Anyone that has locked in a mortgage lately........

[aneftp]

Originally Posted by zoomzoom3

5.125% here.

I'm hearing rates may skyrocket, so should I lock in now? Rates have went up steadily in the past week and a half.

Yeah, my broker quoted me 5.125% with zero points, 30 year fixed, 20% downpayment.

My other quotes were 4.875% with 0.7 points
4.75% with 1 point.

I think we are all getting very similiar rates (yeah at least we know the brokers are being straight up with numbers).

As another poster mentioned before on this thread, if you are in a refinance mode and have time, I'd wait. I doubt the rates will "skyrocket". We seem to be in a standstill mode.

If you are in a purchase agreement contract, than it may be best to lock in as soon as possible.

I have 40 more days to closing on my home, so I just decided to go ahead and lock at 4.875% with 0.7 points. I'm paying almost 3K in points fees but will make up the difference in about 27-30 months.

I know the people who got mortgages in the 80s were paying 13-15% rate. Even my older siblings were got their first homes around 1998 were paying close to 7%.

So we can't complain too much for rates in the low 5s and high 4s.

[Chickrae]

Originally Posted by aneftp

Yeah, my broker quoted me 5.125% with zero points, 30 year fixed, 20% downpayment.

I know the people who got mortgages in the 80s were paying 13-15% rate. Even my older siblings were got their first homes around 1998 were paying close to 7%.

So we can't complain too much for rates in the low 5s and high 4s.

Thats what we got 5.12 no points. It did drop one day to 4.8 with no points but that was 15 days after we locked and we are to close on Tuesday Jan 28th....I hope. I am glad we didn't shop around and change banks now because it would of pushed our closing to a later date and we can't change the date since the house we are buying is 1,200 away and already bought our plane tickets to fly there. Sometimes it just isn't possible to change the rate. I heard the rates were going up also.

Yep in 1980 we got a 13 percent interest rate on our home and we had to pay points to get that! Rates are great nowdays

[aneftp]

Originally Posted by Chickrae

Thats what we got 5.12 no points. It did drop one day to 4.8 with no points but that was 15 days after we locked and we are to close on Tuesday Jan 28th....I hope. I am glad we didn't shop around and change banks now because it would of pushed our closing to a later date and we can't change the date since the house we are buying is 1,200 away and already bought our plane tickets to fly there. Sometimes it just isn't possible to change the rate. I heard the rates were going up also.

Yep in 1980 we got a 13 percent interest rate on our home and we had to pay points to get that! Rates are great nowdays

Yeah, the lowest interest rates were to be locked in around Jan 7-Jan 10th. The started slightly going up after that.

But locking in right now is peace of mind if you have close to closing on your home. I'm actually about 40 days away but I have to go to go out of town for business, prepare for my taxes (since I'm self-employed) it takes much longer. So I'm so busy doing so many things this time of year. I paid 0.7 points to get 4.875%. Paying 3K in points is a lot but I reasoned with myself, I could always work more overtime and make up the difference. Just less worries for me and I can get a good night sleep for locking into a mortgage. So locking is at anything around 5% for 30 year fix is something the majority of homeowners can live with.

So if the rates go down to 4.5 or 4.6 %, would I be kicking myself. Maybe for a little bit but in the overall scheme of things the interest rates are at or near their historic lows.

[Camps2002]

We locked at 4.75% with .5 point. Our lender doesn't "like" points, but we discussed it and after 5 years we make our money back. We are closing on Wednesday (fingers crossed).

Really, these interest rates are phenomenal. I still sit in awe thinking that we will pay such a low interest rate. (Now, our house will be worth $1.75 next year, but that's another story...) :-)

[aneftp]

Originally Posted by Camps2002

We locked at 4.75% with .5 point. Our lender doesn't "like" points, but we discussed it and after 5 years we make our money back. We are closing on Wednesday (fingers crossed).

Really, these interest rates are phenomenal. I still sit in awe thinking that we will pay such a low interest rate. (Now, our house will be worth $1.75 next year, but that's another story...) :-)

I don't know why your lender discourages "points" They are fully tax deductible in the year the loan closed, although that tax deduction is somewhat diminished if your total AGI is well over 150K a year. Second the break even situation for points is around 27-36 months. Most people will own their homes more than 3 years anyways in this market. I doubt most people buying these days are planning to "flip".