Great question -
If you were to call me right now, most likely your primary (if not only) focus would be rate. What's ridiculous in this scenario, all the information needed for the lock won't be known until it's almost time to close. A mighty big loophole in a locked rate.
The following is information that goes into determining your rate: credit score, value of property, purpose of loan, occupancy, type of loan, number of days to lock, type of property, state property is located, .....and it really keeps going.....A lender can get pretty darn close to providing an accurate lock in rate at closing, but it will be subject to final appraised value.
So, to answer your question you can "lock" at almost any time, but the lock is going to be subject to other criteria. Most lending institutions get their daily rates in the morning. You usually have until the close of business to lock in. If you don't, the next day's rates prevail. This is the perfect example of why shopping for rates over a period of one week just does not work, it needs to be on the same day.
In order to lock, most lenders require a property address. Those that will lock w/out a property will normally collect a fee. In this interest rate environment, paying for a lock without a property is a waste of money.
Quote:
Originally Posted by rubber_factory
For a new 30-year loan w/ 20% down in my area, I saw rates of 4.77% last week. This week, so far, the same banks are showing 5.1%.
If rates change so quickly, when exactly does a lending institution determine your rate?
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