Florida Mortgage Rates

Author: Denno Chambers

Florida Mortgage Rates - Know Everything Upfront

Florida mortgage rates change every day, just as they change every day in every state. It is important when buying a home to understand how mortgage rates work and if and how you can lock-in your mortgage rates.

Nearly all lenders give you the opportunity to lock-in your rate. The terms of the lock-in, however, will vary from lender to lender so it is important to know this upfront and keep it in mind when you try to decide the right time to lock-in your rate.

Some mortgage lenders will require a lock-in fee which can vary greatly, so you will want to find out if your mortgage lender charges a lock-in rate and what the lock-in rate will be. Though the lock-in fee may or may not impact your choosing a particular lender, the more information you have upfront the better off you will be.

The duration of the lock-in is also important. Some lenders allow you to lock-in for a short window of time while others provide you the opportunity to lock-in your rate for a longer period of time. Knowing this information and talking to your mortgage lender will help you determine when the right time to lock-in your loan will be.

If interest rates are on the rise, homeowners become anxious and want to lock-in as soon as possible, the danger could be, however, that the house will not close by the time the lock-in rate expires and then you will either pay additional fees or not get the lock-in rate. If interest rates are lowering, then many homeowners want to wait as long as possible to see how low they will go, of course fearing that they may spike right before the closing and then you will not benefit from the lower rate.

In reality, for many consumers locking-in their interest rate is a nerve-wracking experience that they are better off speaking directly to their lender about rather than try to guess on their own. Many homeowners are shocked to learn that the difference in their monthly payment is not as significant as they may think based on a change of ¼ point in an interest rate and this often helps them relax and enjoy the process of buying their home.

If you are in the early stages of buying a home you will want to keep a casual eye on the mortgage interest rates so you see the general trend in the rates. If you are in the middle or end stages of buying a home then you will want to pay closer attention and try to determine the best time to lock-in your interest rate.

You should also speak to your lender about guaranteed interest rates and eliminate this concern all together. These rates are guaranteed to not exceed a certain number, regardless of what the prevailing interest rates at the time are.

Only you can determine what is right for you, however, the more information you have the better equipped you will be. Speak openly and honestly with your mortgage lender and get their advice on Florida mortgage rates. Get pre-qualified today, for your home mortgage

Copyright © 2006 Chambers Home Mortgage Denno Chambers Florida Mortgage Broker Phone: 954-401-5663 dennochambers@hotmail.com http://www.chambershomemortgage.com

About the author: Denno Chambers Florida Mortgage Broker Phone: 954-401-5663 dennochambers@hotmail.com http://www.chambershomemortgage.com