Welcome to Mortgage Rates Guide
Best Mortgage Rates Article
. For a permanent link to this article, or to bookmark it for further reading, click here.
Understanding Mortgage Interest Rates
from:Unlike renting, buying a home is a great investment; it is like having money in the bank. Renting, on the other hand is like throwing money away, which is why many people prefer to own their own homes. Mortgage interest rates and other costs can be a deciding factor for people deciding to buy a new home or refinancing their present home. Often empty nesters decide it is more beneficial to sell their family home and buy a smaller home if the mortgage interest rates are affordable.
Ultimately mortgage rates reflect the results of the business done on Wall Street. Investors buy bundles of mortgages in the form of securities. The federal funds rate influences on the mortgage interest rates that banks have to charge borrowers, so the banks can recoup their money and make a profit. As the economy changes it affects the prime rate on adjustable rates mortgages (ARM), car loans, credit card credit lines, and mortgage interest rates of all kinds. Our whole economy is based on what happens on Wall Street, and our interest rates reflect that.
The better your credit history the better the mortgage interest rates you can qualify for. If your credit is not perfect you may still be able to get a mortgage loan, and you may also be able to buy points to get lower interest rates offered to you. If your credit history is less than perfect, you may be required to pay on the mortgage note for a certain number of years before you can make extra payments to lower the principal amount of your loan; however, if your bank or lending institution allows you to pay your note off early, it is a good thing to do because lowering the principal generally lowers mortgage interest rates.
If your lending institution will allow you to refinance your existing loan to lower your mortgage interest rates, it is a good thing to talk to a financial advisor about the mortgage interest rates that you would qualify for. The interest rates vary; the fixed rate stays the same for the duration of the loan contract, and an ARM changes periodically. Your interest rate may go up or down every 6 months to a year, however your mortgage loan is set up.
You may get lower mortgage interest rates on longer loans, but slightly higher interest rates on shorter loans will save you many thousands of dollars over the life of your loan. If you compare the interest rates on a 30 year note and a 15 year note, you will see that the 15 year not will save you a lot, even though your monthly payments are more than with a 30 year note.
Best Mortgage Rates Specific links
Best Mortgage Rates News
Canadian Mortgage Rates Market Expected to Cool
TORONTO, ONTARIO-- - Recent fluctuations in variable and fixed mortgage rates have left Canadian consumers confused about future mortgage trends. The good news is that February should be less volatile, ...
Read more...We need higher interest rates
StockScouter rates stocks from 1 to 10, with 10 being the best, using a system of advanced mathematics to determine a stock's expected risk and return. Ratings are displayed on a bell curve, meaning there will be fewer ratings of 1 and 10 and far more of 4 through 7.
Read more...Score Big This Weekend: Use Online Rate Tables to Find the Best Mortgage Rates, Says Informa Research Services
CALABASAS, CA-- - This weekend, while you're enjoying the football game, take a break from the athletic excitement and check out online rate tables from your computer or smartphone. According to Informa ...
Read more...Mortgage rates for Jan. 19, 2012
No progress toward resolving the European debt crisis, which has been helping to keep mortgage rates at record lows. Falling mortgage rates is also encouraging homeowners to refinance their mortgages. Refinancing increased 26.4% last week.
Read more...Mortgage rates at record lows
WASHINGTON The average rate on the 30-year fixed mortgage fell this week to a record low, the ninth time that has happened in the past year. Even with the cheapest rates in history, the housing market remains depressed.
Read more...