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Is there an advantage to "floating" my rate at this point before locking

by pete.lmonte89723770 from Waco, Texas. Apr 16th 2014 Reply


William J Acres (William_Acres)
#73 ranked lender in Arizona - 8,727 contributions

The propensity for rates to increase far exceeds the likelihood rates will go lower.. your better off locking in now.. Also understand that when rates are improving, it's very slow and dragged out.. but when rates go bad, they go bad quick.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com

Apr 16th 2014
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Matt Spinn (mattspinn1@gmail.com)
#16 ranked lender in Texas - 18 contributions

Better off locking if you can live with your quoted rate.

Apr 16th 2014
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Jason Vondrak (jvondrak)
#220 ranked lender in California - 1,741 contributions

In today's market, interest rates are much more likely to rise than drop. If you can manage the current interest rate that you are being quoted, it's much better to lock it in than risk taking a gamble and potentially having to pay a higher interest rate.

Apr 16th 2014
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Jarrod McOmie (Jarrod)
#13 ranked lender in Utah - 120 contributions

The safe bet is always to lock in if you are happy with the rate/terms that your lender gives you. That being said, you will want you Lender to pay close attention to what is going on in the market. Generally speaking when bad news hits the stock market, our rates generally go down. Conversely, when stocks/economy are performing well - our rates tend to go up. I always go with the old adage "Pigs get fat, and Hogs get slaughtered". When you are good with the rate, take it! Best of Luck!

Apr 16th 2014
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Margie Fisher (mfisher)
#11 ranked lender in Texas - 12 contributions

All the answers below are giving good advice. However always remember that by floating, you are absorbing the risk of rates going higher. Some lenders offer a lock today, and free Floatdown option if rates do drop prior to your closing... It gives you the best of both worlds. You " put a lid on it... Yet might get a lower rate.". This Lock with Floatdown feature is the best option out there. If interested, Primelending does offer the Floatdown feature and we have an office inWaco. Good luck.

Apr 16th 2014
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Margie Fisher (mfisher)
#11 ranked lender in Texas - 12 contributions

You might be interested in a Lock with Floatdown feature. It gives you the opportunity to lock at today's rates but I'd rates drop before closing, you can lower your rate for free. Not all lenders offer this Floatdown feature, so call around. Primelending offers this feature, and we have an office in Waco now.Good luck!

Apr 16th 2014
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John Moran (TheHomeMortgagePro)
#7 ranked lender in Arizona - 663 contributions

I agree with the majority of posters so far. Rates shoot up much faster than they go down. My advice is that if you are comfortable with the rate and payment today, lock it and don't look back.

Apr 17th 2014
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Jericho Cherry (Jerichocherry)
#56 ranked lender in Virginia - 1,107 contributions

I agree with everyone else, lock now.

Apr 17th 2014
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