Secrets to Getting a Low Mortgage Rate Santa Clarita!

Based on what the average homeowner gets in their mail everyday, you would be inclined to think anyone can get an instant online Mortgage Rate Santa Clarita Approval and a 2% mortgage rate. You would also think some Santa Clarita home loan lenders offer 2% mortgage rates while others offer 5% mortgage  rates, or something in between. Lets get the smoke out of all the ads and give you some real mortgage advice.

Mortgage rates are derived from the cost of the funds being loaned to the home buyer plus cost & profit for the mortgage lender. A mortgage banker usually would be lending their depositors money while a mortgage broker will fund the home loan on their warehouse line of credit and then sell the loan to get back their funds to go do more Santa Clarita home loans.

Reverse Mortgage Santa Clarita

If you are over 62 then you might want to see if you can qualify for a Santa Clarita reverse mortgage. This type FHA home loan Santa Clarita allows seniors the option of a low and even no monthly payment.

Recently Federal mortgage guidelines came out that limits the amount of fees any Santa Clarita mortgage lender can charge a borrower. So you ask, how do the rates offered be so different? Most of the time, a mortgage application has what is called a PAR Rate. That is basically the rate the Lender will give you with no cost nor no credit. That is usually the rate the lender offers that has their cost of funds and their desired profit margin built into the rate. Most lenders will be close in this rate.

Mortgage Refinance Santa Clarita

To many homeowners shop only rates and do not see the cost or fees to get the rate offered. When you see a 2% rate there usually is fine print outlining the points charged for that rate. They can be high and differ greatly from lender to lender. You want a balance of good low rates and low fees. It is important to look at both and have your mortgage professional offer options and let you choose.

Home Loan Calculator Santa Clarita

If you buy points, you are paying a fee to get a lower rate. Find out what that is and exactly how much it is reducing your monthly payment. The rate points are usually added to your loan amount so it is not like you have to write a check but it is still very important part of getting a new home loan from any lender.

With our many years of helping homeowners get the best mortgage for their situation, we offer fast online mortgage application process combined with quick mortgage Santa Clarita approvals and fast turn times. Getting a low Mortgage Rate Santa Clarita is possible with good planning.