The range of morgage intrest rates offered can fluctuate daily, depending on economic indicators on that given day. The easiest way for the consumer to get an idea of where mortgage rates are headed is to look at the yield of the 10 Year Treasury Bill. Typically, if the yield of the 10 Year Treasury Bill goes down(and correesponding price goes up), morgage intrest will tend to go down. Morgages are ultimately traded as securities in a similar fashion to Treasury Bonds.What interest rate a homeowner gets is dependent on his credit profile and scores. Although one get certainly get a mortgage with much lower credit scores, the lowest rates are offered to those with credit scores of 720 and above.
To qualify for the lowest morgage intrest rates, one generally needs to be borrowing below 70% of the value of their home if they are paying off debts or taking cash out. You may want to review what homes similar to yours have sold for recently in your area.
To qualify for the best morgage intrest rates, one usually needs to be able to document sufficient income. Sufficient income to debt ratios are generally when 40% of you gross monthly income pays of all your monthly debts such as mortgage, student loans, credit cards, and auto loans.
In order to qualify for the best morgage intrest rates, it is helpful to show at a minimum 2 months mortgage payments in savings as reserves. The more savings, of course, the better. This reduces the risk on your loan significantly should an unforeseen event or expense take place. Reserves can come from checking, savings, a 401k/IRA, or any other asset account which has a liquid value.
For more complete information on current morgage intrest rates and what mortgage interest rate you may qualify for, contact Brenda Puckett today at 770-634-4315 or bpuckett@homeamericamortgage.com. There is no cost or obligation for a consultation.
The particular morgage intrest rates for which you may qualify depends on many things. The three primary factors that control one's morgage intrest rates are I.C.E.: income, credit, and equity. To get the lowest morgage intrest rates you will need to show enough income to qualify, a strong credit profile, and sufficient equity in your property.
