Mortgage rates decrease this spring, offering competitive specials

Spring has arrived, bringing a notable decrease in mortgage interest rates. Many lenders are beginning to adjust their rates, especially as mid-March approaches. This trend, often referred to as "rate wars," typically starts in the third week of March. Recently, there has been an influx of announcements from lenders about special rate offers, especially for quick-close mortgages. Some lenders are lowering their rates significantly. In just one morning last week, updates came in from six different lenders. It's important for home buyers and those renewing mortgages to understand how lenders handle rate changes once a mortgage is approved. Rates can change during the waiting period before finalization. If rates rise, borrowers are protected at their approved rate. However, if rates fall, different lenders have different policies. Some will not lower the rate at all, while others may offer one or two reductions, and a few may allow unlimited reductions close to finalization. Choosing a lender with favorable rate adjustment policies is crucial. If possible, opting for a lender that offers unlimited rate float downs can be beneficial. Mortgage professionals recommend keeping in touch with lenders during the closing process to ensure borrowers receive the best possible rate. If you are looking to buy a home, renew an existing mortgage, or refinance, it's essential to ask your lender about their rate adjustment policies. Confirming these details can help you secure the lowest rate available. Regular communication with your mortgage provider can make a significant difference.