California Apartments and Homes Blog

When considering refinancing or purchasing a home, free home loan quotes can be the ideal resource of information. These quotes will give you the information you need regarding the loan and also give you an idea of what the lenders can offer you. Quotes come to you without any obligation and costs, therefore no risks. But always take the responsibility of ensuring all points of the quotes are given due attention and consideration.

Mortgage lenders can offer you these free home loan quotes online. Just giving your name and kind of loan you are interested in will allow you to get a huge amount of information. These 5 things listed are the most important points to look into in every quote you get.

1. Interest Rate

   The interest rate is the price tag of your loan. Always remember that the lower the interest rate typically means the more house you can afford.

2. Term

   When talking about loans, the word “term” pertains to the length. When securing a home mortgage, it is important that you get the right term. Remember that a short term will mean a higher monthly payment.

3. Monthly Payment

   It is important that you get a good balance of the monthly payment and the term of the loan. Does the quote you requested show you a monthly payment amount that you can afford?

4. Closing Costs

   The closing cost is the amount you will need to pay to be able to purchase a loan. Free home loan quotes provided by mortgage lenders present this information to you first hand. Some others do as well, but if in case they don’t – make sure you ask for it. This becomes very important when you refinance to ensure that in the long run you are saving more money than spending it.

5. Borrowed Amount

   The borrowed amount is the amount you borrow from the lender to buy the home you want. Depending on the location of your mortgage, the price of houses can be quite high so it is important that you make sure your borrowed amount will be enough. If not, look around and see if there is another lender that can and will provide you with the terms you need.

Free home loan quotes provided by lenders give you all the above information. What’s left for you to do is to simply compare the options available. One can have a lower interest rate but a longer term. A longer term means longer payment, so in the end, you still pay more. You may also find out some lenders can be less secure than the others, or that some can offer early payoff options - which some lenders do not offer. There are indeed so many options available.