Maintain a good credit score
Maintaining a high credit score gives you more loan options to choose from. Additionally, a good credit score will earn you a lower interest rate than someone with a bad credit sco
re. Thus, one of the things you have to do to find a good deal on a mortgage is to maintain a good credit score. In essence, the higher your credit score the lower your interest rate. It is advisable that your credit score is at least 760. Thevarious mortgage options available to persons with a credit score of 760 and above are more than those available to persons with a lower credit score.
More often than not your real-estate agent will direct you to a lending institution that he or she has worked with in the past. Though there is no rule against picking your agent’s preferred institution, comparing therates of different institutions is wise. Different lending institutions have different rates and you will never find the best deal if you do not compare the rates. Working with a broker can improve your chances of finding the best deal. There are various online mortgage comparison tools
you can use to compare the rates of different lenders.
Consider how long you will be residing in your house
When you find a house you want to purchase it is important to consider for how long you want to be in that house. This will help you get the best deal on your mortgage. If you will be the owner of the house for a short period then it makes more sense to opt for an adjustable rate mortgage. This type of mortgages have very low-interest rates that are adjusted upwards after some time. The trick will be to vacate and sell your house before the interest rate on your mortgage is reset. This way you will have taken advantage of the low-interest-rate of adjustable rate mortgages.