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Will gas prices going down cause the mortgage rates to creep back up?

Should we lock or will the rates keep going down until the new year? by jamescarr918 from Adelanto, California. Dec 2nd 2014 Reply


William J Acres (William_Acres)
#2 ranked lender in Arizona - 7,797 contributions

Because of the short time involved in originating and closing a loan, (typically within 30 days), there's no real benefit to waiting.. When rates go up, they go up really fast, but when they come down, it's a very slow process.. if you have already started a loan, then there's a greater likelihood that your rate will worsen than get better.. So the question is.. would you risk having to pay an extra 1/4% to 3/8% in rate if things go bad, to maybe get a 1/8% better interest rate if the market improves? I would say lock now.. 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

Dec 2nd 2014
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Phil Dumouchel (PhilDu)
#32 ranked lender in South Carolina - 2,224 contributions

I would lock the rate, there is no way to know what rates will do. My company, PrimeLending offers a one-time free floatdown of the rate for most loans if it is significantly better just prior to closing. Let me know if I can help.

Dec 2nd 2014
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Korene Clopine-Seaman (korene)
#70 ranked lender in Arizona - 83 contributions

There is not a real correlation between gas prices and mortgage rates. I personally believe that it is more important that you make the decision on the rate that is most important to you and then decide "DO YOU WANT TO RISK THAT EXTRA $25--$150 month slim chance of saving against a current guaranteed rate that is good rate as opposed a rate that jumped up and costs you $25-$150 more a month.... I would say lock now.. I'm a Banker/broker here in Metro Phoenix, AZ and I lend in Arizona and California. I give free analysis to people who are purchasing and refinancing or just checking for options. Please contact me or pass along my information. Korene Clopine-Seaman 623-340-0934 KLCSLoanTeam.com or email me at korene@KLCSLoanTeam.com

Dec 2nd 2014
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Joe Metzler (JoeMetzler)
#1 ranked lender in Minnesota - 3,446 contributions

We get asked that question 100 times a week. Look at it this way. Current rates are just a hair about the lowest EVER. I remember writing many loans at 8, 9, and 10%. My first personal mortgage loan in 1981 was at 16%. Given that there is little room for any downward gain, and huge room for upward loss - why is anyone holding out. Piggies get slaughtered in the market...

Dec 2nd 2014
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Bert Carpenter (BertCarpenter)
#39 ranked lender in Arizona - 1,815 contributions

All signals point to locking now. there is nothing on the horizon that portends lower rates. ~ Bert Carpenter, The LoansA2z team of NOVA Home Loans ~ NMLS 40586 ~ Licensed in Arizona (AZLO0911876 / AZBK0902429), Washington (WALO40586 / WACL3087) and California (CADOC40586 / CAFLL6036566). We are licensed by the CA-DBO under the CFLL and CRMLA. Loans made or arranged pursuant to CFLL or CRMLA license. ~ www.LoansA2z.com ~ 888-889-9950

Dec 2nd 2014
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