While interest rates change all the time, a mortgage rate lock ensures the rate on your mortgage stays the same, from the initial quote to closing.
What is a mortgage rate lock?
“Mortgage interest [rates] can change every day and sometimes even multiple times a day, so we always recommend that borrowers lock in their rate,” says Richard Greene, branch manager and loan officer at New Mexico Mortgage Company in Albuquerque. Generally speaking, rates also tend to increase when the economy does well, and slump during downturns to encourage growth. Mortgage rates can react to volatility, as well, such as the series of regional bank failures in 2023.in mortgage rates, too. When the Fed raises its key borrowing rate, the rates on adjustable-rate mortgages and home equity lines of credit follow suit.
If you lock too early, however, you might end up exceeding the expiration date and facing extension fees or a new rate. So, if you’re just starting to look at properties, it might not be wise to opt for a rate lock just yet — you’ll want to avoid feeling rushed to find a place and close the loan.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Today’s mortgage rates for May 30, 2023Looking for the most up-to-date mortgage rates to empower your purchasing or refinancing decisions? We’ve got you covered
Read more »
Home prices jump again in March amid low supply, competitive marketU.S. home prices climbed again in March, suggesting the housing market is stabilizing amid high mortgage rates, limited inventory and steep competition.
Read more »
Today’s lowest mortgage rate? 10- and 15-year terms | May 30, 2023Borrowers should take advantage of the lower interest rates of today’s short-term loans before likely future increases.
Read more »
Bay Area author Iris Chang's 'Rape of Nanking' brought 'forgotten holocaust' to the WestBefore San Jose author Iris Chang’s book “The Rape of Nanking' was published in 1997 – few in the West knew about the atrocities in the former Chinese capital during the outbreak of World War II.
Read more »
USD/CHF Price Analysis: Expect a rally above 0.9070 as Fed to raise rates furtherThe USD/CHF pair has attempted a recovery move after building a base around 0.9050 in the early Toyo session. The Swiss Franc asset has been supported
Read more »
Lifetime rates of depression in Black and Brown communities surpass whites, others - New York Amsterdam NewsA new Gallup study released on May 17 shows that the lifetime depression rates of Black and Hispanic adults are rising quickly and have now passed those of white adults.
Read more »