Loan Mortgage Rate
Although low loan mortgage rate is difficult to obtain, but they are some peoples still success to get the loan. The banks / lenders offered the low rate to them are cause of they meet some specific criteria of lenders, such with very high income, owned many assets and high credit rating.
Anyhow, getting a lower rates and better term is target of all borrowers. Below are some tips to help you meet the specific requirements by lenders :-
1) Credit score - if your credit score is above 600. You are qualified for the lower interest rate, but you can't have any collection and late payment recently. And have at least 2 items on your report that qualify as revolving credit with a low balance. These are typically lines of credit or credit cards.
2) Purchase points also one of the way to get lower loan rate, a point is cost to 3% of of the total loan amount and will lower your interest rate. It will possible reduce from half to a whole percent depending on the bank and market. This solution actually work out to your benefit in the long term.
3) Take a shorter term of the loan, rate of the short term loan will definitely lower than long term. This mean you will paying off earlier if you have better investment, and this doesn't mean the monthly payment will be higher, in fact you save ton of interests.
4) Get several quotes from multiple banks and mortgage lenders. Compare their rates, select the lowest rate offered with minimum closing cost and charges.
5) If you willing to place a grand at bank will lower the interest rate also, at least 10% of the principal amount.
For more mortgage loan information, please check out
Home Loan Guide instead of Loan Mortgage Rate
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