Seattle Mortgage Rate Comparison Guide: 5 Key Concepts

Published:
January 20, 2017
Last updated:
March 7, 2022
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Do you plan to buy a home in Seattle sometime soon? Will you need a mortgage loan to help finance your purchase? If so, it’s time to brush up on your Seattle mortgage rate comparison skills. And we’ve created a handy guide to get you started on the right foot.

Seattle Mortgage Rate Comparison Guide

First-time home buyers sometimes feel confused, and even intimidated, by the mortgage shopping and rate comparison process. It’s easy to understand why. After all, a home is a major investment, and a mortgage loan is a big financial responsibility.

But there’s no reason to feel overwhelmed. The Seattle mortgage rate comparison process is actually pretty straightforward, once you understand a few key terms and concepts.

Here are 5 things you need to know.

1. Make sure you’re comparing “apples to apples.”

When shopping for and comparing Seattle mortgage rates, you need to make sure you’re comparing “apples to apples.” For example, one lender might quote you a lower rate with the stipulation that you would pay points at closing. Another Seattle mortgage company might quote you a higher rate without you having to pay any discount points.

Today’s Seattle Mortgage Rates

You have to understand exactly what you’re looking at, when doing a mortgage rate comparison. A low rate, by itself, does not always mean it’s the best deal. You have to consider the full cost of the loan. Which brings us to Seattle mortgage comparison tip #2…

2. Compare the full cost of the loans, not just the rates being offered.

The interest you pay on your loan is only one aspect of the total cost. When comparing mortgage offers, you must also consider fees, points and other costs associated with your loan. This is an extension of the “apples to apples” concept above. Find out how much your mortgage loan will cost you over time, and how much you’ll have to pay at closing.

3. Consider using discount points to lower your rate.

Did you know you could get a lower rate on your Seattle mortgage loan by paying a bit more money up front? It’s true, and it’s a common strategy among borrowers these days.

If your primary goal is to get the lowest possible mortgage rate, you might consider paying discount points at closing. This is a form of prepaid interest, where one point equals one percent of the loan amount. By paying points, you can essentially “buy down” your mortgage rate to save money over the long term.

Learn more about points here, or contact us for a Seattle mortgage rate quote.

4. Realize that average mortgage rates may or may not apply to you.

Mortgage rates are constantly in the news. Their daily and weekly fluctuations are the source of endless headlines. Bust most of the rate-related stories you read in the news are based on averages. Specifically, they’re usually based on the weekly primary mortgage market survey (PMMS) conducted by Freddie Mac.

Average mortgage rates are useful for measuring trends over time. But they’re not particularly useful for financial planning. Nor are they a good substitute for an actual rate quote from Seattle mortgage lenders. You might qualify for a rate that is higher or lower than average, based on a number of factors (including your credit score).

We will be happy to offer you a rate quote based on your current financial situation and the type of loan you seek.

5. Sign up for our free rate tracker tool.

Home loan interest rates change constantly, and we’ve made it easy for you keep up with them. Sammamish Mortgage offers a free rate tracker tool to save you time and energy.

Sign up for the rate tracker today.

Just fill out the short form on the page above, regarding the type of loan you want, and we’ll contact you when rates hit your target level. You can choose to receive daily or weekly updates. This will help you track and compare Seattle mortgage rates, while saving time in the process.

Get an Instant Mortgage Rate Quote Today

Need a Mortgage Loan?

Will you need mortgage financing to buy a home in Seattle? We can help. Sammamish Mortgage has been serving buyers across the Pacific Northwest since 1992. We offer a wide variety of mortgage programs & products with flexible qualification criteria. Please contact us today with any financing-related questions you have.

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