Securing the Best Interest Rate on Your Home Loan - Knowing Your Mortgage Credit Score

There are so many factors to consider when buying arate calculated and can you set yourself up to get the
home--location, price, appraisals, insurance and ofbest possible rate?
course the loan. So much time is spent on making sureWhen you apply for your mortgage loan or a
that you are getting the perfect home in the bestrefinancing loan, the bank reviews your credit report. All
location with an affordable price. But have you alsoof your credit history details are weighed and factored
spent the time making sure you qualify for the bestto calculate what loan terms and interest rate they will
possible interest rate? It may seem that a 0.50%offer you. With 3 out of 4 credit reports containing
difference won't make a big deal, but over 30 yearserrors it is crucial that this credit report that they
on a large home loan the amount added by aanalyze is not full of myths and mistakes as this will
difference in a percentage rate can be staggering.affect your interest rate. A higher interest rate will
And that's only assuming a 0.50% difference. What ifcosts you thousands more of your hard earned cash
that difference were several points--2, 3 or more?over the life of your loan.
So why is it that when a decision to purchase a homeSo check your credit report before you apply for a
is made, the time is spent on all of the details--workloan. You can then ensure that any errors are
needed on the home, the selling price and equity inremoved from your report before your lender sees it.
your current home, and the selling price of otherThis simple step can have a huge impact on your
homes in the neighborhood, the issue that will stay withfinancial future and keep those hard-earned dollars in
you the longest--how much interest you will pay onyour pocket and not the bank's. If you are in the
that loan, is often under analyzed.market for a new home check your credit report
The interest rate on a loan is crucial. So how is yourtoday.