Home mortgage interest rates flex with the economy. For a couple of years now we’ve heard nothing but advertising for the lowest rates in decades. Yes, that is true, but the Fed has been raising interest rates for some time and interest rates are creeping back up.

That doesn’t mean you can’t still make a great deal a great deal. Whether you are a first-time homebuyer, looking to refinance your first mortgage or take out a second mortgage what you get in the way of a home mortgage rate depends on a number of things. To get started off in the right direction, be ready to consider a number of different options and be ready to do a little negotiating.

Don’t sweat the little stuff. It really doesn’t matter if you are dealing with a mortgage lender or broker, all their interest rates will be in the same ballpark, it’s the “hidden” fees, closing costs, points and other add-on costs you want to keep as low as possible. Remember, you are negotiating on your home or other real estate, so make the payments as comfortable for you as possible.

When it comes to securing a home mortgage or refinance, knowing just the interest rate and monthly payment is not enough. Get a second or third bid. Ask for the exact same information from all lenders and then compare the whole package. You’ll be amazed at just how much they can differ.

Here are some tips for getting the best home mortgage rates:

• Get a list of current mortgage interest rates from each lender and broker and ask whether the rates are the lowest for that day or week.


• Make sure you find out if the rate is fixed or adjustable. Remember, when interest rates for an adjustable-rate loan goes up, you can bet your monthly payment will do the same.


• At the same time, if you are looking at an adjustable-rate home mortgage, find out how much your loan will vary, including whether your payment will decrease should rates go down.


• Find out about the loan’s annual percentage rate (APR). The APR rates your loan package including interest rate, points, broker fees and other charges that you may be required to pay.

Finally, once you are happy with the terms you’ve negotiated, you may want to get a written lock-in from the lender or broker. This should include the rate you have agreed upon and the number of points to be paid. A lock-in fee may be charged, but this fee is often refundable at closing. This lock-in protects you from an interest rate increase while the loan is being processed. However, if rates fall, you could end up with the higher of the two interest rates.

Remember, when buying or refinancing a home, shop around. You want to see a number of offers.

Mortgageloan.com has helped consumers find the best mortgage loans, refinancing rates, and home equity loans across the nation since 1995. Since our lenders compete for your business, you will get the lowest rates possible.