MORTGAGE RATES ARE GOING UP AND WILL NOT BE GOING DOWN ANY TIME SOON!
A good broker can submit your loan and lock an interest rate before you even pick out a house if you are looking to buy in 60 - 90 days.
The interest rates won't go up like crazy, but anything under 6% is pretty much unheard of anymore. Last month I was able to get 5.5% and lower rates, now it's impossible.
90 days is the longest rate lock you can do.
Locking a rate means you "lock" in that day's interest rate that the mortgage company offerred that day. Every day mortgage companies change their interest rates either increaseing or decreaseing. By locking a rate you are guaranteed that rate for a set period of days *30, 60, or 90 days* wether rates go up or down.
LOL tell the broker to get a life. $3,633 Yield Spread is YSP, which means you qualify for a lower interest rate and he is charging you a higher interest rate to make money off of your loan. This fee is NOT paid by you, but you qualify for a better rate, and this broker is making money by charging you a higher rate.
No income stated loans need a 680 plus score, 700 plus get better rates and you can get 100% financing. These are conventional loans. You need a 2 year work history.
I would shop around if I were you ..... seems this mortgage company is trying to over charge you.
Here's an article I found interesting, you may too::::::
The Fed and You: Don't Wait to Refinance
Why Mortgage Rates May Not Go Lower
January 30, 2008 4:24 p.m.
What does the Fed's move mean for your money?
Simple: If you were planning to refinance your mortgage but you hadn't gotten around to it, do it now.
See a mortgage broker this afternoon or tomorrow morning. Call in sick if you have to. Don't wait.
Thirty-year fixed rate loan rates have been on the floor recently, but the response to the Fed's move suggests that may not last.
The yield on 30-year Treasurys rose nearly a tenth of a percentage point this afternoon to 4.42%.
(If you're wondering why long-term rates would rise as the Fed is cutting short-term rates -- the two do not move together, and in fact often move in opposite directions. This is because long-term yields are priced off long-term growth and inflation expectations. If the Fed steps in to boost short-term liquidity, by cutting Fed Funds, the market may fear that that will add to inflationary pressures down the road.)
On its own, today's move in Treasurys isn't huge. But over the past few days the rates have risen noticeably, from a low of just 4.10% late last week. The yield on the 10 year has risen also risen, from a low of 3.28% to 3.71%.
Long-term mortgage rates, ultimately, are priced off of long-term government bonds. If those yields continue to rise, mortgage rates will follow suit.
And there's plenty of reason to think this might happen.
The Fed has shown it is more worried about a near-term slump, and the outside risk of falling prices, than it is about long-term inflation. It was the supposed risk of a serious crash, and maybe even falling prices, that had driven yields on government bonds so low.
The Fed has now slashed its fed-funds rate target to 3% from 4.25% in 10 days. That's a 30% cut in short-term borrowing costs.
It's hard to see how they can pump this amount of liquidity into the system without adding to inflationary pressures that are already building.
Food and energy prices are being driven much higher by the massive shifts in population and industry in Asia, over which the Fed has no control. That's why food and beverage inflation is now running at 4.8% a year, twice the rate of the first part of this decade and the highest level since 1990.
Readers need no reminding about energy inflation, which has averaged nearly 7% a year for five years now.
Sr. Mortgage Broker