Rates go up quicker than they go down.
I wrote advice on this last week. Clicke here. The rate report today shows a rise, not huge but a rise. Todays average rate is now what it was 6 weeks ago. If you were floating, and didn’t follow my advice, you lost in your gamble. In general, when you qualify or the loan makes sense when you know your loan is within 30 days of closing, lock. Lock Lock Lock, and make sure your loan officer locked you when you told him to. Have a lock confirmation document in your possesion or you may be up the creek. My advice today is the same as last week. LOCK. Larry Cragun
We had a floating loan when the rates were varying between 5 3/8% and 5.5%. I was a nervous wreck waiting for the rate to dip for an hour to 5.25%. Then I realized my stress level was not worth the 1/8 point that I was hoping to get. I locked, locked, locked. Shortly thereafter the rates went UP! I breathed a sigh of relief.
Yes, i see this all the time. i have also seen the fallout of those losing a rate that caused them to qualify. what a mess that creates. lar