Rates can be lowered by paying discount. If the offered rate has no origination or discount it is considered par. Therefore to go below what the lender's published rates it is possible to buy down the rate. Usually the cost is 1% of the loan amount for every .25 reduction in rate. So I would do as much research as possible before committing to any transaction. Get a few more estimates, in the long run find out what you are paying in interest, fees, and premium on a year to year basis. Good luck!

Good afternoon! Different lenders do have different rates and sometimes to get a lower rate than what you have been quoted you may need to buy it down with some points. But it is not necessarily typical. Typical closing costs will include an origination fee, processing and underwriting fees, escrow set up, pre-paid interest, and title fees but rates are at historic lows now and if you don't want to pay points to get your rate lowered you certainly have options out there without doing so.Amy WedigLoan OfficerLiberty Mortgage Company877-257-0963Fax 888-864-8828

Rates that are in the paper usually are a few days old and could have changed since then. Also make sure that you look at the small print when looking at rates in your paper. If the lender can not explain to you why the rate is higher than you think it should be, call someone else. The rate is also depending on the loan amount and if this loan will be your primary residence or an investment property. Believe it or not, the lower the loan amount, the higher the rate. I would be happy to help explain this to you, my toll free number in Columbus is 888-818-1850, Kitsy Burt

Your question is impossible to answer without knowing what the rate is, as well as the loan amount, property type and occupancy. Rates are not one size fits all.

Jake, The best thing I can suggest is that you Shop and Compare rates. I do not know what you mean by "Current Interest Rates" When you shop and compare you want to look at the closing costs and the rate together. As far as points, in general, for every 1% of your loan amount (aka Points) you can expect to see a .25% improvement in your rate. If you want to call me with any questions, please check my profile page and I will gladly offer my opinion.

It's right no matter what rate you get which is derived from your good credit and your ability to repay. you can always buy down the rate. Say they offer youa rate of 4% and you say well thats good but can I do better and your lender saysWell if you pay for a point now we can reduce your rate by an 1/2 of a percent.And you say why would I do that because in the long run you will save for 30 years the amount the higher rate would cost. These guys are clear that they will give you what you pay for. But you feel you want them to lower the market rate for free. You know what something is worth to you. They also know what's worth it to them. Don't get me wrong rates are very competetive right now so shop around (801) but don't expect anything for free!

Hi Jake.Discount 'Points' are used to reduce the interest rate by an additional cost. With rates as low as they are now, there is usually no need to buy the rate down with 'Points', as it generally takes too long to make up the amount you are paying in 'Points'. You really should look at total costs and rate to compare accurately. For example, If you are getting 4.25% with NO Points and $2800 in total costs, including any discount points and another lender is offering 4.5% with NO COSTS at all, you simply take the difference in the P&I payment and divide it by the difference in the costs ($2800 in this case) to see how many mos it takes you to make up the costs. If this is still a bit confusing, feel free to call me for more clarification.Patrick McCarthy, Stonegate Mortgage Corp,, 614-310-7520

Jake,Paying a point to reduce the rate or a no fee no cost loan has its advantages, you have to compare that lender's rate and total closing cost to determine weather it is a good deal or not. i am not a licensed originator in OH but if you provide the provided interest rate and the closing cost im sure we can help you much better.

The question I have is, what do you mean by the Current Rates?? if these are the 2.35% you see on the front page of Yahoo, then it's not reality... It's possible your loan officer is giving you a good deal right off the get go, but if your suspicious, you should get another quote. Also, paying points is a good strategy if your plans are to stay in your home for many years. Have your loan officer do a pay back analysis to determine how long it will take to get back the extra money your paying up front for the lower rate... if it makes sense to you then do it.. WilliamAcres.com