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  • Bill Brown

The Truth about Rate Quotes


Every rate quote you’ve seen on line is an estimate based on assumptions.  See below for one popular competitor’s assumptions copied directly from their website.

30-Year Fixed-Rate Mortgage: The payment on a $200,000 30-year Fixed-Rate Loan at 4.125% and 75.00% loan-to-value (LTV) is $969.3 with 2 points due at closing. The Annual Percentage Rate (APR) is 4.391%. Payment does not include taxes and insurance premiums. The actual payment amount will be greater. Some state and county maximum loan amount restrictions may apply.

15-Year Fixed-Rate Mortgage: The payment on a $200,000 15-year Fixed-Rate Loan at 3.50% and 75.00% loan-to-value (LTV) is $1429.77 with 2.25 points due at closing. The Annual Percentage Rate (APR) is 3.998%. Payment does not include taxes and insurance premiums. The actual payment amount will be greater. Some state and county maximum loan amount restrictions may apply.

So if your loan amount is greater than 75% of the value of your home for a purchase or refinance and it doesn’t make sense to pay 2 or more points for your rate because you may not remain in that home or mortgage long enough to recover that cost, you’re going to get a different rate quote based on your plan.  A rate that is probably much higher!

Give me a call at 803-542-3863 or complete this form and get a “real” rate quote based on your plan.

No cost or obligation!

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