Offer Compare (USA)
Rank multiple offers by payment, cost, or cash-to-close.
📖 Why comparing loan offers by rate alone is misleading
A quoted rate is only one input to total cost. Lenders differ in origination fees, discount points, lender credits, closing costs, and escrow setup — any of which can change the real economics by thousands of dollars over the loan life.
That is why a lender offering 6.00% with high fees can cost more than one offering 6.25% with low fees, across the same holding period. The spread between a "good deal" and a "bad deal" often hides in fee structure, not in the headline rate.
Rate
Headline number, but not the whole story. Small differences compound over long horizons but can be dwarfed by fees in the short run.
Fees & points
Origination, discount, closing, and prepaid items. Paid upfront, so the impact feels front-loaded.
Credits
Lender credits reduce cash-to-close in exchange for a higher rate. Useful when liquidity is the binding constraint.
🎯 Picking the right ranking criterion
Lowest total cost optimizes for long holders. It accounts for every fee, every credit, every interest dollar from closing to exit. This is the math-first answer when the goal is minimizing dollars out.
Lowest monthly payment optimizes for cash flow. Useful when qualifying at DTI limits, when monthly cash is tight, or when you have competing uses for dollars.
Lowest cash-to-close optimizes for liquidity at settlement. Highest lender credits typically win here even if total lifetime cost is higher.
⏳ Holding period is the biggest hidden factor
Short hold (3-5 years)
Low-fee offers win because fees do not amortize enough. Low rate offers with high fees rarely break even.
Long hold (10+ years)
Low-rate offers win because rate savings compound month after month. Upfront fees get amortized into near-invisibility.
Realistic > contractual
Set the horizon to what you really believe, not the 30-year term. Most borrowers refinance or sell within 5-10 years.
Watch the winner flip
Move the horizon slider in the calculator — the winner often changes between 36 and 120 months.
❓ Frequently asked questions
Should I just pick the lowest APR?
APR bundles rate and fees assuming you hold the loan for the full term. If you may refinance or sell earlier, APR overweights the fee-amortization benefit. Compare total cost over your realistic holding period instead.
Can I negotiate lender fees?
Often yes — especially origination and discount points. Showing a competing Loan Estimate to your preferred lender is the most effective lever. Third-party fees (title, appraisal) are harder to move.
What is the all-in monthly payment?
All-in includes P&I plus escrow (taxes, insurance) and PMI where applicable. Raw P&I across offers hides real monthly-cost differences when escrow or PMI varies between lenders.