3 Intelligent Ways Consumers Take Advantage of Low Mortgage Rates

Rates are at an all-time low. Everyone knows now is the time to buy a home or refinance an existing mortgage. Here are three things consumers do to ensure they can take advantage.

1. Avoid financing big purchases. A new car or a personal loan for luxury goods. A big purchase increases your debt and negatively impacts the calculations used to determine how much mortgage you qualify for. These are called DTI calculations.

2. Show income. If you are self-employed, write-offs can be very tempting. You need to keep in mind that if you don’t show income in this tax season you will have to wait another year to qualify for a mortgage.

3. Lock your rate. Until you actually lock your rate, it’s really called “locking”, rates can fluctuate. Everyone wants rates to go lower but in this market, we can’t predict what is coming next. Rates are at all-time lows if you lock now and they go down further your loan officer can adjust the rate down. On the other hand, if they go up and you haven’t locked, you’re out of luck.

If you are ready to take advantage of the current historic interest rate climate feel free to message me.

Paige Park