Over the past few months, I have had the same recurring question from borrowers in regards to what does locking a loan mean and floating a loan. Both principles are pretty straight forward and easy to explain.
LOCK A LOAN
When your loan officer suggests that you lock your loan, what he/she is actually telling you is to lock in the current interest rate you have been offered. There are many reasons why they may suggest this, but typically it is because there is a possibility that rate may change by the end of the day, or in fact in todays market, the loan program in which you are applying for may be changing guidelines and you might not qualify after the change date. Most borrowers do not realize that mortgage interest rates can adjust upward and downward on a daily and even sometimes an hourly basis. With current market conditions in the bond markets, interest rates can change very quickly. When a loan is locked what is created is an agreement between the lender and the borrower to guarantee the loan at a specified interest rate. Another item to consider is the length of the lock. Interest rate locks come in 15,30,45 and 60 day locks. What determines which time period to use depends on several factors, but mostly will the loan be able to close within that time period. If the loan process goes beyond the time period locked, then the lock is canceled and the interest rate offered is no longer valid. One thing to remember, a lock is not the same as a rate quote. When you call and ask what the rates are today and the loan officer quotes you a specific rate, that does not mean that rate is locked in. Your loan officer has to specifically lock in the rate. What I do with my customers when I lock in their rate is I will send them a copy of their lock so no misunderstandings can be had. Many loan officers do no do this, so request it when you decide the time is right to lock your loan rate.
FLOAT A LOAN
When you float a loan what you are actually doing is registering the loan with the lender. Basically what this is telling the lender is that you are serious about getting the loan, but you are willing to take the risk that by the time you close your loan, interest rates will not go up and are more likely to be lower. The one thing to be aware of is don't get caught up in the day to day changes in interest rates. Just like a stock trader, no one can call the bottom of a market. I have seen many borrowers take the risk of floating their loan and losing in the end because interest rates spiked up. Also, you should not float your rate trying to save 1/8 or 1/4 of a point. The risk is not worth what little savings you may end up with.
In todays volatile market place, depending on your situation, it might be best to lock in your interest rate. I have seen conforming rates jump 1/2 to 1 point higher in just a few short days and fall just the same. If you have further questions, you can call me at 707-494-8532 or 877-397-0674.
As a National Mortgage Banker, Ascent Home Loans has provided innovative lending solutions for over 10 years. With our state of the art technology, I can give you quick loan decisions when you need to refinance, or fast pre-approvals that will give you that edge when negotiating for a new home.
At Ascent Home Loans of Santa Rosa CA, I want to help you make the right choices when it comes to selecting the correct mortgage for you and your family. How do I do this?
I listen to my clients. With the right questions being asked, a client can provide a wealth of information on their future home loan and investment needs.
I unlike other lenders, help you choose the right loan program that best fits your needs, not ours. Now, I can be like other every other mortgage company and tell you we have 500 lenders and 1000's of programs to choose from, but all of us in the mortgage industry do. What separates myself from all the others is my 10 years of experience helping borrowers with every possible type of credit situation, document type and loan amount. I am a First Time Homebuyer expert, along with being one of the very few mortgage professionals here in California that has years of experience with FHA loans. On top of that, I will make sure that you get the best rate possible for your situation. My experience will also help to make sure that the loan process will be effortless and easy.
Loan Programs
Here is just a sample of the loan programs available through Ascent Home Loans
Whether you have excellent credit or have been turned down in the past, Ascent Home Loans may have the solution to your financing needs.
Call me today at 707-494-8532 or 877-392-0674 or click on Quick Application and fill out the short form to find out whether you pre-qualify for a loan. Take a moment and visit my Website or click on Apply Online and go directly to my secure 1003 appliciation. If you have a question, please click here and you will receive an answer in 24 hours. If you would like to know more about my background in the mortgage industry, please click here.
Available Saturdays 12:00 pm to 4:00 pm
Sincerely,
Scott Dovala
Branch Manager
Ascent Home Loans CA Customer Referrals
Scott, Thanks for the great job you did closing our loan. Lisa and I could not have been happier with your service. It was tough enough moving from Salt Lake to Santa Rosa, but you made the loan process easy. TM Carey
John and I couldn't be happier in our new home. I don't think anyone else would have taken the time to walk us through the loan process as you did. Although this is our first home, we now know what to expect when we decide to sell this one and buy our next. Of course, we will call you when that time comes. J & E Gavin Santa Rosa Ca.
