The mortgage rate estimate feature is an automated tool that lets you quickly explore estimated rates for a home purchase or refinance without impacting your credit.
1. What you provide (the inputs): Because this is an exploratory tool, we only need a few basic details from you—no documents or credit checks required:
- Property details: Zip code, property type, and estimated purchase price (for a new property purchase) or current home value (for a refinance).
- Financial profile: Your estimated credit score and income.
- Loan preferences: Your target down payment or equity usage.
2. How we process it (the logic): Our automated pricing engine instantly cross-references your estimates with real-time market data and our lending partners’ guidelines to find the products you might be eligible for.
3. What you see (the results): We condense potential eligible loan products into a maximum of four distinct options, allowing you to choose the scenario that best fits your current financial goals:
- Best value: The loan option offering the lowest interest rate closest to par (meaning you pay the fewest points).
- Lowest monthly payment: The option structured to minimize your ongoing monthly mortgage bill.
- Lowest APR: The option that is the most cost-effective over the total lifespan of the loan.
- Lowest cash at closing: The option requiring the least amount of out-of-pocket money upfront to close the loan.