How can you get the Lowest Mortgage Rates?


Many new homebuyers think that for getting the lowest mortgage rates, all they need to do is shop around and find the one that suits their requirements the most. It is noteworthy that the mortgage rate is determined on the basis of many economic factors you can’t control. But at the same time, there are many other factors too that you can definitely control that can have a great impact on your mortgage rate.



The factors are divided into two categories - the risk that the bank has for lending you money and the way you will modify the loan to your advantage. Here are the risk factors that you must know about.

Credit Score
This is the most important factor that affects your ability to get the lowest interest rate. The target varies from lender to lender but a credit score near or above 720 can generally help you in getting the lowest mortgage rate. Lower credit score may result in higher interest rates on your mortgage. If you don’t know your credit score, you should check it.
Total Debt Service Ratio (TDS)
It is the sum of all your debt commitments and housing costs in comparison to your income. If there are large debts, the lender will see you as a higher risk for repayment. For most lenders, 42% is where loans begin to get risky.
Stable Job History
If you have a stable job history, the lender will be more confident about lending you the money you want at the lowest mortgage rate.

Improving these factors may take time. But once you have, you will able to get the best mortgage rate. RateShop.ca is the best online platform for you to compare and apply for the lowest mortgage rates in Canada without any hassle. Visit our official website today to ensure that you get the best rates for you.


Location: Mississauga, ON, Canada

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