Learn how lenders price mortgages, which levers you can influence, and how we benchmark every quote we deliver.
Mortgage rates aren't arbitrary. They're based on a complex interplay of market forces, risk factors, and individual borrower characteristics. Understanding this process helps you make informed decisions and potentially qualify for better rates.
While the Fed doesn't set mortgage rates directly, their decisions on short-term rates influence the entire rate environment. Fed rate hikes generally push mortgage rates higher.
Mortgage rates closely follow the 10-year Treasury yield. When bond prices fall (yields rise), mortgage rates typically increase.
Strong economic data (GDP growth, low unemployment) often leads to higher rates, while weak data can push rates lower.
Higher inflation erodes bond returns, causing investors to demand higher yields and pushing mortgage rates up.
Your credit score is the biggest personal factor affecting your rate. Here's how scores typically affect pricing:
Your down payment directly affects your rate through the LTV ratio:
We work with multiple wholesale lenders, each with different pricing models and specialties. This allows us to find the lender offering the best terms for your specific profile.
Our technology pulls live rates throughout the day, ensuring you see current market pricing, not yesterday's rates.
We analyze whether paying points, adjusting your down payment, or structuring your loan differently could get you a better rate.
We show you multiple options with clear explanations of rates, fees, and total costs, so you can make an informed decision.
Here's how to read a typical rate sheet:
| Rate | Points | APR | Credit |
|---|---|---|---|
| 6.375% | 2.00 | 6.521% | -$8,000 |
| 6.625% | 0.00 | 6.698% | $0 |
| 6.875% | -1.50 | 6.842% | +$6,000 |
Points: Positive = you pay to lower rate, Negative = lender credit
Credit: Lender credits can offset closing costs
APR: Total cost including rate and fees
Get a custom rate quote based on your specific situation.