It can be confusing, not to mention frustrating, when you hear about low mortgage rates, but aren’t certain whether you’d qualify. Don’t stay in the dark any longer, just wondering whether you can do better.
Here are some helpful tips from our team of mortgage experts. We’ll help you learn the ins and outs of how mortgage rates are assigned to applicants, so you can be informed as you move forward in the mortgage loan process.
The process of determining mortgage rates for a specific loan applicant encompasses many different factors and isn’t always an exact science. There are certain parameters applicants must understand are beyond their control. The good news is there are so many loan programs and options available that no matter your situation, you are sure to qualify for a loan with a mortgage rate that can work for your budget.
Your credit score will be a primary factor impacting the mortgage rate for which you apply. However, if you are worried that a low score will keep you from getting a mortgage, please understand there are programs available to help you.
Furthermore, improving your credit score is a good option to consider. You can start by making conscious decisions and purchases to boost your credit score if you’re thinking of buying a home in the near future.
Another factor that can affect your mortgage rate is the current economic state in the U.S. Since mortgage rates come in eighths, and supply and demand affect loan originations, the number of mortgage-backed securities (MBS) rises, increasing mortgage rates.
Are you in the market for a home loan and wondering what to expect for a mortgage rate? If so, our team of experts at Midland Mortgage can help guide you. Whether you want to get prequalified for a mortgage, or just want to discuss your mortgage rate options, we’re here to help you.