In this video I interview Evangeline Scott of Big Valley Mortgage.
I asked Evangeline, “When we talk about home loans, we hear about basis rate. Can you explain this?”
“You can not lock into a loan until it is contract because when you lock a loan it is tied to the home address and you the borrower.
Today we look at:
- Credit from the lender based on interest rate.
- Base rate or par with no cost to you.
- Buy down of the interest rate.
Some banks charge a flat origination fee and some don’t.
Remember when talking a percentage cost for getting a loan, we are looking at the loan amount and not the purchase price.”
If you have any questions about basis rates or any loan programs, please feel free to call us.
Your Real Estate Agent,