Comments on: LOCK your mortgage interest rate http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/ Seattle's Leading Resource for Real Estate Information Wed, 17 Mar 2010 04:32:26 -0700 http://wordpress.org/?v=2.8.4 hourly 1 By: Rhonda Porter http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-158448 Rhonda Porter Tue, 10 Jul 2007 01:56:31 +0000 http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-158448 Hi Jenny, I would love to do a post on that for you. A quick answer is that mortgage brokers are not paid unless your loan closes. You can have a locked loan and for some reason the transaction doesn't close and then...no matter how many hours you and the mortgage person have invested in each other, they are not compensated. I'm not a member of the Upfront Mortgage Brokers. I don't believe I need to pay someone a couple hundred dollars to belong to something only to say "I'm a UMB". My business model is to be "transparent"...sometimes, I think it's more than what some people would like! ;) Your questions are great and I'll work on the post for you. If any UMB wants to add their 2cents once it's posted in the comments, that would be great! Hi Jenny, I would love to do a post on that for you. A quick answer is that mortgage brokers are not paid unless your loan closes. You can have a locked loan and for some reason the transaction doesn’t close and then…no matter how many hours you and the mortgage person have invested in each other, they are not compensated.

I’m not a member of the Upfront Mortgage Brokers. I don’t believe I need to pay someone a couple hundred dollars to belong to something only to say “I’m a UMB”. My business model is to be “transparent”…sometimes, I think it’s more than what some people would like! ;)

Your questions are great and I’ll work on the post for you. If any UMB wants to add their 2cents once it’s posted in the comments, that would be great!

]]> By: Jenny http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-158443 Jenny Tue, 10 Jul 2007 01:41:02 +0000 http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-158443 A couple newbie home buyer questions: You have to have a property that you are in contract in to lock your rate, right? If you are just shopping, you can't lock the rate? Is a home buyer more "committed" to using a particular mortgage broker if he chooses to lock the rate with him, versus floating it? Is there a difference in how mortgage brokers are compensated for locked vs floated loans? How can a home buyer confirm that your locked rate has continuous floatdowns - is it a standard part of the written lock confirmation that the LO provides? On another note, I'd love to see a post on LO compensation from you, including an opinion on Upfront Mortgage Brokers. A couple newbie home buyer questions:
You have to have a property that you are in contract in to lock your rate, right? If you are just shopping, you can’t lock the rate?
Is a home buyer more “committed” to using a particular mortgage broker if he chooses to lock the rate with him, versus floating it?
Is there a difference in how mortgage brokers are compensated for locked vs floated loans?
How can a home buyer confirm that your locked rate has continuous floatdowns – is it a standard part of the written lock confirmation that the LO provides?

On another note, I’d love to see a post on LO compensation from you, including an opinion on Upfront Mortgage Brokers.

]]> By: RCG Reader Asks: Can You Beat this Rate? | Rain City Guide | A Seattle Real Estate Blog... http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-157530 RCG Reader Asks: Can You Beat this Rate? | Rain City Guide | A Seattle Real Estate Blog... Sat, 07 Jul 2007 17:28:55 +0000 http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-157530 [...] The closing costs appear to be in line…however, the estimate is dated June 4.   This is just about when rates began to trend higher.   The rate on the estimate is no longer valid.   A lot has happened with interest rates over the past six weeks! [...] [...] The closing costs appear to be in line…however, the estimate is dated June 4.   This is just about when rates began to trend higher.   The rate on the estimate is no longer valid.   A lot has happened with interest rates over the past six weeks! [...]

