Interest rates for both conventional and FHA mortgages are at 4.875 percent today, which means my phone is ringing with excited buyers.
How can they buy a property and be guaranteed this terrific rate? Well, if you’ve already found a property you like and have an address, you can simply call a qualified loan officer and lock an interest rate.
What if you’re looking for a house but haven’t found one? Many reputable mortgage companies offer 90-day rate locks while you shop.
For example, loan officer Vicki Boeddeker of PHH Home Loans, says for an up front fee of $350, you can lock a rate that is .25 percent above current market rates. Once you’ve found a home and are within 7 to 60 days of closing, you can relock if the current rate is lower.
The $350 fee is then credited back to you at closing.
If you’re thinking of buying a Minneapolis duplex in the next three months, today might be a great time to call your loan officer.