What is the interest rates for high credit ratings and differences in the rates?

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If we rate. Credit Score If the 780th final interest rate they quote you lower than that advertising on their site? I consider using a mortgage broker, but their prices seem higher than the Bank + the cost seems high. If the rate is what they advertise, I could not directly to the bank immediately and put my time. The mortgage broker appears above things, and probably have better information on closures, etc., that their argument is, if the interest rate is higher than the competitor, I am reluctant to go with him because it is my credit rating took when I ask. In other words: Money Money is a little 60K 0.25% may be the same over the term of the loan. Something that the investment returns generated for me sitting konnte.Im general what is the difference in prime / A credit rating? If the announced prices or interest rates that average values? Thank you in advance
@ Prime rate + 1%. The loan is a loan without interest only, we will be blocked 100% intention of selling our house and move before the three years to have is a line of credit second mortgage, anyone out there with banks Lending knowledge not care to use this type of short-term loan for a down payment? They have a $ 300 (advance) fee if the loan with us in the first three years late, but I think that perhaps the worst of our concerns? . Thank you for your help and response time here:)

5 Comments
  1. Reply
    joey b
    January 27, 2011 at 9:51 pm

    you can shop around, the prime rate is the rate of interest that the federal reserve dictates to fdic insured banks, the banks mark that up and compete within that realm. You have a good credit score so you should be able to get an interest rate that is a couple point over prime. Usually what is advertised is their lowest rate for someone with a near perfect credit score.

  2. Reply
    Anthony P
    January 27, 2011 at 10:38 pm

    I work at a mortgage broker shop, and I believe that we can offer better rates to certain consumers then banks can. Sometimes they can offer better then we can. Also, watch the total closing costs as well. I know we get wholesale rates from lenders and offer these to the consumers and just add a small fee to it, but if you were to go to these lenders yourself they would offer you RETAIL rates. This is how my shop works we try to do as much volume as possible and work mostly off of referrals so we try to beat any deal out there, but different places go by different rules. The prime changes from day to day as well so keep that in mind when shopping.

    Do not let a lot of people pull your credit cause it could hurt you if you have excessive pulls, maybe only like 5 people in a months time or so.

    Good Luck!!!!

  3. Reply
    loansbytami
    January 27, 2011 at 11:34 pm

    You’re definitely getting the right product if you are planning to sell in less than 3 years. The rate seems a little high, though. I have several loans right now where I’m able to get my clients prime – .25%. Shop around for something like that would be my best advice.
    If you’d like more info on the product I offer, feel free to browse around my site at http://www.vegasloansbytami.com. My contact info is there as well, just in case you want to discuss any other options.
    Otherwise, good luck!!!

  4. Reply
    Kenneth D
    January 28, 2011 at 12:33 am

    You don’t say how much the loan is or why you want (or need) the extra money now. You should look at the total costs to borrow (which may be significant) and the total cost of the loan over the term which you intend to keep it; say 3 years. That will give you an idea of how much the credit will actually cost you. It will be higher than 9%, especially if you plan on keeping it only short term.

    Won’t you need this equity to purchase a new home when you sell yours? What you are really doing is borrowing against the home that you plan to buy when you leave here unless you plan on moving down significantly or renting. It is not advisable to do this unless you absolutely have to. Debt is debt and digging yourself in deeper usually does not make sense. Particularly where you are repaying interest only.

    Finally, what happens if there is a downturn in the market and you cannot sell your home when you want to? Will you be comfortable with the payments once they are adjustable? When is the balloon on the loan due?

    These are all things you need to think about. That doesn’t mean that this is not a loan product that might work for you but they are things you should seriously consider. The difference in rate between an interest only and an interest and principle HELOC may be just enough that you can afford to pay the interest and principle loan rather than getting locked into this product.

    Good luck.

  5. Reply
    Mortgage Specialist
    January 28, 2011 at 1:31 am

    Your on the right track however like the top contributor’s advise stating you never know whats going to happen next. I have a product that allows you to choose which way you make your payment and how much you pay as you grow into your loan.
    Its perfect for what your trying to accomplish. Think about it- wouldnt you like to dictate to the lender how your going to make the payment each month instead of having the lender tell you? email me and we can get started.

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