Buying a home is exciting — but it can feel overwhelming. One of the biggest factors that affects your monthly payment (and how much house you can afford) is your interest rate. The good news? You don’t have to be an economist to make smart moves here. A little strategy goes a long way.

Here are six practical tips to help you navigate interest rates when buying your next home:

1. Keep an Eye on Rate Trends

Interest rates move up and down based on the economy, inflation, and housing demand. While you can’t control the market, staying informed helps you make better decisions. Check trusted sources weekly so you’ll know if it’s a good time to lock in.

Quick tool: Run the numbers with our Monthly Affordability Calculator to see how different interest rates change your estimated payment.

2. Boost Your Credit Score

Your credit score is one of the biggest factors lenders look at. A higher score usually means a lower interest rate. Pay down balances, avoid opening new accounts right before applying, and make sure your credit report is free of errors. Even a small bump in your score can save you thousands over the life of your loan.

3. Shop Around With Multiple Lenders

Don’t just take the first offer that comes your way. Different lenders may offer different rates, even on the same day. Get quotes from at least three lenders and compare the details, not just the headline rate.

4. Consider Different Loan Types

Fixed-rate mortgages are popular for their stability, but adjustable-rate mortgages (ARMs) can sometimes start with lower rates. Depending on how long you plan to stay in the home, one type might make more sense than the other. A good lender will help you weigh the options.

5. Look Into Buying Points

“Points” let you pay more upfront to lower your interest rate over time. If you plan on staying in your home for many years, buying points could save you big money. But if you expect to move or refinance in a few years, it may not be worth it.

6. Lock In Your Rate at the Right Time

Once you find a rate you’re happy with, consider locking it in. Rate locks protect you from sudden increases while you finalize the purchase. Just be mindful of the lock period, since delays in closing could affect your rate.