A mortgage is one of the best ways to secure your future through home ownership. However, a mortgage can end up hurting your finances if you get it at the wrong rates.  Luckily, there are ways you can cut on your mortgage rates, and repay your mortgage with ease. Here are 5 tips to lowering our mortgage rate, and secure your future.


  1. Choose your mortgage broker well

The mortgage broker you go for determines how peaceful you will be, all through your mortgage repayment journey. To ensure that you repay your loan in peace, go for a mortgage broker that offers you competitive rates. One such company is Altrua financial. This company has some of the most competitive mortgage rates in London. They also offer advice to their clients on the best mortgages that fit their income and lifestyle. That’s the kind of service that can help you lower your mortgage rate by a significant margin.

  1. Improve your credit ratings

Like every other loan out there, the interest rate you pay is directly related to your credit rating. The better your credit rating, the lower the amount of interest you get to pay. That’s why if you want to lower mortgage rate, keep your credit rating as clean as possible. If you have any outstanding loans, repay them on time, before you apply for the mortgage. You will be surprised at how low your rates can go.  In short, the rate you pay is directly linked to your risk perception in the eyes of the lender.

  1. Put down a higher down payment

When taking a mortgage, the amount you put down as a down payment has an impact on the interest rate you have to pay. That’s because the lender’s level of risk goes down, when you are willing to commit more. As such, if you have some money to spare, use it to increase your deposit. You will have killed two birds with one stone. First, you will cut down on the rates. Second, you will cut on the duration you get to repay the loan.

  1. Go for a higher monthly repayment amounts

One of the best ways to cut down on your mortgage rates is by increasing the amount that you have to repay on a monthly basis. This is because it cuts down on the repayment period, hence reducing the lenders risk. The reason why longer term mortgages have a higher interest rate is because the lender needs to cover themselves, in case you are unable to repay the loan at some point in the future. Eliminate this uncertainty with a higher monthly payment, and you get yourself a lower interest rate.

  1. Refinance your mortgage

In times of low interest rates, you can refinance your mortgage and take advantage of the lower rates. However, before you take this path, ensure that the mortgage rates you will get for the refinanced mortgage make sense, from a financial perspective. Getting a mortgage comparison is important to ensure the best rates. Otherwise, you might end up in financial trouble.