Lock In Your Mortgage Rate Before Its Too Late!
As the old saying goes, “You need to know when to hold them and know when to fold them.” However, knowing when to lock in your mortgage rate is much more important than a game of cards. Mortgage Rates fluctuate very quickly and although an improvement to the mortgage rate you were quoted can save you money, a small increase in mortgage rates can cause you to lose thousands and in some cases cause you to go from an approved borrower ready to purchase to not approved over night or force you to purchase a lower priced home.
Unless you are a mortgage expert, keep a close eye on mortgage rates, and why they increase or decrease, the basic rule of thumb to obtaining a mortgage loan and locking in your mortgage rate is to use the assistance of a mortgage expert, have them find a low rate you are approved for and comfortable with. Then lock it in and don’t look back.
What Does A Rate Lock Even Mean
A Rate Lock is exactly that, you are agreeing to lock in the quoted mortgage rate for a certain period of time which is typically between 30 and 45 days. This is the amount of time you have to close escrow on your home purchase or refinance for the agreed upon mortgage rate.
Locking in your mortgage rate gives you protection from rate increases in the market as long as you obtain all of the requirements for the loan such as an appraisal, home inspection, final documententation verification in order to close escrow.
How Long Do I lock In My Rate For?
Deciding how long you should lock in your rate depends on many variables such as lender time frames for underwriting, appraiser turn around times, or if you are in a consumer friendly market or a volitale one. The difference in loan program such as a 30 year fixed rate compared to 30 Year Jumbo Loan Rate which may be require additional documents and effect underwriting time periods. Therefore, understanding when and for how long to lock for can be very stressful. Therefore, its important to make sure you have a mortgage expert working with you to help you through this decision when purchasing a home or buying a home.
Constult With A Mortgage Expert
With mortgage rates still at all time lows, contact Elite Financial the most experienced and trusted Westlake Mortgage Broker to help you get approved for a purchase or save money with a low rate refinance today and Lock In Your Rate Today!