Loan Terms and Rate Locks
The first page summarizes the main terms, rates, and fees. So, you'll want to verify that the information on the Loan Estimate is as accurate as possible.
Regarding the Rate Lock (in the upper right box), mortgage interest rates can change daily, sometimes hourly. If your interest rate is locked, your rate won’t change between when you get the rate lock and closing, as long as you close within the specified time frame and there are no changes to your application. Rate locks are typically available for 30, 45, or 60 days, and sometimes longer. If your rate is not locked, it can change at any time. Some lenders may charge you a fee to extend your rate lock.
Fincast will analyze most variables on Page 1, including the value, term, product, loan amount, interest rate, closing costs, and cash to close.
If you're ready to submit your offer to Fincast, request that your lender lock your rate. The Rate Lock will maximize your potential savings with other lenders.
Loan Terms and Costs
On the second page of the Loan Estimate, you'll find a detailed breakdown of all costs and fees, all of which will be considered by Fincast.
And, there are three categories of closing costs. Some closing costs the lender can increase by any amount, some the lender can increase by up to 10 percent, and some the lender can’t increase at all.
However, with a "change in circumstances" these rules do not apply. For example, your lender is allowed to change your closing costs without restriction if:
You decided to get a different kind of loan or change the amount of your down payment
The appraisal on the home you want to buy came in higher or lower than expected
You took out a new loan or missed a payment and that has changed your credit
Your lender could not document your overtime, bonus, or other income
Loan Comparison
The last page of the Loan Estimate helps you understand the financial considerations of the proposed loan over time, as well as how it plans to be serviced. If you have questions about this, you can ask your Loan Officer for clarification.
Double-check that the Lender/Broker and Loan Officer information is familiar and correct, and if you want to get more specific information about them, you can search https://www.nmlsconsumeraccess.org with their NMLS / License ID Numbers.
Fincast will need you to submit all 3 pages of your Loan Estimate in order to authenticate it and maximize savings. If you have questions about this, please email us at [email protected].
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