Lock to Shop program
Shopping for a home without locking in your mortgage interest rate can be challenging for homebuyers. At Mortgage Equity Partners, we have created a program that will help you lock your rate while you shop. The Lock to Shop program will alleviate some anxiety around rates and make the homebuyer process more enjoyable.
Interest rate fluctuations
Interest rate fluctuations can significantly impact your budget. Based on market conditions, economic indicators, and Federal Reserve policies, mortgage rates can change daily. If you haven’t locked in a rate, you risk facing higher rates by the time you finalize your home purchase, which can increase your monthly payments and overall loan costs if rates go up. If rates go down, you are lucky!
Uncertainty in financial planning
Uncertainty in financial planning is also a major concern. It isn’t easy to accurately estimate your future mortgage payments without knowing your rate. This uncertainty can make it harder to determine how much house you can afford, potentially leading to either overestimating your budget and facing financial strain or underestimating and missing out on homes you love.
Competitive housing markets
Additionally, competitive housing markets add to the difficulty. In a hot market, homes can sell quickly, and sellers often prefer buyers who have their financing secured. If your interest rate isn’t locked, your mortgage approval might be less certain, making your offer less attractive compared to others with locked rates.
Take advantage of MEP’s Lock to Shop program
What can you do? You can take advantage of the Mortgage Equity Partners Lock to Shop program. This clever program protects against rate increases if interest rates rise while you are shopping. Your locked rate protects you from paying more in the long run. Pairing your rate lock with our fully underwritten loan commitment will make you a super competitive buyer and the loan process easier when you officially apply for your home loan. The best part is that if the rate drops during your home search, you will have a one-time option to modify it to the lower rate, provided the new rate is .25% lower than your locked rate.
Our Lock to Shop program can be used on all Fannie Mae and Freddie Mac, FHA, and VA loans. The rate lock is good for 90 days, giving you time to look at many different properties.
In the end, the real factor that makes locking your rate beneficial is alleviating the stress and anxiety common when dealing with fluctuating rates. The homebuying process is already stressful enough, and the added worry of not knowing your interest rate can make it even more overwhelming. Locking in a rate provides peace of mind, allowing you to focus on finding the right home without the constant concern of changing rates. Locking in your mortgage interest rate can provide stability, certainty, and a competitive edge, making the homebuying process better.
Contact an experienced loan officer to review the program details today… and go house hunting tomorrow!
