When i lock in a rate, am i stuck with it or can i re-float then lock at a better rate?

Every lender has their own policies.. Some allow a "Float Down" one time.. meaning if interest rates improve by at least .125%, then the lender will allow you to re-lock at the lower rate one time, and it can only be done if your lock has not expired.. Not ever lender allows for float down's.. and typically those that do, usually have slightly higher pricing to begin with, so it's not always a benefit.. if rates have drastically come down (which they have not in the last 60 days), then it's possible you could move your loan to a different lender if your current lender does not allow it.. but also understand that not every lender allows for appraisal transfers.. so if your property has already been appraised, it's possible you would have to pay for another one, and the added cost could negate the potential savings by moving your loan, making it non beneficial.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

Hi Steve, it really depends on the lender's policies. PrimeLending (my company) offers a free, 1 time floatdown. However, with most lenders once you lock in that is the rate you get. Some have a "renegotiation" policy where they will work with you a little bit but normally you'd have to be ready to move your loan elsewhere to get some flexibility.

When you lock, you are signing an agreement. You don't get to go down if rates drop, and the lender doesn't get to charge more if rates go up. Funny how people only think "what if rates go down?" Almost all lenders will consider a one time float down if rates move significantly - but you have to ask. If you locked at 4.25% for example, and now want 4.125%, you are usually not going to get it. But if it moved to 3.75%, you probably would. There is almost never any reason to move to a different lender - and even moving comes with right. Be happy you are borrowing today... My first house was 16% for an FHA 30-yr fixed back in 1981.

Hello Steve, I offer free float-down rate options; I also offer 30day to 365day day rate locks to suit all the needs of today's customers.Please contact me @ chris.caporiccio@wellsfargo.com to duscuss the many wonderful options I can offer.Thanks