Credit Scores & DTI Are Crucial Now
Mortgage rates have fluctuated over the last few weeks in response to market conditions. While borrowers are sensitive to current rate changes, credit scores play a major role for those seeking to purchase a home, refinance, or tap into existing home equity.
For example, borrowers with excellent credit may be able to obtain home equity rates between 5.25% and 6.50%, while most homeowners see rates in the 7% to 8% range, due to lower credit scores.*
A borrower’s Debt-to-Income ratio (DTI) is also a big factor in determining interest rates on any type of mortgage. Lower DTI ratios typically secure better interest rates and easier approval, while people with high DTI ratios may require larger down payments, higher fees, or specific loan programs.
Lowering DTI and increasing credit scores can save thousands of dollars in interest payments over the life of the loan. My recommendation for all types of borrowers is to review your financial picture with a qualified mortgage professional and look for areas to improve these factors. 
My team and I continually have our eyes on the market to monitor rates and lock in the best options for our clients. Give me a call if you’re ready to sit down and crunch the numbers! 
*Estimates as of 04/01/26. Rates are subject to change. Call for free consultation.