• HOME
    HOME
  • PROPERTY SEARCH
    PROPERTY SEARCH
    • DREAM HOME FINDER
      DREAM HOME FINDER
    • BERKELEY HEIGHTS HOMES
      BERKELEY HEIGHTS HOMES
    • DUNELLEN HOMES
      DUNELLEN HOMES
    • FANWOOD HOMES
      FANWOOD HOMES
    • METUCHEN HOMES
      METUCHEN HOMES
    • NORTH PLAINFIELD HOMES
      NORTH PLAINFIELD HOMES
    • NEW PROVIDENCE HOMES
      NEW PROVIDENCE HOMES
    • PISCATAWAY HOMES
      PISCATAWAY HOMES
    • SCOTCH PLAINS HOMES
      SCOTCH PLAINS HOMES
    • SOUTH PLAINFIELD HOMES
      SOUTH PLAINFIELD HOMES
    • WATCHUNG HOMES
      WATCHUNG HOMES
    • WARREN HOMES
      WARREN HOMES
    • SOMERSET HOMES
      SOMERSET HOMES
  • HOME SELLERS
    HOME SELLERS
    • HOME VALUATION REQUEST
      HOME VALUATION REQUEST
    • STAGING YOUR HOME FOR SALE
      STAGING YOUR HOME FOR SALE
    • COMMUNITY INFO
      COMMUNITY INFO
    • LOCAL SERVICE PROVIDERS
      LOCAL SERVICE PROVIDERS
    • NEWS FOR HOME SELLERS
      NEWS FOR HOME SELLERS
  • HOME BUYERS
    HOME BUYERS
    • LUXURY HOMES IN CENTRAL NEW JERSEY
      LUXURY HOMES IN CENTRAL NEW JERSEY
    • CONDOS & TOWNHOUSES
      CONDOS & TOWNHOUSES
    • RETIREMENT HOUSING IN NEW JERSEY
      RETIREMENT HOUSING IN NEW JERSEY
    • MORTGAGE CALCULATOR
      MORTGAGE CALCULATOR
    • LOCAL SERVICE PROVIDERS
      LOCAL SERVICE PROVIDERS
    • NEWS FOR HOME BUYERS
      NEWS FOR HOME BUYERS
  • ABOUT ROBIN
    ABOUT ROBIN
    • ABOUT ROBIN
      ABOUT ROBIN
    • CONTACT ME
      CONTACT ME
    • TESTIMONIALS
      TESTIMONIALS
  • BLOG
    BLOG
  • HOME
    HOME
  • PROPERTY SEARCH
    PROPERTY SEARCH
    • DREAM HOME FINDER
      DREAM HOME FINDER
    • BERKELEY HEIGHTS HOMES
      BERKELEY HEIGHTS HOMES
    • DUNELLEN HOMES
      DUNELLEN HOMES
    • FANWOOD HOMES
      FANWOOD HOMES
    • METUCHEN HOMES
      METUCHEN HOMES
    • NORTH PLAINFIELD HOMES
      NORTH PLAINFIELD HOMES
    • NEW PROVIDENCE HOMES
      NEW PROVIDENCE HOMES
    • PISCATAWAY HOMES
      PISCATAWAY HOMES
    • SCOTCH PLAINS HOMES
      SCOTCH PLAINS HOMES
    • SOUTH PLAINFIELD HOMES
      SOUTH PLAINFIELD HOMES
    • WATCHUNG HOMES
      WATCHUNG HOMES
    • WARREN HOMES
      WARREN HOMES
    • SOMERSET HOMES
      SOMERSET HOMES
  • HOME SELLERS
    HOME SELLERS
    • HOME VALUATION REQUEST
      HOME VALUATION REQUEST
    • STAGING YOUR HOME FOR SALE
      STAGING YOUR HOME FOR SALE
    • COMMUNITY INFO
      COMMUNITY INFO
    • LOCAL SERVICE PROVIDERS
      LOCAL SERVICE PROVIDERS
    • NEWS FOR HOME SELLERS
      NEWS FOR HOME SELLERS
  • HOME BUYERS
    HOME BUYERS
    • LUXURY HOMES IN CENTRAL NEW JERSEY
      LUXURY HOMES IN CENTRAL NEW JERSEY
    • CONDOS & TOWNHOUSES
      CONDOS & TOWNHOUSES
    • RETIREMENT HOUSING IN NEW JERSEY
      RETIREMENT HOUSING IN NEW JERSEY
    • MORTGAGE CALCULATOR
      MORTGAGE CALCULATOR
    • LOCAL SERVICE PROVIDERS
      LOCAL SERVICE PROVIDERS
    • NEWS FOR HOME BUYERS
      NEWS FOR HOME BUYERS
  • ABOUT ROBIN
    ABOUT ROBIN
    • ABOUT ROBIN
      ABOUT ROBIN
    • CONTACT ME
      CONTACT ME
    • TESTIMONIALS
      TESTIMONIALS
  • BLOG
    BLOG
To Blog

