Mortgage Blog

My client has a loan of 380k with the value 370k
and another 2nd 60k.

The good news is that he has Fannie Mae loan
and qualifies with HARPII refi, even though
LTV around 105% and CLTV around 120%.

When we first started to work together on the file,
I quoted the rate 3.875%, and Thursday the rate
went up to 3.925%. And he asked me whether to
lock the rate or not?

I just let him think about the following:
If he refinanced to the rate of 3.925%,
he saved $629.44. And if he got 3.875%,
he could save another $14.

I just asked him whether it's worth it to
wait one or two months for extra $10 or $20
and wasted the $629.44 or $629.44X2 he could
save.

And he immediately asked me to lock the rate.

And he could get better rate if I did not
lock for 60 days.

And he is already very happy about the
savings he can have.