🏦 The Insider’s Guide to Getting the Best Mortgage Rate on Your Next Home

How to Save Thousands and Secure the Right Deal

Buying a home is one of the biggest financial decisions you’ll make—and the mortgage rate you lock in can make or break your budget. 📉📈

With interest rates shifting and lender options galore, how do you make sure you’re getting the best deal?

Here’s your insider’s guide to locking in a great rate while avoiding common pitfalls 👇

1. ✅ Check and Improve Your Credit Score

Your credit score has a huge impact on your mortgage rate. The higher your score, the lower your interest rate.

🛠 Ways to Boost Your Score Before Applying:

• Pay bills on time (late payments = major drop)

• Keep credit balances under 30%

• Avoid new credit applications

• Check your report for errors

💡 Pro Tip: In Canada, check your score for free with Equifax or TransUnion!

2. 💰 Save for a Larger Down Payment

A bigger down payment = better mortgage terms.

📉 Why it Matters:

• Avoid costly CMHC insurance with 20%+ down

• Get access to lower interest rates

• Borrow less = lower monthly payments

💡 Pro Tip: Can’t hit 20%? Aim for 10% to reduce CMHC fees and unlock better rates.

3. 🏦 Shop Around for Lenders & Mortgage Brokers

Not all lenders offer the same rates—comparison shopping matters.

👀 Where to Look:

• Banks – Traditional and convenient

• Credit Unions – Often more flexible

• Mortgage Brokers – Shop around for you

• Online Lenders – Lower overhead = sometimes better rates

💡 Pro Tip: Even a 0.5% rate difference can save you thousands. Always negotiate!

4. 🔍 Choose the Right Mortgage Type

Not all mortgages are created equal.

📌 Fixed vs. Variable:

• ✅ Fixed Rate = locked in, predictable

• ✅ Variable Rate = changes with market, often lower to start

🤔 Which is right for you?

• Expecting rates to rise? Go fixed.

• Hoping they’ll drop? Variable might save you money.

• Planning to move in a few years? Look at shorter terms.

💡 Pro Tip: Work with a mortgage expert to match your rate strategy to your goals.

5. 📝 Get Pre-Approved Before You Shop

Pre-approval = confidence and clarity before house hunting.

🎯 Why It Helps:

• Locks in your rate for 90–120 days

• Shows sellers you’re serious

• Helps avoid budget surprises

💡 Pro Tip: Pre-approval is stronger than pre-qualification—it’s a conditional commitment from the lender.

6. ⏳ Shorten Your Amortization Period

The longer your mortgage, the more interest you’ll pay.

📊 Compare Options:

• 30-Year – Lower payments, more interest

• 25-Year – Canadian standard

• 15-20 Year – Higher payments, big interest savings

💡 Pro Tip: If you can afford a bit more monthly, shorter terms = major savings.

7. 💸 Make Extra Payments When You Can

Pay down your principal faster = less interest over time.

📈 How to Accelerate Your Mortgage:

• Biweekly payments = 1 extra payment/year

• Lump-sum payments from bonuses or refunds

• Slightly increase your regular payment

💡 Pro Tip: Check for prepayment privileges—some lenders charge fees for early payoffs.

8. ⚠️ Watch Out for Hidden Fees & Penalties

Don’t just look at the rate—look at the fine print too.

🚫 Possible Pitfalls:

• Prepayment penalties

• Limited portability (can’t move the mortgage with you)

• High closing costs: legal, title insurance, land transfer tax

💡 Pro Tip: Ask upfront about all potential fees. Surprises = not fun.

Final Thoughts: It’s Not Just About the Lowest Rate

Yes, a great rate matters—but the right mortgage also gives you flexibility, protection, and peace of mind.

✅ To Recap, Do This:

• Check & improve your credit score

• Save for a bigger down payment

• Compare lenders and negotiate

• Get pre-approved before you shop

• Choose a mortgage that aligns with your future goals

📩 Thinking of buying a home?
Let’s chat. At elevated & co. realty, we’ll connect you with trusted mortgage specialists who help our clients secure the best possible financing. 🙌

#YourMoveElevated 🚀