Four Things That Help Determine Your Mortgage Rate

October 12, 2022
-
Down Payments, First Time Home Buyers, For Buyers, Interest Rates, Move-Up Buyers
-
Posted by Robin Taylor Roth

Four Things That Help Determine Your Mortgage Rate | Simplifying The Market

If you’re looking to buy a home, you probably want to secure the lowest interest rate possible for your home loan. Over the last couple of years, that was easier to do as the housing market saw record-low mortgage rates, but this year rates have risen dramatically.

If you’re looking for ways to combat today’s higher rates and lock in the lowest one you can, here are a few factors to focus on. Since approval opportunities can vary, connect with a trusted lender for customized advice.

Your Credit Score

Credit scores can play a big role in your mortgage rate. Freddie Mac explains:

“When you build and maintain strong credit, mortgage lenders have greater confidence when qualifying you for a mortgage because they see that you’ve paid back your loans as agreed and used your credit wisely. Strong credit also means your lender is more apt to approve you for a mortgage that has more favorable terms and a lower interest rate.”

That’s why it’s important to maintain a good credit score. If you want to focus on improving your score, your trusted advisor can give you expert advice to help.

Your Loan Type

There are many types of loans, each offering different terms for qualified buyers. The Consumer Financial Protection Bureau (CFPB) says:

“There are several broad categories of mortgage loans, such as conventional, FHA, USDA, and VA loans. Lenders decide which products to offer, and loan types have different eligibility requirements. Rates can be significantly different depending on what loan type you choose.”

When working with your real estate advisor, make sure you find out what’s available in your area and which types of loans you may qualify for.

Your Loan Term

Another factor to consider is the term of your loan. Just like with location and loan types, you have options. Freddie Mac says:

“When choosing the right home loan for you, it’s important to consider the loan term, which is the length of time it will take you to repay your loan before you fully own your home. Your loan term will affect your interest rate, monthly payment, and the total amount of interest you will pay over the life of the loan.”

Depending on your situation, the length of your loan can also change your mortgage rate.

Your Down Payment

If you’re a current homeowner looking to sell and make a move, you can use the home equity you’ve built over time toward the down payment on your next home. The CFPB explains:

“In general, a larger down payment means a lower interest rate, because lenders see a lower level of risk when you have more stake in the property. So if you can comfortably put 20 percent or more down, do it—you’ll usually get a lower interest rate.”

To learn more, connect with a lender to find out the difference a higher down payment can make for your new mortgage.

Bottom Line

These are just few factors that can help determine your mortgage rate if you’re buying a home. The best thing you can do is have a team of professionals on your side. Connect with a local real estate professional and a trusted lender so you have the expert advice you need in each step of the process.

PREVIOUS POST
Ways to Improve Your Yard Without Planting
NEXT POST
Big Social Security Changes Due in 2023

Robin Taylor Roth

Find Your Dream Home
Price
Beds
Baths
More
Save Search
Get In Touch!

What is My Home Worth?

Related News

Other posts that you should not miss

How Homeownership Can Help Shield You from Inflation

April 26, 2022
-
Posted by Robin Taylor Roth

If you’re following along with the news today, you’ve likely heard about rising inflation. You’re also likely feeling the impact in …

Read More →
Buying Myths, First Time Home Buyers, For Buyers, Housing Market Updates, Interest Rates, Pricing
3 MIN READ

Do I Really Need a 20% Down Payment to Buy a Home?

