A burning question for a huge number of people today is “are mortgage rates up or down today?”. They want to know what to expect should they get in contact with a home mortgage lender. The odds are that the mortgage rate will factor heavily into their decision to purchase a home or not. Many will look at the question of “are mortgage rates rising or falling?” and decide based on how they will move forward.
You have to wonder are rates going up or down on a regular basis, because it is a matter that pertains to how likely you are to be able to afford a home for yourself. You may find that you cannot do so if the rates are too high. Are refinance rates higher than purchase rates when you bought the home? If that is the case, then you need to stick with the rate that you already have. However, if rates have come down even slightly since you first purchased the home, then it might be worthwhile to look into what it would cost to refinance the home at this time. You may discover that you can get far better rates under a refinance deal than you ever imagined possible.
If you’re finally ready to buy a house — you’ve paid down your debts, cleaned up your credit report, and saved a bit for a down payment — the next step is to find a lender. Finding a lender early on in the process is important since you’re definitely going to want to get preapproved for financing. Finding the right lender can seem daunting, but remember they’re trying to earn your business as much as you’re trying to earn their trust. Here’s how to find a bank for a mortgage loan.
1. Choose whether or not you’re going to hire a broker.
The first thing you need to do when you’re going to start looking for a mortgage company is decide if you’re going to do it yourself or if you’re going to hire a broker to do it for you. If you do decide to do this, know that some brokers don’t have your best interest in mind. It’s best to ask for referrals when you’re hiring a broker so that you can talk to their previous clients to see how their experience was.
2. Ask your real estate agent for help.
Another tip for finding the best banks for a mortgage loan is to ask your real estate agent for a recommendation. Real estate agents work with a number people who are looking for mortgage lenders, so they’re sure to have heard of good lenders — and the bad ones too — so you can get an insider’s knowledge on what the good and bad lenders are.
3. Interview potential lenders.
Mortgage rate trends have been in buyer’s favors recently — by December 2014, they dropped to the lowest point they had been in a year and a half. Mortgage rates shouldn’t be the only thing you consider when you’re choosing a lender. Ask the lender to explain all of your options to you. They should be able to in plain language and be patient.
Do you have any tips on how to find a bank for a mortgage loan? Feel free to share your ideas with us in the comments section below.