Userba011d64_201/Getty Images 
It may not have been a huge decline, but for many borrowers it represented an important milestone nonetheless: Average mortgage interest rates in recent days have again fallen under 6%. Now at an average of 5.99% for a 30-year mortgage (and 5.50% for a 15-year alternative loan term), rates here are still not what they were at the beginning of the decade. But they are in line with historic averages, and they’re markedly improved from what they were just a few weeks ago after rates surged in response to overseas conflicts and geopolitical tensions.
It was just March 31, for example, when these rates were 6.37% and 5.75%, respectively. So there’s been noticeable improvement here, perhaps enough to justify a home purchase this spring. As recent market volatility illustrates, however, borrowers shouldn’t remain idle now that rates are in a more affordable position. In fact, it may benefit them to take a more aggressive approach. And that begins with making the right strategic moves that will help them exploit this time in the mortgage rate space. Below, we’ll examine three worth serious consideration now.
Start by seeing how low your current mortgage rate offers are here.
What borrowers should do with mortgage rates under 6% again
To take advantage of this slightly more affordable time in the mortgage rate environment, borrowers should look to make these three moves now:
Pull their credit report
The lowest mortgage rates you find online will be reserved for those borrowers with the highest credit scores. So don’t lose out on the opportunity that improved rates offer now by having a subpar credit score. Instead, pull your credit report to get an idea of where you stand (lenders will inevitably do the same once you formally apply for a loan).
Check the report for inaccurate, outdated and incomplete information and then promptly move to dispute it where applicable. This will all take time, so consider doing it sooner rather than later. But if the result is a cleaner credit report and an improved credit score, leading to a lower mortgage interest rate, the effort will be well worth it.
Learn more about your mortgage rate options online today.
Start shopping for lenders
Mortgage lenders will have different reactions to market conditions, meaning that some may have rates that are already under that 5.99% average, while others will have ones that are a bit higher. You won’t know which lenders are offering the most competitive rates and terms, however, without first taking the time to thoroughly shop around.
Look to secure rates from at least three different lenders to establish a baseline to compare against. But look beyond the rates, too, as closing costs, fees and mortgage points should all be evaluated with precision to effectively determine which lender is truly offering the best deal … and which ones just seem like they are.
Strongly consider a mortgage rate lock
A mortgage interest rate lock – once you’ve settled on a rate and lender that you feel comfortable working with – makes a lot of sense in today’s climate. This will protect you from any potential volatility that could cause your rate offers to spike again.
At the same time, many lenders will still allow you to float down your rate to a new, better option should it become available prior to closing on the loan. Long term, you could always refinance to a lower rate in the future, after the home has been bought. There’s no guarantee that today’s rate will remain the same, however, without locking it in with a lender now.
The bottom line
A mortgage rate slightly under 6% may not seem like something borrowers should scramble for, but compared to the decades-high rates seen here in recent years and the volatility earlier this spring that caused rates to surge, it can be worth aggressively pursuing now. And by pulling their credit report, boosting their score, shopping for lenders and finally locking a low mortgage rate when found, borrowers can strategically take advantage of this new, affordable moment in the mortgage rate space. Just don’t wait too long to act, either, as mortgage rates change daily based on market conditions.
