Mortgage Quote

The calculation of an assumed amount that will be paid by a potential borrower at a given interest rate. A mortgage quote may also refer to mortgage insurance provided to financial institutions and mortgage lenders that are eligible.

A mortgage quote is determined by several factors including the type of loan, the applicant’s credit history and the term of the loan. A mortgage quote is very important in determining whether to purchase or refinance a mortgage loan. Before making a decision, the potential borrower should also beware of the constantly changing interest rates; even hourly.

There are several types of mortgage quotes: fixed, variable and fixed variable. Depending on the term and amount of the mortgage, different types of mortgage quotes offer different benefits. A simple way to determine the most suitable one for you is the use of a mortgage loan calculator form or program.

Other than the mortgage quote, the potential borrower should also look at the overall term of the loan. A mortgage loan term can range anywhere from 5 to 30 years. The total amount paid on the principal and interest could vary greatly depending on the term of the loan.

Some mortgage lenders may not disclose all other associated costs. These may include insurance costs, property taxes, PMI costs, closing costs and others. You should therefore conduct thorough research and make inquiries. You may also consider hiring the services of a mortgage broker to help you before putting pen to paper on a mortgage deal.

Mortgage quotes also vary with the types of mortgage available. An option to refinance a mortgage at the middle of the term may also be advantageous or disadvantageous to you. It is important to establish these before making a decision to go for a mortgage loan.