What a vast improvement in service over the last company I used. Thank you. J Klineman Santa Rosa Ca
I was nervous wreck buying my first home. You had a very calming effect on me through the whole process. It seemed so easy. PG Riverside CA
We tried to get approved by another company, but they did not take the time you did to help us with our credit report. You got us approved and now we are enjoying our new home. Thank you so much. J Alvarez Santa Rosa Ca.
Why is it so many mortgage companies make it so difficult when applying for a loan and you made it so easy? Both Barbara and I thank you and have referred you to several of our friends and family. T Darmour Petaluma, Ca.
Thanks for helping us refinance our home. You worked long and hard on our credit problems and both Jack and I appreicate it. K Baes Santa Rosa, Ca.
I never thought it was possible, but you said you could get my commercial deal done in 45 days. You not only kept your promise, but closed it in 30 days. My bank took 6 months when I apllied with them. Thank You! P Lemist Santa Rosa Ca.
As a National Mortgage Banker, Ascent Home Loans has provided innovative lending solutions for over 10 years. With our state of the art technology, I can give you quick loan decisions when you need to refinance, or fast pre-approvals that will give you that edge when negotiating for a new home.
At Ascent Home Loans of Santa Rosa CA, I want to help you make the right choices when it comes to selecting the correct mortgage for you and your family. How do I do this?
I listen to my clients. With the right questions being asked, a client can provide a wealth of information on their future home loan and investment needs.
I unlike other lenders, help you choose the right loan program that best fits your needs, not ours. Now, I can be like other every other mortgage company and tell you we have 500 lenders and 1000's of programs to choose from, but all of us in the mortgage industry do. What separates myself from all the others is my 10 years of experience helping borrowers with every possible type of credit situation, document type and loan amount. I am a First Time Homebuyer expert, along with being one of the very few mortgage professionals here in California that has years of experience with FHA loans. On top of that, I will make sure that you get the best rate possible for your situation. My experience will also help to make sure that the loan process will be effortless and easy.
Loan Programs
Here is just a sample of the loan programs available through Ascent Home Loans
Whether you have excellent credit or have been turned down in the past, Ascent Home Loans may have the solution to your financing needs.
Call me today at 707-494-8532 or 877-392-0674 or click on Quick Application and fill out the short form to find out whether you pre-qualify for a loan. Take a moment and visit my Website or click on Apply Online and go directly to my secure 1003 appliciation. If you have a question, please click here and you will receive an answer in 24 hours. If you would like to know more about my background in the mortgage industry, please click here.
Available Saturdays 12:00 pm to 4:00 pm
Sincerely,
Scott Dovala
Branch Manager
Ascent Home Loans CA Customer Referrals
Scott, Thanks for the great job you did closing our loan. Lisa and I could not have been happier with your service. It was tough enough moving from Salt Lake to Santa Rosa, but you made the loan process easy. TM Carey
John and I couldn't be happier in our new home. I don't think anyone else would have taken the time to walk us through the loan process as you did. Although this is our first home, we now know what to expect when we decide to sell this one and buy our next. Of course, we will call you when that time comes. J & E Gavin Santa Rosa Ca.
What a vast improvement in service over the last company I used. Thank you. J Klineman Santa Rosa Ca
I was nervous wreck buying my first home. You had a very calming effect on me through the whole process. It seemed so easy. PG Riverside CA
We tried to get approved by another company, but they did not take the time you did to help us with our credit report. You got us approved and now we are enjoying our new home. Thank you so much. J Alvarez Santa Rosa Ca.
Why is it so many mortgage companies make it so difficult when applying for a loan and you made it so easy? Both Barbara and I thank you and have referred you to several of our friends and family. T Darmour Petaluma, Ca.
Thanks for helping us refinance our home. You worked long and hard on our credit problems and both Jack and I appreicate it. K Baes Santa Rosa, Ca.
I never thought it was possible, but you said you could get my commercial deal done in 45 days. You not only kept your promise, but closed it in 30 days. My bank took 6 months when I apllied with them. Thank You! P Lemist Santa Rosa Ca.
As a National Mortgage Banker, Ascent Home Loans has provided innovative lending solutions for over 10 years. With our state of the art technology, I can give you quick loan decisions when you need to refinance, or fast pre-approvals that will give you that edge when negotiating for a new home.
At Ascent Home Loans of Santa Rosa CA, I want to help you make the right choices when it comes to selecting the correct mortgage for you and your family. How do I do this?
