Today's Wall St. Journal features a great article on how to get the best jumbo mortgage rates.

In our zip code, jumbo mortgages are often the norm. While buying a home is exciting, applying for a mortgage can be very daunting. However, doing your homework, which includes improving your credit score, can make your dream home that much more affordable.

The article touches on quite a few points that should be intuitive. For example, the higher the down payment, the better the rate. The article does have one mistake:  Pre-approval (the more comprehensive method that involves documentation of income and liabilities, as well as a credit check) is the way to go, and it is often required when submitting a bid on a desirable property in this area (or for that matter a desirable suburb).

Most of the banks in our area provide discounts based on banking relationships. For example, Bank of America Preferred Rewards and especially Chase Private Client can offer significant discounts on both the mortgage rates as well as closing credits. To get the most out of a banking relationship, consider consolidating all your accounts, including retirement accounts and stock and mutual fund accounts, to the financial institution where you anticipate taking out your mortgage.

Interested in buying locally? Give me a call and I can help, both as a licensed Realtor and as a 12+ year homeowner. Interested in moving to the suburbs? In addition to the wonderful recommended Realtors on Newport Mommy, I can recommend a trusted colleague in top towns in NJ from Montclair and Ridgewood to Summit, Chatham, Milburn and Short Hills. I also have tri-state connections in Manhattan, Queens, Long Island, Stamford, Philly etc. as well as national connections through my 6000+ agent network (need a Hindi speaking Realtor in New Mexico or Arizona... I can help you with that!)

The Federal's outlook on interest rates remains benign, which means a shock to real estate prices is not on the horizon for the foreseeable future. This is a great time to give yourself the gift of home equity.

http://www.wsj.com/articles/tips-to-get-the-best-jumbo-rates-141995...