Posted by David Mendez 3 years ago In:

mortgage, interest rate

Should i lock in my interest rate for a house now ...

Should i lock in my interest rate for a house now at 5.5 percent and pay $600.00 penality if the rate rises over that, i would like to know what you think the interest rate may do in the next 45 days untill my escrow closes Thankxx

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3 Answers

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tiptopmanager Answered:

I would say go for the 5.5 percent rates as the interest rates are rising according to the experts. The $600 penalty is much cheaper to pay in the long run than a higher rate.

Good luck and best wishes,

Tip

Posted 3 years ago

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annette Answered:

Lock in now! That $600.00 is peanuts compared to what you will pay in interest for a variable rate even if it only goes up 1%. for the next 20 to 30 years. Interest rates are the lowest they have been in over 40 years, don't hesitate.

Posted 3 years ago
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Yesterday's gone and Today is going fast, Tomorrow is all we have, Until it to has passed Band of One

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gary999 Answered:

In 1966 the FHA/VA rates went from 6 to 6.5%. At 5.5% you are borrowing money at pre-1966 rates. Assume 5.5% is behind door #1 and you don't know what's behind doors 2 and 3 and take door #1. During Jimmy Carter's time, I bought a house at 14.25% and it went up from there. My advice, don't take that chance.