As 2016 came to a close following the presidential election, we saw mortgage rates start to climb after remaining low all year long. The effects were obvious. Mortgage applications decreased, especially among the refinance share. Fast-forward a few months to January 2017, and mortgage applications decreased another 12 percent within just two weeks, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey.
Thinking about a mortgage refinance? We can help you find out if the time is right.
Mortgage rates might be rising. (Though they reached somewhat of a plateau in early 2017.) But lenders, like us, still want to do whatever we can to get you into a house.
You can get a lower interest rate – by shopping around
Here’s the thing about getting a mortgage that makes it so much different than it was 10 or even 20 years ago. You can do almost everything online. You don’t have to pound the pavement and go door-to-door to find the most competitive deal from a lender. Though we still urge you to shop around.
Even with the Internet at your fingertips, you may be tempted to stick with the first mortgage lender you come across. The one that offers you a pretty good rate. But failing to compare lenders is going to cost you, almost every time. We recommend comparing loan products and mortgage rates from three lenders at the bare minimum before buying a house.
Comparison-shopping lenders online is convenient, but it can feel tedious when you’re requesting and waiting on mortgage rate quotes. That’s why we designed our free LoanFly app to make finding out how much you prequalify for extra-easy. You can use our free app to request and compare our mortgage rates against other lenders to see which home loan is the right fit.
LoanFly makes getting prequalified easy, but we have other options too. Click here to find out how much house you prequalify for online.
How to make mortgage shopping a breeze
We may sound like a broken record. But as a leading mortgage lender with more than 28 years of experience, it always comes back to the same thing. We want to save you time. We also want to save you money.
Here are some of our favorite time-saving and money-saving features we’ve specially built into our free LoanFly app:
- We’re coming out with the big guns first. We know a quick prequalification may be one of the most important features of our app. Simply input your info through your smartphone and find out how much house you can afford through our super-speedy prequalification process. You can do this anytime, anywhere.
- Home search. Talk about saving time and money. We’ve built a nationwide database of available homes in your area into our mortgage app so you can keep everything in one place. Search, filter, and save your favorites.
- Request a rate. Once you’ve started searching and saving, you may have a better idea of the home price and ZIP Code you’re looking for. Give us these deets, and we’ll tell you how much your monthly mortgage may cost you with an estimated mortgage rate.
- Calculate payments. Speaking of monthly mortgage payments, we’ve got that covered too. Within the app, you can calculate your potential monthly mortgage premium. You can use this number to easily compare the mortgage payment estimates you’ve been given by other lenders.
- Borrower portal. Just like it sounds, LoanFly’s secure Borrower Portal is all about you. Once you’re prequalified, you can upload your documents and keep track of where you stand in the loan process each step of the way. Get loan status updates and 24/7 access to your documents from any Internet-connected device.
- Have a question on your mind but don’t know who to ask? Our app can put you in contact with your home-buying team at the touch of a button. (Really, don’t hesitate to give us a shout. There’s no such thing as a stupid question. Our app’s also loaded with videos and FAQs for just this reason.)
When shopping around for the lowest rate really pays off
The Consumer Financial Protection Bureau (CFPB) conducted their analysis of the National Survey of Mortgage Borrowers in January 2015. Shockingly, the report revealed that most borrowers, estimated at 77 percent, applied only to one lender. Among the borrowers who applied to more than one lender, most did so because they were worried they wouldn’t qualify.
Research from the CFPB also showed that comparison-shopping mortgage lenders could lower your mortgage rate by up to 0.50 percent. This sounds like small potatoes, but let’s put it in perspective. If you take out a 30-year fixed-rate loan for $200,000 with an interest rate of 4 percent instead of 4.5 percent, you save about $60 per month. Within the first five years, you’d pay $3500 less on your mortgage.
Let’s do this: Learn about the different types of mortgage so you can make a better choice in your home loan.
One more thing. As the CFPB points out, shopping around for a mortgage sounds optional, but it really isn’t. If every buyer understood the different terms and features, and especially the rates, associated with each mortgage option, it could help to prevent another housing crisis of 2008.
That’s where LoanFly comes in. LoanFly takes something that’s been historically stressful — shopping around and getting prequalified for a mortgage — and makes it easy. Click here to download our free app and take back control of your home loan experience.
For educational purposes only. Please contact your qualified professional for specific guidance.
Sources are deemed reliable but not guaranteed.