Skittish buyers can lock-in mortgage rate while shopping
PITTSBURGH, Pa. – Jan. 23, 2019 – While it's not commonly available yet in Florida, Pennsylvania/Ohio-based Howard Hanna Mortgage Services announced a new program that could help buyers who want to take advantage of the recent drop in mortgage rates but fear that they'll rise again by the time they find a perfect home and sign a contract.
The company's newly launched "Lock & Shop" program allows home shoppers to get prequalified for a mortgage and lock in a mortgage interest rate while they house hunt. If rates rise before they find a home, their rate remains locked.
"We have experienced a reduction in interest rates recently, but signs point that rates will go up throughout the year, which could leave buyers with unexpected higher payments, making this a great time to use our Lock & Shop program," says F. Duffy Hanna, president of Howard Hanna Mortgage. "Normally, a home buyer would have to have a purchase contract before they could lock in an interest rate on their mortgage. This program gives the buyer their mortgage interest rate upfront. Anxiety over rising interest rates is reduced, giving buyers peace of mind while they are looking for a home."
The program provides rate protection of up to 75 days. Borrowers have 30 days to find a home and get a sales agreement in place. They then use the rest of the set rate lock period to close on the home.
Source: Howard Hanna Real Estate Services
© Copyright 2019 INFORMATION INC., Bethesda, MD (301) 215-4688
Information provided by Florida Realtors. Click here to see the original article.
Reprinted with permission Florida Realtors. All rights reserved.