If mortgage rates are around 3.24% to 3.92% for a loan term of 15 to 25 years, it is still possible to find credit agencies that offer lower rates. Some borrowers can earn more affordable rates if they have a good profile. Do not forget to inquire also about notary fees.
When developing your profile, do not forget that what matters to the bank is whether you lend money, or not too much risk. The bank will not hesitate to check how you manage your budget, checking your account statements for the last six months. An account often short or too much consumer credit is likely to ruin your profile.
Increase your chances of getting your credit, your mortgage for your home
How to have a better chance of getting credit, especially at a better rate? It is advisable to first clear all current consumer credits. Otherwise, the credit the bank will give you will be reduced.
Can I apply for a fixed-rate credit? Should I bring in own funds?
When you review your file, the credit agency will estimate the amount you will have when you have paid all your monthly payments.
The bank will also carefully study your employment situation. Of course, to get credit, you are supposed to be in a permanent contract position. To have the chance to obtain credit more easily, the terms of which correspond to your expectations, you need to develop your profile in order to gain the trust of the bank.
Negotiate the best rate: the advantage of using a broker
To benefit from the best credit rate, it is not enough to go to the bank. Think about comparing offers or contacting several credit agencies. You can also use online simulators and loan comparators.
The ideal is to use a broker who knows perfectly the bank policy and who can choose the one whose conditions match your profile. In addition, the role of a broker is precisely to find the bank that offers the best rate of borrowing.
He is also able to negotiate the elimination of penalties, in case you later consider an early repayment of your home loan or your work loan.
Solutions to further reduce the cost of your mortgage
To be sure to borrow with a favorable borrowing rate, you need to know the bank policy. For banks, the longer the repayment period, the higher the rate. Therefore, it is recommended to opt for a reasonable repayment term.
If your income permits, choose a shorter repayment term.
Also note that with a long-term loan, the monthly payment will be reduced but the total cost of your credit will be higher. This is another good reason, if your ability to pay back allows it, to opt for a refund for a shorter period.
This will allow you to settle your debts more quickly, while benefiting from a mortgage at a reduced rate. Feel free to make an appointment for your mortgage loan application or if you have questions about tax benefits, interest rates, fire insurance, outstanding balance insurance, etc.