Wells Fargo jacked up rate to near 9% help

[Zigner]

**A: I agree with the posters.

You certainly are agreeable this weekend!

 

[HomeGuru]

You certainly are agreeable this weekend!

**A: I agree. It was a great weekend. Hope yours was too.

 

[veruca47]

Can you produce some sort of down payment to lower the LTV? This should get the rate down. If not, I suggest you shop around unless you don't have any way to escape the Wells Fargo financing. Otherwise you'll just have to grit your teeth and refinance asap.

Some lenders offer combined construction/mortgage loans that convert automatically when your house is finished. They usually have names like "one time close".

Just my 2 cents here, but I think Wells Fargo should have displayed some ethics and discussed extended rate locks with you at the beginning. Generally you can have your interest rate locked for 12 months or longer in exchange for a refundable deposit.

 

[Zigner]

I think Wells Fargo should have displayed some ethics and discussed extended rate locks with you at the beginning.

How do you know that they didn't?

 

[HomeGuru]

How do you know that they didn't?

**A: and what is the OP's FICO score.

 

[Wartrace]

If it's a "Jumbo" loan (over 450k) then that is the reason why it has jumped. They no longer are pricing Jumbo's as competitively as conforming loans.

 

[nextwife]

Can you produce some sort of down payment to lower the LTV? This should get the rate down. If not, I suggest you shop around unless you don't have any way to escape the Wells Fargo financing. Otherwise you'll just have to grit your teeth and refinance asap.

Some lenders offer combined construction/mortgage loans that convert automatically when your house is finished. They usually have names like "one time close".

Just my 2 cents here, but I think Wells Fargo should have displayed some ethics and discussed extended rate locks with you at the beginning. Generally you can have your interest rate locked for 12 months or longer in exchange for a refundable deposit.

Yes, they do. And how do you know that this poster did not pass up one of those loans because the up front rate was higher than the loan he selected? A rate float is a crap shoot. If rates go down, you win, up you lose. He SELECTED a loan in which the rate was not totally final at the first closing.

 

[HomeGuru]

Yes, they do. And how do you know that this poster did not pass up one of those loans because the up front rate was higher than the loan he selected? A rate float is a crap shoot. If rates go down, you win, up you lose. He SELECTED a loan in which the rate was not totally final at the first closing.

**A: I agree and there is a lot we don't know with respect to his loan application and specifc underwriting guidelines.

 

[seniorjudge]

I think that this is a problem of YOUR making. You did nothing to "lock in" your rate. How can you expect the same rate after so much time?

Excellent accurate advice.

 

[seniorjudge]

**A: and what is the OP's FICO score.

And who is this Isaac guy anyway? Wasn't he the son of Abraham and Sarah?

 

[veruca47]

Yes, they do. And how do you know that this poster did not pass up one of those loans because the up front rate was higher than the loan he selected? A rate float is a crap shoot. If rates go down, you win, up you lose. He SELECTED a loan in which the rate was not totally final at the first closing.

Many extended rate locks - especially those for new construction loans - have a "float down" feature. So if rates go down, yours does too. Generally, you're only allowed to float down to the lower rate once before you finalize the loan.

 

[HomeGuru]

And who is this Isaac guy anyway? Wasn't he the son of Abraham and Sarah?

**A: no but he was Fair.

 

[HomeGuru]

Many extended rate locks - especially those for new construction loans - have a "float down" feature. So if rates go down, yours does too. Generally, you're only allowed to float down to the lower rate once before you finalize the loan.

**A: oh brother. This information has nothing to do with the issue at hand.

 

[veruca47]

**A: oh brother. This information has nothing to do with the issue at hand.

So do a lot of other postings in this thread. And since I was addressing the previous poster, you owe her an eye-roll as well.

You might also want to keep in mind that a lot of readers are here to learn how to avoid others' mistakes. Are you here to help people, or rattle their cages?

 

[HomeGuru]

So do a lot of other postings in this thread. And since I was addressing the previous poster, you owe her an eye-roll as well.

You might also want to keep in mind that a lot of readers are here to learn how to avoid others' mistakes. Are you here to help people, or rattle their cages?

**A: both and some escaped from their cages.