About Interest Rates

You may notice the distinct absence of actual rates on this page. As of January 2008 and the introduction of Risk Based Pricing by Fannie Mae and Freddie Mac, mortgage rates and fees are determined by market conditions and a borrowers individual risk factors. There are over 40 criteria contained within the pricing models that influence a borrowers rates and fees. As such, borrowers must provide more detailed information to a lender to get accurate rate and fee quotes.

(see the article in the library section titled “Finding the Best Mortgage in 2009” for details on how Risk Based Pricing Works.)

The question has now become, "What is MY RATE today, rather than what is YOUR RATE today."

Tips to Avoid Costly Mistakes

  • Be sure you are starting with the right loan.
  • Be sure all your specific risk based pricing criteria are included in pricing quoted.
  • Always compare pricing on the same business day.
  • Obtain a written complete Good Faith Estimate of settlement costs including assurances from your lender of the rates and fees quoted.

Sorting Fact From Fiction

Many advertisements for mortgages are misleading and rate quotes are too often incomplete. The result is frustration and disappointment at the closing table when all terms and fees were not clearly disclosed with the quote. This practice is used to entice a buyer with an attractive rate on a loan program that may not be appropriate or even available to them.

As one of the largest mortgage banking institutions in our marketplace, and a Direct Lender for multiple lending institutions, we work to bring you the most competitive interest rates with the lowest possible fees available. We disclose all terms and fees upfront and pride ourselves on no surprises at closing.

What Determines a Rate?

There are over 40 criteria that go into determining your actual interest rate and fees. Some of these include credit score, loan to value, length of lock period, if secondary financing is present (such as a home equity line of credit), are taxes and insurance paid separately, pre-payment penalties etc... To offer a firm quote in writing, a lender will need to process your financial data through preliminary underwriting.

The Right Loan

One of the most costly mistakes made when looking for a mortgage is seeking to get the best rates and fees... but on the wrong loan program. Too often consumers are only quoted pricing on what they ask for when there are actually better options available.

Tailored to Your Needs

Out staff takes great care in getting all information specific to your transaction to ensure we provide accurate pricing information. We show you loan options that will help you identify the most cost effective loan program for your specific needs. This alone can save you thousands of dollars over the life of your loan. We provide a price quote in writing that is competitive and reliable all the way through to the closing of your loan. No surprises!