Are you holding off your mortgage refi waiting for interest rates to bottom out, hoping to get a better deal? Once you start shopping for mortgage refinance rates you might be surprised to find the refinance rates you’re qualifying are higher than the best refinance rates you’re seeing online and in the news. This is because the actual rate you get when mortgage refinancing depends on several factors including your credit score. Here’s an article from TheTruthABoutMortgage.com on the state of mortgage rates in today’s economy:
With mortgage rates so low, many “fence-sitters” and prospective refinancers seem to be wondering if the near-record low mortgage rates could possibly go any lower. Per Freddie Mac, mortgage rates on the 30-year fixed slipped to 4.32 percent this week.
Because your credit score heavily influences the mortgage refinance rates you’ll get there are steps you can take prior to your mortgage refi to make sure that score isn’t holding you back from today’s best refinance rates. First, pay down the balances on all of your credit cards before shopping for refinance quotes and avoid opening new accounts for at least three months.
Before applying for your mortgage refi you’ll want to check your credit reports for errors. You don’t have to pay for credit reports because the credit agencies are required by law to give you a free copy of your credit file once every year. You can visit the website annualcreditreport.com to print out your credit reports from Equifax, Experian, and Transunion. Carefully review these reports for mistakes and dispute any errors you find will make sure your credit score is where it should be.
You can learn more about getting the best refinance rates without paying unnecessary fees by checking out my free Underground Mortgage Videos.