If you're looking to obtain a home mortgage loan, it's important that you get the most affordable interest rate possible.  Purchasing a home is a huge investment and is not a matter to enter into lightly.  Just like with personal or automobile loans, there are a number of ways that you should prepare before obtaining a mortgage loan.  Use this information to learn more about two tips that can help you get the best interest rate the next time you apply for a mortgage loan.

Reduce Your Debt-To-Income Ratio

The first thing you want to do when you're in the market for a mortgage loan is reduce your debt-to-income ratio as much as possible.  Many lenders factor in your debt-to-income ratio when considering the interest rate that they'll offer you, so it's vital that you get this area under control.

Your debt-to-income ratio is essentially how much money you owe to your creditors compared to how much money you bring in.  This ratio is so important because, although you may earn a relatively high income, much of it could be flying out of your pockets each month to pay creditors.  If you look strictly at your income without factoring in just how restricted your funds are because you're so in debt, it may shock you when you're offered a mortgage with an astronomical interest rate.

Work on getting your debt levels down as low as possible before applying for a home loan.  If you do this, you may find that, even if you don't make a lot of money, the interest rate that you're offered is highly manageable.

Be Strategic When Applying For A Mortgage Loan

When you are ready to apply for your mortgage, it's important that you are strategic about the process.  Although you may be tempted to simply throw your hat into the ring and apply for as many mortgage loans as possible, this is not the right approach to take.

Each time you apply for a mortgage, it could put an inquiry on your credit.  Some lenders consider inquiries to be a bad sign because it could indicate that you're attempting to get multiple loans. Instead of randomly applying for loans, carefully research the lenders to determine which ones have the best reviews.  Apply for one loan at a time, and keep it to as few as possible.

Getting a great rate on a mortgage loan doesn't have to be difficult if you know what to do.  Start using these tips right away so you can get a loan that is as affordable as possible.

For more information and options, talk with mortgage loan brokers like Dave Schell at Guaranteed Rate Mortgage.