Free Mortgage Interest Rate Quote
Free Mortgage Interest Rate Quote - If you are currently shopping for a new mortgage to purchase a home, or to refinance your existing home, you can receive a free mortgage interest rate quote by emailing me at firstname.lastname@example.org.
But first there are some things you should know about receiving mortgage interest rate quotes!
The more information your provide to your mortgage company the more accurate your interest rate quote will be. At the minimum you need to know your middle credit score, monthly income, monthly liabilities (including car payments, credit card payments, personal loan payments, etc) and requested loan amount. IF you do not know this information then a rate quote will be meaningless. Rather than shopping for a rate, start your shopping for a trustworthy mortgage agent.
Interest rates change daily and all throughout the day. With this in mind, you should try and obtain all of your mortgage interest rate quotes around the same time, and definitely within the same day. If you receive mortgage quotes at different times of the month or spread out over the course of a couple of months you will most likely receive very different rate quotes among the different lenders due to the rates changing constantly. Spreading your quotes out over time may not provide you with the best interest rates or allow you to compare rates amongst the different lenders very accurately.
Unless I have taken a complete mortgage loan application and know the specifics of your qualifications, the interest rate quote is more general information than a specific quote tailored to your situation. As mentioned, the rate quoted will only be accurate if you decide to move forward and the rate is locked that day. Shopping for a mortgage by getting numerous rate quotes can be quite frustrating. Most borrowers have found that rates vary only slightly from one lender to another. Most have found it is better to pick a mortgage agent to work with based on their professionalism and experience rather than who can shout the lowest rate.
When you get a rate quote, you should also get a Good Faith Estimate (GFE). This disclosure will break down all of the costs associated with the closing of your loan. Sometimes a great rate can come with high fees. In the end, it may be cheaper to go with a higher interest rate with lower fees.
When comparing interest rate quotes from different companies, be sure to compare the same products. Pay attention to loan specifics such as fixed rate or adjustable rate, length of loan term, full doc, stated income, or no doc, prepayment period, rate lock period, etc.
How do I pick the best rate quote? - If
you've been shopping for the best mortgage rates, you've probably discovered that its hard to tell which company can offer you the best rates with great service.
So just how do you go about rate shopping to find the best options for your upcoming refinance or home purchase?
When trying to pick out which mortgage company's rate quote is the best, you need to consider a couple of things. You should consider obviously the rates that are being quoted, the GFE (Good Faith Estimate) that the mortgage company has provided, and how much you trust the individual or company that you are working with. By using a combination of these 3 factors they should help you to make a good decision as to which rate quote to go ahead with.
If you are doing a 100% loan and you want to weigh the differences between one loan and two loans do the following. For example, if you have an 80/20 loan, of 160,000 and 40,000 take the rate for the 1st loan and multiply it times .8. Then take the rate for the 2nd loan and multiply it times .2. Then take those two numbers and add them up. The number you receive is your rough "weighted" interest rate. Then if you were quoted a rate on a single loan, compare the "weighted" average of the 80/20 deal to the single loan rate, and you can gain a sense of what is the most economical deal for you.
You can make a high level comparison using APR, assuming all loan terms are identical. For a truer analysis, you need to take a look at the interest rate and the closing costs and make some assumption on how long you will keep the mortgage. Then calculate the total cost of the mortgage over that period of time. If the different quotes have different terms, you are going to need to estimate the cost of some soft factors, such as what is not having a one-year prepay worth to you.
It is very important to compare terms of the loan when comparing rates. One company may be telling you that the rate they offer is a full percentage (1%) lower than another, but it may not be for the same loan. Many times a lower rate is offered on an adjustable rate mortgage, or for a 15 year term rather than 30 years- thus resulting in a higher payment even with a lower rate. This may or may not be the loan that is right for you. There are so many different
mortgage programs out there, so be sure to let your mortgage professional know what your goals are with this home (ie. how long you plan on living there, if you plan on refinancing etc...) so that he or she can structure the program best
fit for your needs.
Just choosing the lowest rate isn't always the best answer. High closing costs can outweigh a "good deal". One effective way to compare apples to apples is to compare the APR of your rate quotes. This will be found on the Truth In Lending disclosure and should be provided to you by law.
To get the best rates from more than one source be prepared to give
a lot of information...And even then, unless you do an appraisal with each one, you may not get an exact rate...Understanding what goes into an interest rate will help ease the confusion when you ask a professional broker what's the best rate you can get and he can't tell you...At least not without getting enough information...Be prepared to answer a series of questions in regard to your income and how it's documented, the approximate value of your home and what percentage of that value will you be borrowing, will you live in the home, would it be considered rural, what's your middle credit score of the 3 major bureaus, how well has your mortgage or rent been paid over the last year, any bankruptcies among a host of other questions, each a factor in determining an honorable interest rate...Anyone can throw one at you, but can they honor it...If they don't ask you many questions as I stated, expect whatever they tell you to change, and I bet not in your favor...So when you call, make sure you have enough time for a short discussion, be prepared to discuss your income and how it is
documented, your current home or the one you plan on purchasing and what your short and long term financial goals are so the loan officer can offer you a few of the best programs to help you achieve your goals...You won't be told what to do, you will be offered a choice if you provide enough information, the more you provide, the more options you will be presented with...The downside to this is that if you want to get fined tuned options from multiple brokers, you will have to provide the same information each time...Considering the importance of the loan, a little time should be well spent...
You may also want to ask for a Truth N' Lending statement or TIL. This will show the APR from the mortgage program being offered to you. Although the payment is NOT based on the APR, by comparing the TIL and GFE of different loan programs you will better be able to see the total costs of the entire loan(s) your are being offered.
Mortgage Quote - Remember, the
initial mortgage quote you receive from your loan officer or broker is just an estimate of what he or she believes you will be approved for based on information provided at that time. After your income, assets, credit, and employment are verified the loan could be above or below your mortgage quote.
If you have any questions regarding our products, you can contact us by calling or e-mailing us and we'll get back to you as soon as possible. Thanks!
Information listed above is to be used for educational purposes only and is not guaranteed