Sarasota Mortgage Rates | The Mortgage Skinny

Consumers interested in purchasing or refinancing a home will pay an interest rate based on current market conditions and their ability to pay back the loan. The borrower’s income and debt ratios are taken into consideration by the lender, as well as the predictability factor provided by credit scoring. It’s important to have a mortgage professional in your corner that has a keen eye for solutions to improving credit scores in an effort to get the best interest rate possible.

Interest rates associated with various loan programs are broken down into schedules based on credit score ratings. While each lender has its own guidelines, it’s safe to assume that as the consumer’s credit score goes down, interest rates will go up.

A borrower with an outstanding credit rating will get what is called an A-paper loan. This type of borrower is rewarded with a lower interest rate because they have a proven track record of using credit sensibly and paying their bills on time. Read the rest of this entry »

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Hello all, I subscribe to a service that keeps me up to date with the latest market updates and economic events. I found it interesting that in one of the articles it talked about weather and how it affects interest rates and home sales.. Here is a quick overview of the article.

The mortgage interest rate markets are subject to an enormous number of factors. Most analysts agree that weather can have an effect on market activity. Although the effects are seldom long lasting, the effects of weather on monthly data can be quite significant.

Relatively mild weather across the United States so far this winter has helped to alleviate some of the energy demand concerns analysts had. However, the fear remains that energy prices could skyrocket if temperatures fall below average and the demand for energy increases.

The economic effects of various weather occurrences may cause only a temporary change in economic activity. However, those times of change can have a lasting impact on people obtaining mortgages. Despite the slight rate increases seen recently, mortgage interest rates remain historically favorable for borrowers. Now is a great time to take advantage of rates at these levels.

Here’s some news that should warm your heart: For the first time since the winter of 2001-02, prices for residential heating fuel (petroleum products and natural gas) are projected to be either near or lower than last year for most Americans this winter. Read the rest of this entry »

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