February 3, 2021
-
Posted by Robin Taylor Roth

Is the idea of saving for a down payment holding you back from buying a home right now? You may be …

Read More →
Buying Myths, Down Payments, First Time Home Buyers, For Buyers, Move-Up Buyers
2 MIN READ

As Home Equity Rises, So Does Your Wealth

September 30, 2021
-
Posted by Robin Taylor Roth

Homeownership is still a crucial part of the American dream. For those people who own a home (and those looking to …

Read More →
First Time Home Buyers, For Buyers, For Sellers, Housing Market Updates, Move-Up Buyers, Pricing
2 MIN READ
Contact Me

Robin Taylor Roth
Berkshire Hathaway HomeServices New Jersey Properties
225 Maple Avenue South, South Plainfield, NJ 07080
NJ #0897458

Office : 908.755.5300
Cell : 908.612.4962
Email : robintaylorroth@BHHSNJ.com

Your Contact Info

     

    Agent Login

    © 2022 Robin Taylor Roth ©2017 BHH Affiliates, LLC. An independently owned and operated franchisee of BHH Affiliates, LLC. Berkshire Hathaway HomeServices and the Berkshire Hathaway HomeServices symbol are registered service marks of HomeServices of America, Inc.® Equal Housing Opportunity. Information not verified or guaranteed. If your home is currently listed with a Broker, this is not intended as a solicitation.

    Four Things That Help Determine Your Mortgage Rate - Central New Jersey Real Estate

    Attraction in Dunellen Boro, NJ

    778 Frenchtown Rd
    Powered by Yelp
    The Famous River Hot Dog Man
    The Famous River Hot Dog Man - Milford Yelp Rating 17 reviews
    Rafting/Kayaking, Tubing
    80 Old York Rd
    Powered by Yelp
    Old York Cellars
    Old York Cellars - Ringoes Yelp Rating 210 reviews
    Wineries, Wine Tours
    778 Frenchtown Rd
    Powered by Yelp
    Delaware River Tubing
    Delaware River Tubing - Milford Yelp Rating 227 reviews
    Rafting/Kayaking, Boating, Tubing
    220 Rte 22 W
    Powered by Yelp
    Crystal Toyota
    Crystal Toyota - Green Brook Township Yelp Rating 107 reviews
    Car Dealers, Oil Change Stations, Auto Parts & Supplies
    Powered by Yelp
    Derrick Joseph Psychic Medium
    Derrick Joseph Psychic Medium - Philadelphia Yelp Rating 28 reviews
    Psychic Mediums, Life Coach
    360 Industrial Loop
    Powered by Yelp
    WeGotLites
    WeGotLites - Staten Island Yelp Rating 46 reviews
    Home Decor, Lighting Fixtures & Equipment, Lighting Stores
    378 Route 6 & 209 Matamoras Base
    Powered by Yelp
    Kittatinny Canoes
    Kittatinny Canoes - Milford Yelp Rating 77 reviews
    Rafting/Kayaking, Tubing
    1055 US Hwy 1
    Powered by Yelp
    Worldwide Wholesale Floor Coverings
    Worldwide Wholesale Floor Coverings - Edison Yelp Rating 88 reviews
    Carpeting, Hardware Stores
    Powered by Yelp
    The Happy Wanderer Travel Agency
    The Happy Wanderer Travel Agency - Plainfield Yelp Rating 1 reviews
    Travel Agents, Tours
    378 Route 6 & 209
    Powered by Yelp
    Kittatinny Canoes
    Kittatinny Canoes - Milford Yelp Rating 28 reviews
    Campgrounds, Tubing, Rafting/Kayaking
    420 W 1st Ave
    Powered by Yelp
    Granitetop
    Granitetop  - Roselle Yelp Rating 7 reviews
    General Contractors, Kitchen & Bath
    Powered by Yelp
    The Ilka Pinheiro
    The Ilka Pinheiro - New York Yelp Rating 16 reviews
    Reiki, Psychic Mediums, Counseling & Mental Health
    305-B New Dorp Ln
    Powered by Yelp
    Gables New York
    Gables New York - Staten Island Yelp Rating 9 reviews
    Home Decor, Shades & Blinds, Shutters
    70 Commerce St
    Powered by Yelp
    Frank's Express
    Frank's Express - Brooklyn Yelp Rating 123 reviews
    Movers, Packing Services, Packing Supplies
    45 Main St Ste 202
    Powered by Yelp
    Block Renovation
    Block Renovation - Brooklyn Yelp Rating 76 reviews
    Kitchen & Bath, General Contractors
    234 16th St Fl 2
    Powered by Yelp
    Alpha Moving & Storage
    Alpha Moving & Storage - Jersey City Yelp Rating 177 reviews
    Movers, Self Storage, Packing Supplies