What Rate is Low Enough?

What rate is Low Enough for you...? When do you pull the trigger on locking your rate. Do you wait for 4.75%... or is 4.875% good enough? Nobody can answer these questions but you. What you need to decide is it worth the gamble of the rates dropping more to save a little bit more money every month or take the slightly higher rate. See Example:

$100,000 mortgage at 4.75% = $521.64
$100,000 mortgage at 4.875%= $529.21

So waiting for the 4.75 would save you 7.60/month or $2,736 over the life of the loan. Anything you can keep in your pocket is a good deal BUT what happens if you pass on the 4.875 in hopes of getting the 4.75% What if rates never go down to the 4.75% rate you wanted? You would be stuck at your higher rate and you would not enjoy any savings! This is the risk you run and only you can decide what is the best deal for you. Only you can filter all the advice and decide when to lock. Listen to advice from your broker, your trusted advisers, friends, family, read information, and then make your decision.

For more information or to discuss this topic please reach me via my website: http://www.new-hampshire-home-mortgage.com