for a great deal, and then locking in that deal, is a good idea and general rule of thumb. The trick is to know when to lock in a rate, and to find out each lender’s rules and policies surrounding mortgage rate locks. Mortgage interest rates, and mortgage rate lock fees, can vary significantly from day to day, and from lender to lender, so it’s best to take your time when researching and shopping. Further, in addition to shopping around, when you’ve found a lender, a low rate, and you’ve decided to lock it in, it’s imperative that you get that mortgage rate lock in writing. Don’t make any assumptions or take anything for granted. A quote or a promise or somebody’s word isn’t good enough; you need it in writing. “Rising rates mean rising profits for lenders,” says Lisa Smith of Investopedia, “so they have every incentive to increase the rate whenever possible.” The most important piece of advice to take away from all this when looking for a loan and getting pre-approved, is to take your time, shop around, and don’t automatically go with the first rate or the first option given to you. There any many banks and mortgage-lending companies, with different rates and options, out there. Do a little research and digging to find the best rate and option that works for you and your needs. HOW TO GAIN AN ADVANTAGE:
If you don’t know where to start, ask your real estate agent.
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