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August 25, 2022

Understanding Mortgage Rates

A mortgage rate reflects how much you’ll pay to take out the loan. It’s the interest you’ll owe annually which will be a percentage of your loan’s total balance.

There are both fixed-rate and adjustable-rate mortgage loan options. With fixed rates, your interest is consistent throughout the entire course of the loan. If you have an adjustable-rate loan, your interest rate can fluctuate after a certain amount of time, sending your monthly payment up or down.

What mortgage rates are determined by?          

Economic Factors include:

  • Strength of the economy
  • Inflation rates
  • Employment
  • Consumer spending
  • Housing construction and other market conditions
  • Stock and bond markets
  • 10-year Treasury yields
  • Federal Reserve policies

Personal Factors include:

  • Credit score
  • Credit history
  • Down payment size
  • Loan-to-Value ratio
  • Loan size, type, and term
  • Debt-to-Income ratio
  • Location of the property

Generally, to get the lowest interest rate, you should have a:

  • Credit score of 760 or above
  • Down payment of 20% or more
  • Low Loan-to-Value ratio
  • Low Debt-to-Income ratio

 

CHECK CURRENT MORTGAGE RATES

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                             Divison of Banking Locations                                                                                  Phone Numbers

          Springfield Office                               Chicago Office                                          General Inquires                              TTY

        Division of Banking                         Divison of Banking                                       1-888-473-4858                   1-866-325-4949 

 320 West Washington Street       100 West Randolph, 9th Floor                                                  Divison of Banking

       Springfield, IL 62786                        Chicago, IL 6060                                                                 1-844-768-1713

NMLS# 935629

1701 52nd Avenue, Moline, IL  61265

866-441-1862    customerservice@ruhlmortgage.com

 

For more information regarding licensing, go to www.nmlsconsumeraccess.org

                             Divison of Banking Locations                                                                                  Phone Numbers

          Springfield Office                               Chicago Office                                          General Inquires                              TTY

        Division of Banking                         Divison of Banking                                       1-888-473-4858                   1-866-325-4949 

 320 West Washington Street       100 West Randolph, 9th Floor                                                  Divison of Banking

       Springfield, IL 62786                        Chicago, IL 6060                                                                 1-844-768-1713