We Know How to Calculate Interest Rate Differential for Maximum Benefit

Most people shopping for a mortgage don’t know how to calculate the interest rate differential or IRD. This is a very important number that could save you thousands of dollars on your home loan, therefore, our team of mortgage experts is here for you and knows how to calculate interest rate differential so that you can get the best mortgage deal possible. The interest rate differential is the difference between the interest rate you are being charged on your current mortgage and the interest rate that you would qualify for if you were to refinance today. To calculate your interest rate differential, simply take the difference between your current interest rate and the lowest interest rate you would qualify for if you were to refinance today. For example, if your current mortgage interest rate is 4.5% and you believe you would qualify for a 3.5% interest rate if you refinanced today, then your interest rate differential would be 1%.

Now that you know how to calculate your interest rate differential, the next step is to compare this number to the costs of refinancing. We will work with you to determine if refinancing is right for you, and help you find the best mortgage deal possible. Once you know how to calculate interest rate differential, it’s easy to see how much money you could save by refinancing your mortgage. Contact us today to get a full understanding of your options and how we can help you save money on your home loan!