Why can't you believe the interest rates you see advertised?

Answer - There are 10 key factors that determine an interest rate and it's impossible to provide a quote online!

(click to see the explanation!)

Higher FICO scores mean less risk to the lender, so they are able to lower the rate.
The more you put down on your home, the better the interest rate.
How many years is the loan for? Most loans are 30 years, but there are options for a 10, 15 and 20 year loan. The shorter the period, the lower the rate.
Conventional, FHA, USDA, VA and Non-QM are the typical types of loans. The rates vary greatly between them.
You can lock your rate for 7, 14, 21, 30, 45, 60 or even 90 - 120 days. The longer the lock, the higher the rate will be.
Lenders offer the option to "buy down the rate" by paying a certain amount at closing for the lower rate.
There are two basic types: fixed and adjustable. Fixed means it will not ever change. Adjustable rate do change at designated times during the loan and are usually lower than fixed rates.
Homes that are priced particularly low or high. We don't often see homes priced too low, but we do see many over the "conforming limits" which can affect the rate.
If a home is located in a rural area or has more land than usual, the home may be designated differently which can affect the rate.
Primary residence, 2nd home or investment property all affect the rate.

Providing an interest rate quote online is like receiving a job offer and salary commitment without ever applying for the job!

Your job offer depends on your experience, training, education, skills, location, availability, history of employment, etc. But the  FIRST  step is with the application!

Quoting an Interest Rate is very similar. It is based on the strength of the application and the amount of risk the loan itself presents to the investor.
Risk is determined by many things and a combination of those things, such as:

Credit scores, Primary residence vs Investor property, Income and income stability, Current assets and reserves, location of the property (whether it is on 5 acres vs 100 acres), whether you are purchasing or refinancing, are you pulling cash out of the refinance or is it just rate/term, how much credit have you recently applied for, what are your current liabilities, how do they compare to your assets and income, etc…

There is no way we or any lender in the U.S. can provide you an accurate guaranteed interest rate quote in an advertisement, on Facebook, or even over the phone without a full application and documentation!

We can provide estimates… and many lenders do. But we know that you’re going to choose the “best quote” so many lenders will advertise or tell you over the phone an interest rate quote that gets you in the door.

Our goal is to build confidence and trust with our customers. We don’t believe that advertising or providing fake interest rates just to lure you in is the way to build confidence, trust, and future business with you.

We are your financial real estate advisor for life!
Our relationship with you is built on the guidance you can trust and rely upon forever. Not just this loan, but your futures loans and often your family’s loan.