate once you get approved. So regardless of the lender, your finance application and rate is as good as it gets.