First, compare interest rates. Rates can—and do—change regularly and sometimes quickly, so try to stay on top of this with the help of a mortgage professional, who has current, up-to-date knowledge of the real estate market and changing interest rates. It’s pretty straightforward to get mortgage interest rate quotes from banks and mortgage lenders, since most of these companies offer their services, including updated interest rates, online. If you need help with rate comparison online, use your broker as a resource. Generally, you want to be looking for low interest rates, but your broker can advise you more of the specifics. It’s also advisable to research any and all associated fees attached to the advertised rates as well as interview whoever is handling the loan, asking important and relevant questions. Something to keep in mind is that you shouldn’t automatically go with the first rate, or the first quote, presented to you. Remember, there any many banks and mortgage-lending companies, all with different rates and options, out there. Do some research and digging to find the best rate and option that works for you and your needs.
Step #3. Check Your Credit
The second step of home loan shopping is checking (and fixing, if necessary) your credit. We talked about this in Chapter 16; not knowing your budget or credit score is a common buyer mistake that you want to avoid. Maybe you haven’t looked into your credit score in a long time, but before you purchase a new home to enjoy the next stage of your life, it’s time to check your credit. As part of this process, obtain your actual credit report. This will provide you with much-needed information so you know where you stand and gives you a chance to get the best bargaining terms. And fix your
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