Mortgage lenders are desperate for your business, which could mean new savings are coming. Lenders everywhere are feeling squeezed as home sales drop, so they’re now offering shiny discounts to try and woo you. That’s great news for mortgage shoppers, as it’s a fantastic chance to compare rates and snag the best deal — just make sure to negotiate with each lender. Major banks are advertising five-year fixed mortgages around 5.08%, but they’ve been offering lower rates on a case-by-case basis, according to mortgage strategist Robert McLister. But look closely: some of these so-called deals could come with tough terms, like big penalties for refinancing, which could end up costing you more. For example, one customer saved $2,100 with a lower rate but faced a $23,000 penalty when refinancing. If you’re comparing two offers, it’s a good idea to prioritize flexibility in your terms over a small rate advantage. Instead, try using a low rate offer as leverage to negotiate a better deal elsewhere with more flexible terms.