Mortgage rates drop below six percent

Earlier this week, mortgage rates for the 30-year mortgage have dipped just below six percent for the first time since the beginning of March.

Mortgage rates on the 30-year mortgage are reported to have reached 5.99% for the week of April 20^th. While barely dropping under six percent may not seem like a major change, on March 27^th, mortgage rates were at 6.494%. This half a point difference could save borrowers thousands on a 30-year mortgage.*

The last time rates on the 30-year mortgage were under six percent was March 4^th, at 5.993%. A week before then, rates were at 5.901%, their lowest point in three years.

Learn more about the current mortgage rate market or take advantage of the current low rates by starting a first mortgage or mortgage refinance application.

The recent mortgage rate drop can be partially attributable to the extended ceasefire between the U.S. and Iran.

There are many factors that can affect mortgage rates, two of those key variables are geopolitical events and inflation. The ceasefire between the U.S. and Iran has led to a decrease in oil and bond prices. All of which are reflected in the current dip in mortgage rates.

There is no way to tell how long mortgage rates will stay below six percent.

Mortgage rates are incredible volatile and can be affected by several factors beyond geopolitical events and inflation. This means that there is no way to tell where mortgage rates are going and how long they will stay there. The smart decision is not to wait for mortgage rates to drop because you could end up watching them rise instead.

The best option is to take advantage of rates when they are at a manageable place for you and refinance your mortgage if they drop lower.

If you are looking to take advantage of the current mortgage rates, you will want to review your credit report, find a lender and lock in your rate as soon as you can.

Anyone looking to buy a home and get a home loan should be reviewing their credit report.

Your credit report gives lenders an idea of your trustworthiness when borrowing money. Lenders can see this through your credit score and credit history. Credit score and history are some of the biggest factors a lender looks at when determining your mortgage rate. The better your credit score and history are, the better chances you have of getting a lower rate on your loan.

Reviewing your credit report can give you an idea of where you stand, what you can improve on and allow you to see any inaccuracies before you apply for a mortgage. Improving your credit report and fixing inaccuracies can take some time, which is why you will want to be constantly reviewing your credit report before applying for a home loan.

Every lender can offer borrowers different advantages to attract their business. Looking at, and comparing, several lenders can help you find the one offering the biggest benefit to you and your needs.

Some of the things you will want to consider when finding a lender are the mortgage rate they are currently offering, closing costs, mortgage points and any additional fees that could come with your loan. Some lenders might already be offering rates under 6% while others might still be slightly above six but offer their borrowers other perks.

When you see the right mortgage rate and find the right lender for you, locking in your rate as soon as possible can protect you from the volatility of the markets as you finalize your home loan.

Locking in your mortgage rate will not only protect you from a rate increase but also give you more time to plan for your future. With a rate locked in, you can calculate what your monthly mortgage payments will be and get an idea of what your future finances will look like.

Some lenders may allow you to change your rate before closing, if mortgage rates have dropped after you’ve locked in your rate. If you are planning to lock in your rate, check and see who allows this when you are looking for a lender.

If your mortgage rate is above six percent, and you would like to take advantage of a recent rate drop, you can refinance your mortgage to get a new rate.

There are many reasons why a borrower chooses to refinance their mortgage, one of the more popular reasons is to get a new interest rate. Refinancing can also give you a shorter or longer loan length, allow you to switch loan types or access your home equity.

Refinancing to a lower mortgage rate means less interest paid each month and over the life of your loan.

If you are looking to take advantage of current mortgage rates through getting a new home loan or refinancing your current one, you can start with an online application through a trusted lender.

Online applications can be done from the comfort of your own home and still connect you to a professional Loan Officer. Your Loan Officer can help you through the application process and answer any questions you may have.

Start the mortgage process today and take advantage of current rates with an online application.

*Savings, if any, vary based on the consumer’s credit profile, interest rate availability, and other factors. Contact Rate for current rates. Restrictions apply.

Applicant subject to credit and underwriting approval. Not all applicants will be approved for financing. Receipt of application does not represent an approval for financing or interest rate guarantee. Refinancing your mortgage may increase costs over the term of your loan. Restrictions may apply. 

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