How to Get a Low Mortgage
- 1). Get your credit report from the three credit bureaus---Experian, TransUnion and Equifax---and check to see that they are accurate, suggests the website Interest. If you spot any mistakes, dispute them with the credit agencies, as mistakes on your report could drag down your credit score. This will make you seem like a higher credit risk than you are to lenders and, as result, they will offer you higher interest rates.
- 2). Contact your existing mortgage lender if you're trying to refinance or already have a mortgage. Explain that you may be refinancing with another lender, unless the company can offer you better terms. This may prompt your lender to offer you a lower interest rate.
- 3). Contact a local credit union, your bank and one or two other lenders. Tell representatives from each institution that you are looking for a mortgage and explain what kind of interest rate you'd ideally like to get.
- 4). Answer questions regarding your income and bills. Provide proof of income or job and any other documentation requested of you.
- 5). Wait for a representative from the lending institutions to pull up your credit and analyze your information to come up with a mortgage quote. Compare the quotes side-by-side to see which mortgage offer would end up saving you the most money over the long term. Don't look at interest rates alone, but also at how much of a down payment each requires, whether points are paid to the lender, and how much each charges in origination and other fees, suggests the Federal Reserve's website.
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