Phoenix Mortgage Broker reveals why shopping for the lowest rate is a BIG MISTAKE!!

That’s right, shopping for the lowest interest rate is one of the BIGGEST MISTAKES Phoenix homebuyers can make! Let me explain; about two months ago I received a call from someone looking for a new mortgage to purchase a home in Phoenix.  They were shopping for interest rate quotes.  At the time, I told them interest rates were around 6%.  (I routinely do not quote rates without having all of the information such as credit scores as loans are now “tiered” in pricing based on FICO scores).

They told me they had another Phoenix Mortgage Broker who was willing to lock them today at 5.75% and wondered if I would do the same. I explained to them that it was not in their best interest at that time.  They had not even found a home and locking them for 30 to 45 days was futile.

In addition, because I follow the interest rate market and pricing so closely I felt the market was going to trend down with interest rates going down over the next few weeks. I showed them the data and systems I use to track interest rates.They closed last week with an interest rate of 5.25%.

I receive market updates every 15 minutes via text, monitor treasury auctions and economic data every morning and afternoon at the start and end of the trading market to determine the best interest rate strategies for my clients.

Had I locked them when others who seemingly were offering a better interest rate, their monthly payment would have been $81 per month higher. Because they could afford the extra $81 every month, I set them up on a plan to apply the extra $80 per month towards their debt and mortgage.

By using the $81 another Phoenix Mortgage Broker would have them paying, I was able to give them a plan to have their home paid off 9 years early, saving them $93,412.61 in payments and interest!

So, had they hired another Phoenix Mortgage Broker who was quoting a lower rate that day, they would have paid an extra $93, 412.61 to the bank!

This real life example was part of the motivation for starting this blog and creating the Daily Market Rate Update.

My wife and I form one of the most successful real estate and mortgage teams in the country.    Our SmartBuyer System is GUARANTEED to save every Phoenix area homebuyer a minimum of $50,000, so hiring the right advisers MAKES A DIFFERENCE!

Call our office at (602) 291-4362 to see how our SmartBuyer System can save you at least $50,000 when buying and financing a home.

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