Join Early Retirement Today
Thread Tools Search this Thread Display Modes
Mortgage Loan Rates
Old 09-29-2014, 03:13 AM   #1
Confused about dryer sheets
Join Date: Jul 2014
Location: Bethlehem
Posts: 2
Mortgage Loan Rates

Good Morning.

Enjoy reading all the posts on ER. Would you lock a interest rate on a mortgage loan or let it float? Settlement date is 11/17/14. Current rate on a 15 year conventional mortgage is 3.5%

Thanks for all replies.

BobFromRox is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 09-29-2014, 04:59 AM   #2
Full time employment: Posting here.
Join Date: Jul 2011
Posts: 636
I would lock it in but that's coming from a pretty risk-averse person. I'd rather know what I have (especially when it's an historically low interest rate) vs. gamble for something better to possibly end of up something worse. I just know I'd be mad if rates went up and I could have locked in a lower rate... but I don't think I'd be as mad if I locked in the rate and rates went down. Same reason why I have a moderate allocation portfolio instead of an aggressive growth portfolio.

panacea is offline   Reply With Quote
Old 09-29-2014, 04:59 PM   #3
Recycles dryer sheets
Join Date: May 2013
Posts: 129
If you'll be there five years or more d definitely lock in. You can always refi if rates drop, but if they rise you'll be SOL.

Sent from my iPad using Early Retirement Forum
RenoJay is offline   Reply With Quote
Old 09-29-2014, 07:20 PM   #4
Thinks s/he gets paid by the post
Join Date: Jul 2005
Posts: 3,805
Although rates look like they are currently dropping, it's not by a whole lot, and I would think there is still a risk of rising rates at any time.

Track Economic Index Trends and Graph Financial Industry Rates

I'd probably lock just because it's practically standard and free for a short term. But I wouldn't worry a whole lot if I had to let it float.

ETA: If you mean over the life of a loan, I'd only go fixed rate.
Animorph is offline   Reply With Quote
Old 09-30-2014, 04:39 AM   #5
Confused about dryer sheets
Join Date: Jul 2014
Location: Bethlehem
Posts: 2
I elected to lock the rate. Thank you for your replies.
BobFromRox is offline   Reply With Quote
Old 09-30-2014, 07:15 PM   #6
Recycles dryer sheets
Join Date: Aug 2013
Location: North
Posts: 420
just locked yesterday at 4.125. Plan on paying her off in 18yrs with extra principle payments as often as it makes sense. Congrats to your rate lock. I would presume we are both close to closing....mine is Oct 30th.
AA (Stock/Bond/Cash ): 90/0/10% MIX (Small/Mid/Large): X/Y/Z% BLEND(US/Foreign): 100/0%, (Value/Growth/Blend): X/X/X% REIT (Real Estate Equity): X% of Assets

FIRE in 2031 @ 50yrs old (+/- 2yrs) w/ a hypothetical $3.5mil portfolio, 3 appreciated homes worth $1.0mil and rental income to fund my gap years until RMD. Assets will go to an inherited IRA where I plan on watching the investments grow until I die or the trust gets executed.
kgtest is offline   Reply With Quote
Old 09-30-2014, 10:48 PM   #7
Recycles dryer sheets
Join Date: Dec 2006
Posts: 346
No brainer. Lock in the 15yr. Many years ago, I paid, 13% for a home

mortgage. (prices of homes were of course, much lower then).

If you have excess cash, make a few extra payments, and turn the 15yr into a shorter one. (save a lot on interest).

wolf is offline   Reply With Quote

Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off

Similar Threads
Thread Thread Starter Forum Replies Last Post
Found 15 acres, loan to buy land, loan to build... how is it done? jIMOh FIRE and Money 17 11-05-2010 12:18 PM
Can you get a mortgage loan when retired? tmm99 FIRE and Money 30 07-28-2008 05:37 AM
P/O Mortgage with HE Loan JohnDoe FIRE and Money 8 05-30-2008 05:39 AM
Walking away from mortgage loan mark500 FIRE and Money 16 03-10-2008 02:07 PM
Obtaining a new mortgage loan. Sundance Kid FIRE and Money 21 01-01-2006 08:29 PM


All times are GMT -6. The time now is 02:00 AM.
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2016, vBulletin Solutions, Inc.