<img height="1" width="1" style="display:none;" alt="" src="https://dc.ads.linkedin.com/collect/?pid=1107985&amp;fmt=gif">

What is a Float Down Option?

Posted by GO Mortgage Team on 2/13/20 2:15 PM

When you lock a rate, your lender is guaranteeing you that rate for a specific amount of time, whether rates go up or down, you get the rate agreed upon at the time of locking. However, market rates can change daily, and rates could go down while your house is being built.

Read More

Topics: mortgage loans, single close construction loan, float down option

Lock or Float - What's the Best Option

Posted by GO Mortgage Team on 8/13/19 3:56 PM

Mortgage rates will fluctuate up and down based on the market. Rates can change daily, so you don't know what your rate will be until you lock it. By locking a rate, your lender is guaranteeing you that rate for a specific amount of time, typically 30-45 days. Once you lock your rate, it doesn’t matter if the market fluctuates. If you locked at 4 percent and rates go up, you still get the 4 percent. The risk is on the lender when you lock a rate.  However, if rates go lower, you don’t get the benefits of a lower rate.

Read More

Topics: mortgage loans, float rate, float down option, locked rate

Subscribe Here!

Recent Posts

Posts by Tag

See all