| Why is it that some people get the very best | | | | So, call some of the companies, or apply online, giving |
| mortgage rates when buying their new homes, while | | | | your full details. Get the best deal and present it to |
| you are paying hand over fist with, what seems to | | | | the other mortgage companies to see if they can |
| you like, extortionate rates? | | | | better it. |
| The fact is, the rate you pay for your home | | | | If shopping online make sure to check that you are |
| mortgage loan depends on how good your credit | | | | dealing with a reputable finance company. You can do |
| rating is. Every borrower has a credit rating, and the | | | | a quick search online for reviews and other mortgage |
| rating is calculated by your current and past | | | | shopper's experiences. |
| borrowing. The credit report, that you have on file | | | | You may also be able to get a better deal on your |
| will also record how well you have paid off past | | | | home mortgage if you are prepared to be flexible in |
| debts. | | | | the type of home loan you are after. For instance, a |
| So, if you have some unpaid debts, this is probably | | | | fixed rate loan may have a better per centage per |
| following you about in your life making it very difficult | | | | annum than one that allows flexible repayment. |
| to borrow from most financial institutions. There are | | | | In the home mortgage business, like most |
| companies that will give loans to borrowers in bad | | | | businesses, there is a 'quid pro quo' system. If you |
| debt but these should be avoided at all costs as the | | | | are prepared to give the mortgage companies |
| interest they put on your loan will send you further | | | | something, in terms of your repayment method, then |
| and further into debt. | | | | they will drop the interest rates. Another way to do |
| If you have paid off all past debt in a timely manner | | | | this is to agree to pay off the mortgage sooner |
| then this information will show up on your credit | | | | rather than later, ie. 15 years instead of 25. |
| history. This past information on your ability to pay | | | | If you also offer a bigger down payment when |
| on time will flag you as a good candidate for a home | | | | taking out your loan this will lower the interest with |
| mortgage loan and you will be regarded as a low risk | | | | most finance companies. |
| borrower. | | | | The most important thing to understand when |
| When borrowing for your home mortgage loan it is | | | | applying for a home mortgage is that there ARE |
| always best to shop around. There is a lot of | | | | better deals available, you just need to look for |
| competition today both in the marketplace and online, | | | | them. |