Expert: Jessica Bryan - 11/17/2010

Question
I live in California Central Valley.  I would like to ask why there is a difference between what Yahoo Real Estate shows the interest rate to be for a thirty year period (4.576 %) and the 6% that Zip Realty shows to apply for this same amount of time. . Is there a way to negotiate a lower interest rate? and if so, how to go for that.

Also, Yahoo real estate shows the rate 4.001 for a period of 15 years.  So, I would like to know what interest rate for fifteen years I could expect Zip Realty charge down from the 6% that Zip Realy shows to apply for thirty years.

Respectfully,   Andres R.

Answer
Dear Andres;
Not all of the posted online information is accurate and up to date. In addition there are varying conditions that will reflect the different rates. The only way of knowing for sure what the rates are and all of the requirements is to call the various lenders and inquire.  Since all lenders are not the same you can shop around and find a loan that suits you better.  Some may charge higher loan origination fees but lower interest rates.  I can't say what Zip Realty will charge you for a 15 year loan...you just have to call them and ask.  One word of advice: ask lots of questions and find out what the real costs to you over the life of the loan will be since what may seem like the better deal may have added fees that in reality bring the cost of the loan up higher.  Of course there are laws in place called Truth in Lending Laws that require lenders to disclose your actual costs but these disclosure often come later after you have already agreed to go with their program.

Good luck and best wishes,
Jessica Bryan