Getting the right mortgage rates in Toronto is probably the biggest financial commitment you’ll make in your life, so it’s important to get the best at the deal. One of the best things you can do to get a lower rate is to compare mortgage rates from different providers. To know more visit https://www.myphoenixgroup.ca/rates/.

1. 5 BEST
WAYS TO
SECURE THE
LOWEST
RATES

2. CONTENT
INTRODUCTION
FACTORS THAT IMPACT YOUR RATES
HOW TO IMPROVE
FINAL TIP
1.
2.
3.
4.

3. INTRODUCTION
This is a perfect time for the homebuyers to buy a new home with 30
years still hovering around 3%. Hence make certain you can lock in one
of the low mortgage rates. Here are the 5 main factors that impact your
rate and what you can do to improve each one.

4. 1 . Your Credit Score:
The upmost factor when securing a lowest
mortgage rate is your credit score. Ensure your
score is as high as possible before getting quotes.

5. HOW TO IMPROVE:
ALWAYS ENSURE TO MAKE
PAYMENTS ON TIME.
AVOID CLOSING ACCOUNTS THAT ARE
IN GOOD STANDING.
IF YOU WANT A NEW LOAN, ONLY IF
NECESSARY OPEN NEW ACCOUNTS.
CHECK YOUR CREDIT REPORT
REGULARLY FOR ERRORS.
FIRST, YOU NEED TO UNDERSTAND HOW
TO SCORES ARE CALCULATED.

6. 2 . Employment History:
Lenders want to ensure you have stable
employment and income.

7. How to
improve:
Look for lenders who are more flexible in
employment history. Traditional bankers
would review your past two years of
employment, while other lenders at the
past 12 months.
Besides, if you started a new job, consider
waiting to be sure this employment will
be long-term.

8. 3.Upfront Down
Payment:
A large amount of money you can put
down upfront, the less risk you are to a
lender. It means a lower loan amount
and less risk.

9. How to improve:
Put down a 20% down payment instead of just putting down the
minimum requirement.

10. 4. Debt-to-
Income Ratio:
Your debt-to-income (DTI) ratio is your
entire monthly debt payments divided
by your gross monthly income. Lenders
use it to ascertain your ability to
manage the monthly payments to
repay the money you plan to borrow. A
lower DTI would increase your chances
of getting the lowest mortgage rates.

11. How to improve:
To pay off your debt like credit cards, student
loans, car payments and child support.
To lower DTI is to increase your income.
Lenders look into history and consistency with
income. Start looking for ways to increase your
income now through consulting, contracting or
additional PT work.
If DTI is high, there are two ways to lower it.

12. 5 .Pay for
Points:
You can buy greater mortgage rates by
paying for points. A point is an upfront fee
you could pay to lower mortgage interest
rates. Mostly each point is equal to 1% of
the total mortgage amount. For example,
on a $200,000 mortgage, each point will
cost $2,000 upfront. Each point lowers
mortgage interest rates around one-
eighth to one-quarter of a percent.

13. Final Tip
One of the essential tips for new buyers is to shop around! Not all
mortgage lenders are the same. Some specialize in homebuyers who
can’t afford a high down payment, while others are more considerate
of the debt-to-income ratio.

14. THANK YOU!