5 Myths About Mortgage Points

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Effective Mortgage Shopping

Mortgage points are one of the most misunderstood concepts in the mortgage world.  On the surface, points are scary, and many consumers equate points with mortgage scams and unnecessary junk fees.  However, nothing could be further from the truth.

If utilized correctly, mortgage points can be used to save you thousands of dollars through properly structuring your mortgage.  So, first of all, what are points?

One point is equivalent to 1% of the loan amount.  So, if you are obtaining a $300,000 mortgage, one point equals $3000.  Points come in two categories, origination and discount points.  Although both origination and discount points are technically the same thing, origination points are typically a fee that a mortgage company charges to do your loan where as discount points are points used to discount the mortgage or lower your rate.

So now that you understand a little more about points, you need to check out my free report:  5 Myths About Mortgage Points.

Don't let dishonest mortgage brokers rip you off!!

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