How To Get The Best Mortgage Rates In Atlanta, GA 2022

Home buyers in Atlanta and throughout Georgia are eligible for today’s great mortgage rates. Now is an excellent time to buy a home. Home prices continue to go up. Buying in 2022 will enable you to get into your property soon and then enjoy the growing home equity for years to come. 

Real estate experts anticipate home prices will keep increasing, especially here in the Atlanta GA area. Mortgage rates have also been creeping upward, but are still available at historically low rates overall. 

mortgage rates

So, How Do You Take Advantage Of These Low Mortgage Rates In Atlanta?

 Here are some the two important steps you need to take:

  • Get Your Finances in Order

The best way to qualify for the lowest possible interest rate as a mortgage borrower is to make sure your finances are in good shape. You should have cash saved up for a down payment. In addition, you should pay down your existing high-interest debts and work to improve your credit score. Below are the primary financial indicators Atlanta mortgage lenders will use to determine your mortgage rate:

FICO Score—Your credit rating will play a significant role in your qualified mortgage rate. The higher your FICO Score, the better your rate could be. You may qualify with a relatively low credit score (especially if the rest of your financial situation is very healthy), but generally you should aim to increase your rating as much as possible before applying for a mortgage loan.

Down Payment—The more money you put down toward your home loan, the lower mortgage rate you should have. A higher down payment means a lower loan principal amount. Save up for a sizable down payment to reduce your interest rate.

Debts—As part of the mortgage approval process, the mortgage lender’s underwriter will assess your debt-to-income (DTI) ratio. This is calculated by adding up your monthly debt payments (credit cards, student loans, car loans, personal loans, etc.) and dividing that by your average monthly income. You should aim for a DTI lower than 40%. Again, the lower the better when it comes to your mortgage rates.

Employment History—The mortgage lender will also review your employment history and income status. Having a shaky employment history or inconsistent income over the past few years may result in a higher mortgage rate.

Do what you can to get your finances in order before applying for a mortgage loan. This will help you qualify for a lower interest rate and better overall mortgage terms.

  • Talk with Your Mortgage Lender

The next important step is to find an Atlanta-based mortgage lender you trust. Find one that offers a number of different mortgage programs like conventional loans, FHA loans, USDA loans and VA loans. Not all lenders are approved to issue all these different types of loan programs. A good lender will help you explore all your options and find the best lending solution for you. You may qualify for a zero-down USDA or VA loan, or you may be better off with an FHA loan or conventional mortgage. 

Also, be sure to ask your mortgage lender what it will take to get pre-approved for your mortgage loan. A mortgage pre-approval letter is crucial when buying a house in greater Atlanta’s competitive real estate market. Housing inventory is low and buyer demand is high. A mortgage pre-approval letter is a vital component to include when making an offer on a home you wish to buy. It shows the seller that your financing is solid and that you present less risk than other buyers who may not yet be pre-approved.

It’s smart to get pre-approved before you even start searching for houses. The mortgage pre-approval process will let you know what mortgage program(s) you qualify for and how much home you can actually afford with a locked-in fixed mortgage rate. Then, you will have the pre-approval letter ready to include with any purchase offers you make.

If you are buying a home in Atlanta, GA or the surrounding Georgia communities, count on the mortgage experts at Moreira Team | MortgageRight. Let us help you explore your lending options and get pre-approved for your home loan. We can also help you with refinancing programs if you currently own your home and qualify for a lower interest rate. Contact us today to learn more.