Myth #13: Par rates are impossible to calculate
Most home buyers are probably aware of a mortgage payment calculator or mortgage rate calculator, but how does it help if you do not know what rate to use? After all, to get the most out of the mortgage rate calculator, shouldn’t you know the lowest rate that you can qualify?
Instead, you should start thinking of it as a fair rate calculator. This means that you need to find your fair rate and use that as your starting point when shopping for a new home. At least that will provide a more realistic view of how the calculator operates.
How Parlend’s Mortgage Rate calculator Works for You
When you shop for a new car, most people start with a reliable source such as TrueCar or Kelly’s Blue Book which indicates the true value of the vehicle. You can then choose the right vehicle with the options you want and determine the fair price in your zip code. After all, if you don’t know the value of any product or service, then how can you start the negotiating process?
Parlend offers a unique algorithm that calculators the Fair or “Par” mortgage rate in real time. Plus, the rate is calculated for the loan officer and not the lender they represent. This provides you with real leverage, allowing you to negotiate for the best rate possible based on your risk profile. You can now calculate a realistic monthly payment option and not a hypothetical one.
You can also calculate the corresponding closing costs to provide a full picture of your payment. Without the Parlend calculator, you risk being taken advantage of and paying too much. That’s why the Parlend mortgage rate calculator should be the one you use.
Myth # 12: You only need to shop a few lenders to find the best mortgage rate
Your home will most likely be the biggest financial investment you make throughout your life. This means that as you prepare to purchase a home, you should be as thorough as possible in researching the mortgage rates available to you. Getting a great mortgage quote online can save you thousands, if not tens of thousands, of dollars on an incredibly important investment. Yet in spite of this, up to 70% of mortgage shoppers do not shop around for the best mortgage interest rate available to them. This means that a large proportion of people spend far more money than they should when purchasing a home.
A key reason that such a high number of people do not shop around for mortgage rates is that they are not aware of the resources available to them. One such resource is a high-quality online mortgage rate comparison shopping tool, such as the one offered by Parlend which is immensely valuable for a mortgage shopper, as it can provide you with a solid baseline for planning your budget and for negotiating with a potential lender.
It is important to bear in mind that even though the mortgage industry is made up of a handful of lenders, those lenders are represented by over 400,000 loan officers. Your mortgage rate will be set by one of those loan officers, not the lender that he or she represents. This means that you need access to a mortgage shopping tool that surveys as many of those individual loan officers as possible. When negotiating a mortgage rate, it is crucial that you know the best rate or lowest rate for which you qualify. Parlend can help you calculate this rate using our patent pending fair mortgage rate calculator.
The more access you have to the various mortgage rate quotes available to you, the more likely you will be to find the best possible rates. This means that you should take the time to do the research needed to find a great mortgage quote. You should also take advantage of the resources available to you, such as Parlend’s online mortgage rate comparison shopping tool. This will ensure that you are able to find the best mortgage rate that fits into your budget and saves you money in both the short and long term.