I listen to my clients. With the right questions being asked, a client can provide a wealth of information on their future home loan and investment needs.
I unlike other lenders, help you choose the right loan program that best fits your needs, not ours. Now, I can be like other every other mortgage company and tell you we have 500 lenders and 1000's of programs to choose from, but all of us in the mortgage industry do. What separates myself from all the others is my 10 years of experience helping borrowers with every possible type of credit situation, document type and loan amount. I am a First Time Homebuyer expert, along with being one of the very few mortgage professionals here in California that has years of experience with FHA loans. On top of that, I will make sure that you get the best rate possible for your situation. My experience will also help to make sure that the loan process will be effortless and easy.
Loan Programs
Here is just a sample of the loan programs available through Ascent Home Loans
Whether you have excellent credit or have been turned down in the past, Ascent Home Loans may have the solution to your financing needs.
Call me today at 707-494-8532 or 877-392-0674 or click on Quick Application and fill out the short form to find out whether you pre-qualify for a loan. Take a moment and visit my Website or click on Apply Online and go directly to my secure 1003 appliciation. If you have a question, please click here and you will receive an answer in 24 hours. If you would like to know more about my background in the mortgage industry, please click here.
Available Saturdays 12:00 pm to 4:00 pm
Sincerely,
Scott Dovala
Branch Manager
Ascent Home Loans CA Customer Referrals
Scott, Thanks for the great job you did closing our loan. Lisa and I could not have been happier with your service. It was tough enough moving from Salt Lake to Santa Rosa, but you made the loan process easy. TM Carey
John and I couldn't be happier in our new home. I don't think anyone else would have taken the time to walk us through the loan process as you did. Although this is our first home, we now know what to expect when we decide to sell this one and buy our next. Of course, we will call you when that time comes. J & E Gavin Santa Rosa Ca.
What a vast improvement in service over the last company I used. Thank you. J Klineman Santa Rosa Ca
I was nervous wreck buying my first home. You had a very calming effect on me through the whole process. It seemed so easy. PG Riverside CA
We tried to get approved by another company, but they did not take the time you did to help us with our credit report. You got us approved and now we are enjoying our new home. Thank you so much. J Alvarez Santa Rosa Ca.
Why is it so many mortgage companies make it so difficult when applying for a loan and you made it so easy? Both Barbara and I thank you and have referred you to several of our friends and family. T Darmour Petaluma, Ca.
Thanks for helping us refinance our home. You worked long and hard on our credit problems and both Jack and I appreicate it. K Baes Santa Rosa, Ca.
I never thought it was possible, but you said you could get my commercial deal done in 45 days. You not only kept your promise, but closed it in 30 days. My bank took 6 months when I apllied with them. Thank You! P Lemist Santa Rosa Ca.
As a National Mortgage Banker, Ascent Home Loans has provided innovative lending solutions for over 10 years. With our state of the art technology, I can give you quick loan decisions when you need to refinance, or fast pre-approvals that will give you that edge when negotiating for a new home.
At Ascent Home Loans of Santa Rosa CA, I want to help you make the right choices when it comes to selecting the correct mortgage for you and your family. How do I do this?
I listen to my clients. With the right questions being asked, a client can provide a wealth of information on their future home loan and investment needs.
I unlike other lenders, help you choose the right loan program that best fits your needs, not ours. Now, I can be like other every other mortgage company and tell you we have 500 lenders and 1000's of programs to choose from, but all of us in the mortgage industry do. What separates myself from all the others is my 10 years of experience helping borrowers with every possible type of credit situation, document type and loan amount. I am a First Time Homebuyer expert, along with being one of the very few mortgage professionals here in California that has years of experience with FHA loans. On top of that, I will make sure that you get the best rate possible for your situation. My experience will also help to make sure that the loan process will be effortless and easy.
Loan Programs
Here is just a sample of the loan programs available through Ascent Home Loans
Whether you have excellent credit or have been turned down in the past, Ascent Home Loans may have the solution to your financing needs.
Call me today at 707-494-8532 or 877-392-0674 or click on Quick Application and fill out the short form to find out whether you pre-qualify for a loan. Take a moment and visit my Website or click on Apply Online and go directly to my secure 1003 appliciation. If you have a question, please click here and you will receive an answer in 24 hours. If you would like to know more about my background in the mortgage industry, please click here.
