There are interest rates, and we find all different rates. We find one place offering what seems to be the greatest mortgage interest rate, while another has a more balanced rate, another has a high interest rate. Who actually is cheaper? Let us find out here!

We have 3 places then, and 3 people. One person gets the lowest rate, the next gets a balanced rate, and the other a high interest rate.

Let us look at John, the first person. He goes to the bank, and pays the highest rate of interest. He gets a mortgage from the bank.

Looking at Paul, he did some research, and went through several mortgage lenders, and found one rate that was the lowest. It was so low, it was too good to be true!

Then David also did research. He found several places like Paul did, however, he did something different. He did not go for the highest or the very lowest mortgage rate. He decided to go for a mid range. So out of ten, 4 hit a kind of middle ground, so he selected one of those.

He selected it however not based on interest rate alone. He based his findings on another factor, a broader factor, and that is how much the mortgage would cost in total.

He looked at the hidden charges, and the rate of interest. He then selected that one that looked like the lowest rate, and the one that had the least charges that would effect him. He bought his dream home, and managed to pay less in total than did Paul or John.