Some Things To Watch For On
Good Faith Estimate Of Closing Costs
First of all, if it sounds to good to be true, it probably is. Some lenders will quote a really low interest rate to get you through the door. Sometimes that rate comes with really high closing costs. Sometimes they’re quoting a 3/1 ARM product or a 10 year fixed rate. Some lenders will also give you a quote on a 15 day lock knowing they can’t get it done in that amount of time.
A good lender will give you a 30 – 60 day lock-in rate with an in between closing costs quote. They will do a 30 year or 15 year fixed rate depending on what you’ve requested. That way, if you want to go a higher interest rate and pay lower closing costs, you can. Please know that there is no such thing as no closing costs. If you’re not paying closing costs, it means you’re paying a higher interest rate, and the lender is paying your closing costs. When they sell your loan in the secondary market, they will get money back for the higher interest rate.
When you get to application and disclosure time, your lender should give you an anti-steering document. That document should give you the above options, so you know what is the best way to go for your situation.
For more information on home financing in Colorado,
I can be contacted at:
Rhonda Sherman, Owner
License #100008357 NMLS #381084
145 Grand Avenue, Suite B
Grand Junction, CO 81501
Office: (970) 257-1502 Cell: (970) 250-8613
Website: Dependable Mortgage Co.(apply online 24/7)
Regulated by the Division of Real Estate
An Equal Housing Lender