Available Saturdays 12:00 pm to 4:00 pm
Sincerely,
Scott Dovala
Branch Manager
Ascent Home Loans CA Customer Referrals
Scott, Thanks for the great job you did closing our loan. Lisa and I could not have been happier with your service. It was tough enough moving from Salt Lake to Santa Rosa, but you made the loan process easy. TM Carey
John and I couldn't be happier in our new home. I don't think anyone else would have taken the time to walk us through the loan process as you did. Although this is our first home, we now know what to expect when we decide to sell this one and buy our next. Of course, we will call you when that time comes. J & E Gavin Santa Rosa Ca.
What a vast improvement in service over the last company I used. Thank you. J Klineman Santa Rosa Ca
I was nervous wreck buying my first home. You had a very calming effect on me through the whole process. It seemed so easy. PG Riverside CA
We tried to get approved by another company, but they did not take the time you did to help us with our credit report. You got us approved and now we are enjoying our new home. Thank you so much. J Alvarez Santa Rosa Ca.
Why is it so many mortgage companies make it so difficult when applying for a loan and you made it so easy? Both Barbara and I thank you and have referred you to several of our friends and family. T Darmour Petaluma, Ca.
Thanks for helping us refinance our home. You worked long and hard on our credit problems and both Jack and I appreicate it. K Baes Santa Rosa, Ca.
I never thought it was possible, but you said you could get my commercial deal done in 45 days. You not only kept your promise, but closed it in 30 days. My bank took 6 months when I apllied with them. Thank You! P Lemist Santa Rosa Ca.
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Scott Dovala, a Branch Manager with Ascent Home Loans in Santa Rosa, has lived in Sonoma County for 20+ years. Providing California borrower's with unsurpassed quality service and great rates.
As a National Mortgage Banker, Ascent Home Loans has provided innovative lending solutions for over 10 years. With our state of the art technology, you can receive quick loan decisions when you need to refinance, or fast pre-approvals that will give you that edge when negotiating for a new home.
At Ascent Home Loans of Santa Rosa CA, we want to help you make the right choices when it comes to selecting the correct mortgage for you and your family. How do we do this?
We listen to you, the client. With the right questions being asked, a client can provide a wealth of information on their future home loan and investment needs.
Unlike other lenders, we help you choose the right loan program that best fits your needs, not ours. We are First Time Homebuyer experts, along with being one of the very few mortgage professionals here in California that has years of experience with FHA loans. On top of that, we will make sure that you get the best rate possible for your situation. Our experience will also show you just how effortless and easy the loan process can be.
Here is just a sample of the loan programs available through Ascent Home Loans
Whether you have excellent credit or have been turned down in the past, Ascent Home Loans may have the solution to your financing needs.
Call me today at 707-494-8532 or 877-392-0674. If you would like to receive a free pre-approval, or apply for a loan, click Apply Online and you will be taken to our secure loan application site.To learn more about how we can help you with your mortgage needs, please visit our Website. If you would like to know more about our background in the mortgage industry, please click here.
Sincerely,
Scott Dovala
Branch Manager
Scott, Thanks for the great job you did closing our loan. Lisa and I could not have been happier with your service. It was tough enough moving from Salt Lake to Santa Rosa, but you made the loan process easy. TM Carey
John and I couldn't be happier in our new home. I don't think anyone else would have taken the time to walk us through the loan process as you did. Although this is our first home, we now know what to expect when we decide to sell this one and buy our next. Of course, we will call you when that time comes. J & E Gavin Santa Rosa Ca.
What a vast improvement in service over the last company I used. Thank you. J Klineman Santa Rosa Ca
I was nervous wreck buying my first home. You had a very calming effect on me through the whole process. It seemed so easy. PG Riverside CA
We tried to get approved by another company, but they did not take the time you did to help us with our credit report. You got us approved and now we are enjoying our new home. Thank you so much. J Alvarez Santa Rosa Ca.
Why is it so many mortgage companies make it so difficult when applying for a loan and you made it so easy? Both Barbara and I thank you and have referred you to several of our friends and family. T Darmour Petaluma, Ca.
Thanks for helping us refinance our home. You worked long and hard on our credit problems and both Jack and I appreicate it. K Baes Santa Rosa, Ca.
I never thought it was possible, but you said you could get my commercial deal done in 45 days. You not only kept your promise, but closed it in 30 days. My bank took 6 months when I apllied with them. Thank You! P Lemist Santa Rosa Ca.
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