When I'm shopping around for a 30-year FRM, should I be considering interest rates or APR?

As Phil mentioned, many things go into calculating the APR. The best way to compare offers in my opinion, would be to compare interest rates along with the fees charged by the lender against the interest rate and fees charged by another lender. When you take the APR advertised by a lender, that lender may be under estimating certain cost that influence the APR, thus making it imperfect and inaccurate.

You should be considering both but more importantly you should be considering the bottom line. Compare your new loan amount, monthly principle and interest payment, APR, and closing costs.

If you do a side by side comparison of a mortgage broker quote and a bank quote, both with the same interest rate and the exact same amount of fees, the bank APR will be lower than the broker, even though both deals are exactly the same. This is just how the laws work, so because the APR can be manipulated, i would suggest comparing the interest rate and the total lender fee's to determine which deal is best for you.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

Great question...you should consider both. And when you shop your loan make sure you campare all of the fees side by side because a big bank like B of A or Wells is going to charge you an origination fee of like a point or point and a half and if you use a local mortgage broker like myself, you will not have that fee because we have what's known as lender paid compensation. That means the lender pays us our contracted rate on every loan and you, therefore, do not.

Both really but can be is hard to get an accurate calculation of APR without quite a bit of info from you. APR is based on the rate and certain lender and legal expenses you have in connection with a mortgage. If you prefer a certain attorney or title company their fees can affect the APR. If you get the rate, also ask for their fees and you essentially have the same info. If the APR is close to the rate it means there are few fees.

Both. The APR is a great way to compare closing costs between lenders. If the rate is the same but the APR is higher then that lender's costs are higher. If the rate and APR are close then that lender's costs are lower.We are a licensed Louisiana lender with offices in Covington and Metairie 985-867-8334.Thanks,Paul

Knowledge is Poiwer. you will see our Office is in Harahan. Come on by , and lets talk.Dan

Good afternoon, the APR is the total overall of your transaction. Of course the APR is not change your monthly payment that is driven by your interest rate.

You Have To Look At Both. The APR is an excellent way to compare closing costs between lenders. If the rate is the same but the APR is higher then that means the lender's costs are higher. If the rate and APR are very close then that lender's costs are lower. You Should do a side by side comparison of fees to make that determination.

I would go by the interest rate.