Mortgage Interest Rates Can Vary — Here's When to Lock Yours In

Sponsored By CrossCountry Mortgage

New York City’s leading mortgage originator Barry Koven of CrossCountry Mortgage offers mortgage financing, including renovation loans, for co-ops, condos and houses in New York City.

Created By Brownstoner

In this series of articles, mortgage pro Barry Koven, originating branch manager at CrossCountry Mortgage in Brooklyn, explains some basic facts about mortgages and demystifies the process of getting one. Here, he details how and why mortgage rates can vary, and when to lock one in.

Mortgage interest rates can vary for each person and each transaction. There is not one rate for everyone, and the rates you see posted online are examples, averages and, in most instances, the best-case scenario. It is important to get a quote from an experienced professional based on your individual scenario. The rate can vary based on several factors, including:

• Credit score
• Down payment amount
• Loan amount
• Type of property (one-family, multi-family, condo, co-op, etc.)
• Property usage (primary residence, vacation/second home or investment property)
• Loan product and program (conventional, conforming, jumbo, FHA, fixed rate, adjustable rate, etc.)

It is your choice when to lock your interest rate up until about seven to 10 days prior to closing. Rates can change daily depending on many economic and social factors. If your loan is not closed and funded by the rate lock expiration date (normally 60 days), then you may have to pay a rate extension fee.

We suggest the following items below be in place prior to locking — however, this is not mandatory, and ultimately it is 100 percent your choice when to lock your rate.

• Contract is signed (for purchases only).
• Loan is approved and commitment letter is issued.
• Title is in and reviewed/confirmed clean and clear for closing with no open permits, violations, missing certificate of occupancy, etc.
• If the property has tenants, confirmation there are no tenant issues.
• Confirmation from sellers and/or their attorney they will be ready to close and vacate the property.
• Appraisal is in at value and approved.
• If the property is a co-op or condo, board meeting date is in place and the building is approved.

Please also speak to and get approval from your attorney to lock the rate and review the list above with them.

Contact originating branch manager Barry Koven (NMLS #404510) via phone at 917.597.1330, email at barry.koven@ccm.com or website at crosscountrymortgage.com/Barry-Koven.

[Photos via Unsplash except when noted otherwise]

Equal Housing Opportunity. All loans subject to underwriting approval. Certain restrictions apply. Call for details. All borrowers must meet minimum credit score, loan-to-value, debt-to-income, and other requirements to qualify for any mortgage program. CrossCountry Mortgage, LLC NMLS3029 (www.nmlsconsumeraccess.org). Licensed by the New Jersey Department of Banking and Insurance. Licensed Mortgage Banker – New York State Banking Department.