It pays to shop around for the best mortgage rate – but it pays more now. Lenders are facing wildly different challenges, and their rates vary more than usual today.
NEW YORK – Housing – and all of the spending related to housing – make up in the neighborhood of 15% of this economy, according to the National Association of Home Builders. So it’s no small thing that the housing market continues to be one of the only bright spots in that economy.
The Commerce Department said Tuesday that groundbreaking on new homes continues to grow, up 11% last month from a year ago, pending the inevitable revision. But while the monthly numbers bounce around a lot, the overall trend is up. It’s all about low interest rates, which have made borrowing to buy a home cheaper than it’s ever been – at least if you can get those record-low rates.
It can take some doing, because given the same set of facts, different lenders come up with different deals. Say you want to refinance your house and are looking for a 30-year fixed-rate mortgage. A search using an online aggregator, which pulls together a bunch of different loan offers, may spit out a loan with a 2.5% interest rate, but $3,500 in fees. Another offer might come with a high (…)
Read source article: Who Actually Gets Those Low Advertised Mortgage Rates?