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Buying a home is most often the biggest transaction some people will ever encounter for their lifetime and the process generally includes acquiring a mortgage loan for your desired property. The time has finally come when you made your decision to buy a home. You have a problem where the average home value on the market is $260,000 and since its most likely you don’t have such amount in your saving account, most of it needs to be borrowed from a lender so you can pay it back according to the agreed upon time frame.

Every homeowner would like to have the lowest possible mortgage rates ever. Some people might think it requires just shopping around for different lenders offering the best rates. While searching to get the best mortgage rates, you should consider knowing the different factors influencing the change of rates which is sometimes determined by the local market conditions and other factors within your control. Other factors could include the bank looking into the risks of lending you that money or other possibilities of you changing the loan terms to your advantage. Let’s continue by looking into how you can get the best possible rates.

  • Credit score: This is generally the key factor that brings the ability to obtain the lowest interest rates ever. The rates will vary by lender but having a credit score of 720 and above will obviously have a higher ground in achieving low rates. Credit scores around 600 could come with a 2% higher interest rate while you risk of not being offered a mortgage if your credit score appears too low.


  • A long and consistent work history: While in place of a good credit score, every lender would like to see a reliable and long-term work history. Lenders are more likely to provide a loan with attractive rates for someone who has been working in the same place for several years with a consistent or growing annual income.

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