When obtaining quotes from a mortgage broker get them to compare programs using a calculator or spread sheet, primarily one where you can plug in how many months you plan on staying in the property before refinance or selling, where you can see the programs side-by-side, you will be able to determine the higher rate with less closing costs will sometimes benefit you more. This is especially true if you plan on moving in a few years or refinancing soon. Moreover in this case it would be better for you to go with a Hybrid program where the rate is fixed for a certain period then adjusts after that period of time.

The best thing to do if you simply want a rate quote is to provide the lender as much information as possible and have a good understanding of your credit history, be sure you understand that without a lock in agreement that is all you have is a quote.

Understanding that a rate quote is nothing more than a snapshot of a particular programs interest rate is critical for a customer to understand. Many economic factors determine whether interest rates go up or down and lenders will update their rates daily or even multiple times per day. The decision to lock a loan should ultimately be the consumers however your mortgage broker can be extremely valuable in deciding if you should lock now or wait based on industry forcasts.

In most instances, the exact interest rate can not be determined in the first or second contact with the broker. Be sure to ask about any other programs avaliiable as well, often borrowers focus too much on rate and not which program is in their long-term financial goals.

Seller paid closing costs - One of the most popular ways to buy a home today is to have the home seller pay your loan closing costs. There are restrictions based on the type of home loan you qualify for but its becoming one of the most common ways to bring no money down.

Many loan programs allow for seller paid closing cost to pay for all the fees associated with the loan. This allows buyers taking advantage of 100% financing to literally walk to the closing table with no money at all and at times even getting a refund of earnest money.

Different loan programs will dictate how much you can receive from the buyer. This can be a percentage or it can be a fixed amount and is usually between 2% to 6%. The most common amount used is 3% on a average priced house. This is fully negotiable with the seller and some sellers may not be willing to give. The more motivated they are the better chance you might have. I would always start out with asking for seller contribution...it's usually free money for you.