Mortgage Rates Something Better Than Shopping For Rates

Mortgage Rates - Something Better Than Shopping For Rates
Is it​ possible? Something better than getting the​ best mortgage rates! Yes .​
I​ know it’s surprising and that it​ goes against what everyone says but it​ is​ true and…
I can prove it.
First let’s define what we mean by the​ best rates and the​ financial value that we can attach to​ shopping for the​ best rates .​
The best rate is​ the​ best mortgage rate available for you​ by any lender.
The advent of​ super mortgage brokers and the​ Internet has forced the​ mortgage industry to​ become very competitive .​
Each lender has his best rate and most of​ the​ time it’s within 0.06% of​ the​ rates of​ major banks .​
Shopping with a​ mortgage broker makes this easy.
The financial impact of​ getting a​ better rate of​ 0.06% on​ a​ 100,​000$ mortgage is​ 1028$ over 25 years or​ 41.12$ per year .​
That is​ not what I​ call super savings!
Something better than the​ Best Rate
Dr .​
Milevsky at​ York University (Toronto,​ Canada) published a​ stunning report .​
He compared two mortgage strategies between 1950 and the​ year 2000 and found that:
• 88% of​ the​ time one strategy was better (money saved)
• the​ average savings was 22,​000$ on​ a​ 100,​000$ mortgage amortized over 15 years.
Now we’re talking .​
Saving 22,​000$ in​ 15 years,​ that’s 1466.66$ per year .​
It’s not hard to​ see that choosing the​ right mortgage strategy is​ a​ LOT more important than simply shopping for a​ better rate.
The real conclusion of​ the​ study is​ not that one mortgage strategy is​ always better .​
It’s not! the​ lesson is​ that choosing a​ strategy is​ very important.
[Note: the​ conclusion of​ this study is​ applicable for Canadians and Americans .​
The interest rates during 1950 and 2000 are very similar and the​ different strategies are available in​ both countries.]
What should you​ do?
Selecting the​ best mortgage strategy is​ not as​ simple as​ calling around for the​ best rate .​
You need to:
• analyse your situation and your long term objectives
• analyse the​ current interest rates and where they are likely to​ go in​ the​ next 10 to​ 15 years.
• choose the​ best strategies based on​ that information
I suggest that you​ take the​ time to​ find a​ mortgage broker that does more than shop the​ mortgage rates for you,​ but a​ broker that will take the​ time to​ set up a​ plan to​ save you​ money over the​ entire life of​ your mortgage .​
Once you​ have found a​ good broker,​ ask him to​ present you​ with 3-4 strategies and his recommendations.
It could save you​ a​ lot of​ money.
Mortgage Rates Something Better Than Shopping For Rates Mortgage Rates Something Better Than Shopping For Rates Reviewed by Henda Yesti on July 03, 2018 Rating: 5

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