MANY Things Affect Interest Rates!
Credit Scores and Negative Propertery Issues Indicate Risk Categories to Investors. If you apply for a home loan with a FICO credit score of 720 or over, you will most often be approved for the current lowest interest rate if you are submitting full documentation (proof of employment, assets, etc.). An applicant with 680 or better, depending on the specific lender's guidelines must have pretty solid income verification and be a wage earner, not a self employed person. The litmus test for self employed persons for best terms is currently 740+ FICO. For example, let's say you can get 6% as an average 30 year fixed rate for a person with 720+ middle FICO Score. If your score is 680-719, you may be offered an interest rate of 7%. If your score is below 680 expect 'hits' to your price and possibly 8% or higher for the rate. Below 600 and you will be charged even higher rates and may only qualify for much higher rates or be limited to programs. Most of our FHA lenders want