Posted on: 25th Oct, 2010 11:49 am
Why do you get a higher interest rate for a smaller amount.I owe $81000 and I can't get a lower rate even though I had a Fannie Mac loan!!!!
It is not the fact that you owe a smaller amount and thus you need to pay a higher interest rate. You can try refinancing the small mortgage with some other local lender and take advantage of the lower rates. If you have a good credit and stable financial situation, you'll get a lower rate to pay off your mortgage. However, if you've a bad credit, then you may have to pay higher interest rates to pay off the loan.