Understanding Mortgage Rates and Rate Locking
How do loan officers quote rates for loans?
Remember this: Loan officers are not interested in quoting accurate rates. Calling around asking for rate quotes is the silliest shopping method and yet, the widest used. Loan offices know you haven’t a clue about the “real” mortgage rate (what’s called the “par” rate in the industry) because that is difficult data for a consumer to obtain. Therefore, they are free to lie…and lie they do. They know low rate quotes create a lot of application appointments. (more…)
Original post by rkblake