Mortgage Rates may be at an all-time low, but there’s still a big difference between a 3% and 4% rate. Your mortgage rate is the amount is the amount of interest charge by whomever you took a loan out with to buy the house.
A 1% difference in mortgage rate on a $200,000 home with a $160,000 mortgage increases your monthly payment by almost $100. Although the difference in monthly payment may not seem that extreme, the 1% higher rate means you’ll pay approximately $50,000 more in interest over the 30 year term of your Mortgage loan.
In short… Mortgage Rates Matter!!