]]> By: Friday’s Rates continuing up | Rain City Guide | A Seattle Real Estate Blog... http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146818 Friday’s Rates continuing up | Rain City Guide | A Seattle Real Estate Blog... Fri, 08 Jun 2007 20:58:40 +0000 http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146818 [...] Friday’s Rates continuing up June 8, 2007 What happened yesterday that caused me to issue an Alert to Lock?  New Zealand raised their interest rates unexpectedly due to their improving economy and to hedge inflation causing quite a reaction from investors and significant increases to mortgage interest rates (bonds) throughout the day.   Conforming rates are up 0.25% from last Friday’s rate quote. [...] [...] Friday’s Rates continuing up June 8, 2007 What happened yesterday that caused me to issue an Alert to Lock?  New Zealand raised their interest rates unexpectedly due to their improving economy and to hedge inflation causing quite a reaction from investors and significant increases to mortgage interest rates (bonds) throughout the day.   Conforming rates are up 0.25% from last Friday’s rate quote. [...]

]]> By: Rhonda Porter http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146536 Rhonda Porter Fri, 08 Jun 2007 01:33:42 +0000 http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146536 I think rates will continue to trend upwards. My gut hurts when I work with "floaters"...it makes me a nervous wreck...but as I mentioned, it is the consumers choice. I think rates will continue to trend upwards. My gut hurts when I work with “floaters”…it makes me a nervous wreck…but as I mentioned, it is the consumers choice.

]]> By: Bill Waters http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146534 Bill Waters Fri, 08 Jun 2007 01:31:11 +0000 http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146534 Rhonda, yeah, I'm certainly in favor of locking rates. What I was getting at was whether your recommendation had more to do with your insight into future rate trends or getting people off the fence and to your desk. I find this sharp spike over the last few weeks surprising but not unexpected since over time money rarely stays this cheap for this long. Rhonda, yeah, I’m certainly in favor of locking rates. What I was getting at was whether your recommendation had more to do with your insight into future rate trends or getting people off the fence and to your desk. I find this sharp spike over the last few weeks surprising but not unexpected since over time money rarely stays this cheap for this long.

]]> By: Dustin http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146530 Dustin Fri, 08 Jun 2007 01:11:26 +0000 http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146530 Eleua, when your response to being told your comments were inappropriate was to defend the comments using the same derogatory terms, I felt the need to moderate your stuff for a little while... Sorry if you feel it is petty, but it is my solution to ensuring that the other people who are writing posts and leaving comments still feel comfortable taking part in the RCG community. Eleua, when your response to being told your comments were inappropriate was to defend the comments using the same derogatory terms, I felt the need to moderate your stuff for a little while… Sorry if you feel it is petty, but it is my solution to ensuring that the other people who are writing posts and leaving comments still feel comfortable taking part in the RCG community.

]]> By: Eleua http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146505 Eleua Thu, 07 Jun 2007 23:10:47 +0000 http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146505 Dustin, BTW, I am very impressed that you can make it where I can see my posts, but nobody else can. This is the cyber version of "if a tree falls in the woods, but nobody is there to hear it..." Very cool (and petty), E Dustin,

BTW, I am very impressed that you can make it where I can see my posts, but nobody else can.

This is the cyber version of “if a tree falls in the woods, but nobody is there to hear it…”

Very cool (and petty),

E

]]> By: Rhonda Porter http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146498 Rhonda Porter Thu, 07 Jun 2007 22:39:58 +0000 http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146498 Do you want to float a rate lock now, Bill? ;) One of the lenders I work with issued 4 rate changes today...others were 2-3. Do you want to float a rate lock now, Bill? ;)

One of the lenders I work with issued 4 rate changes today…others were 2-3.

]]> By: Bill Waters http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146494 Bill Waters Thu, 07 Jun 2007 22:31:01 +0000 http://raincityguide.com/2007/06/07/lock-your-mortgage-interest-rate/#comment-146494 Now Bill Gross has come out and said "Hey, I have changed my mind, rates are going up up up over the next 12-18 months" I'm thinking that this time may be different. He's predicting 10-yr at 6.5% and mortgage rates in the high 7's. This from a guy that is perpetually bullish on bond prices. Didn't expect that from him. Now Bill Gross has come out and said “Hey, I have changed my mind, rates are going up up up over the next 12-18 months” I’m thinking that this time may be different. He’s predicting 10-yr at 6.5% and mortgage rates in the high 7’s. This from a guy that is perpetually bullish on bond prices. Didn’t expect that from him.

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