Mortgage Rates! The Hot Topic..

What You Can Do When Mortgage Rates Are a Moving Target

Have you seen where mortgage rates have been lately? One day they go down a little. The next day, they go back up again. It can feel confusing and even frustrating if you’re trying to decide whether now’s a good time to buy a home.

Take a look at the graph below. It uses data from Mortgage News Daily to show that after a relatively stable month of March, mortgage rates have been on a bit of a roller coaster ride in April:

This kind of up-and-down volatility is expected when economic changes are happening.

And that’s one of the reasons why trying to time the market isn’t your best move. You can’t control what happens with mortgage rates. But you’re not powerless. Even with all the economic uncertainty right now, there are things you can do.

You can control your credit score, loan type, and loan term. That way, you can get the best rate possible in today’s market.

Your Credit Score

Your credit score can really affect the mortgage rate you qualify for. Even a small change in your score can make a big difference in your monthly payment. Like Bankrate says:

“Your credit score is one of the most important factors lenders consider when you apply for a mortgage. Not just to qualify for the loan itself, but for the conditions: Typically, the higher your score, the lower the interest rates and better terms you’ll qualify for.”

Keeping your credit score up is key when it comes to qualifying for a home loan. If you’re not sure where your score stands or how to improve it, talk to a loan officer you trust.

Your Loan Type

There are also different types of loans out there, and each one comes with unique requirements for qualified buyers. The Consumer Financial Protection Bureau (CFPB) explains:

“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. Talking to multiple lenders can help you better understand all of the options available to you.”

Always work with a mortgage professional to figure out which loan makes the most sense for you and your financial situation.

Your Loan Term

Just like there are different loan types, there are also different loan terms. Freddie Mac puts it like this:

“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.”

Most lenders typically offer 15, 20, or 30-year conventional loans. Be sure to ask your loan officer what’s best for you.

Bottom Line

You can’t control what’s happening with the economy or mortgage rates, but you can work with a trusted lender and take steps that’ll help you get the best rate possible.

Let’s connect to talk about what you can do today to put yourself in a strong spot for when you’re ready to buy a home.

Tiia Cartwright

Tiia Cartwright, originally from Finland, is a distinguished real estate broker who is transforming the industry through her unwavering commitment to excellence and a client-centric approach. After moving to the United States during her high school years, Tiia pursued a degree in Finance at Louisiana State University, equipping her with a strong foundation in financial management and analysis. Her career journey initially led her to Arthur Andersen in New York City, one of the most prestigious public accounting firms. While she gained valuable experience in finance and accounting, Tiia discovered her true calling lay in connecting with people on a more personal level. In 2006, she took a bold step to transition into real estate, joining forces with Rhonda Duffy at Duffy Realty of Atlanta. There, she quickly became a top-performing real estate professional, adept at forming genuine connections with her clients. During her time with Duffy Realty, Tiia successfully listed and sold around 600 homes, earning a stellar reputation for her exceptional service. In 2007, Tiia founded Cartwright Realty in Tampa, FL, aiming to make a lasting impact on the industry. Under her visionary leadership and relentless pursuit of excellence, the agency has become a market leader in the region, exceeding client expectations and setting new industry standards. Tiia's commitment to her clients' satisfaction has made her a trusted advisor, helping individuals and families navigate the complexities of buying and selling homes. Her deep local market knowledge and understanding of her clients' unique needs enable her to craft tailored strategies that consistently deliver outstanding results. Beyond her professional success, Tiia's dedication extends to her community, actively participating in charitable initiatives. Her efforts to make a positive difference in the lives of those less fortunate have earned her recognition and accolades. Today, Tiia Cartwright is a respected figure in the real estate industry, setting the standard for exceptional service, expertise, and dedication to her clients' success. Her consistent top performance exemplifies professionalism and serves as an inspiring example for emerging real estate professionals. For those seeking guidance in the complex world of real estate, Tiia Cartwright and her Cartwright Realty team embody excellence, integrity, and a track record of outstanding results.

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