Rates Rates Rates

Mortgage and Lending with Peoples Home Equity Chattanooga, TN

As most of you know, we have had a crazy week with the interest rates. Up Up and away they go! Please keep in mind that 6.5 on a 30 year fixed loan is still a low interest rate. Also, please keep in mind that it is not the Loan Officers fault that the rates jumped up. I had severeal call in's last week that wanted a rate quote and then would go off on me because it was a .25 to a .50 higher than when they called a week ago. All I can say is sorry! But then I realize, hey it's not my fault! Oh well, I just wanted to vent a little and maybe get some good advice from some of my fellow associates out there. Comment and let me know if you have had any irate customers lately that take the rising of the interest rates out on you.... It's not fair!

All we can do is pray and hope that it gets better.....


Comments (11)

Leo Namiot - LeoLends.com
Canopy Mortgage - Leo Namiot - Saint Augustine, FL
More than just great rates
I am with you on that one. I was luck enough to lock a few loans earlier in the week before they tool a big jump, I have a few shoppers who e-mailed me over the weekend and wanted to know what the rates are. Didn't want to mess up their weekend so I will send the back a e-mail tonight.
Jun 10, 2007 01:36 PM
Jason Sardi
Auto & Home & Life Insurance throughout North Carolina - Charlotte, NC
Your Agent for Life

Hey Christina,

   I understand the frustration...in actuality, I think us professionals and the public have gotten pretty spoiled with the historical lows we've seen over the past few years.  Customers need to know upfront, & reminded again & again that if they qualify for the best rates the market has to offer...those rates oft-times change daily.  You'll always have the complainers, but communication of when they can lock the rate & of what rates are doing....can be key in lessening the brunt of customers frustration of a sometimes volatile market.  Keeping clients & prospective clients informed will most times allow you to dodge the rising rates affecting business, though bad news or as I like to call it 'less than ideal news' is something that comes with that territory.  Have a great week Christina.

Jun 10, 2007 01:53 PM
Joe Adams
Major Mortgage USA/Branch Manager - Montrose, CO
The sad part is I had a client that we are trying to go with a flex 100 and at 64% DTI, I had him approved thry DU/DO, I ask want to lock, he says no, goes and makes an offer on the property and guess what, now at 65% and not longer approved.  It is that tight for him.  (I ignored him and locked it anyway), but I advised him he is over spending and needs to back off 10K at least
Jun 10, 2007 02:02 PM
Larry Bettag
Cherry Creek Mortgage Illinois Residential Mortgage License LMB #0005759 Cherry Creek Mortgage NMLS #: 3001 - Saint Charles, IL
Vice-President of National Production
Yeah....I had a lot of people on suicide watch after those rate climbs.....oh well....I was, obviously to blame for the higher rates as well.....Such is life
Jun 10, 2007 02:10 PM
Kris Krajecki
Kris Krajecki - FOX VALLEY MORTGAGE - Huntley, IL - Huntley, IL
Mortgage Broker Huntley, IL
I hate it when my borrowers do not want to lock!  With historic low as you said...odds are the rates are going to go up...not down!
Jun 10, 2007 03:34 PM
Dominick Gaccino
Dominick gaccino - Peekskill, NY

people have been spoiled over past 4 years


ask about rates 10-15 years ago when people were in the teens!!!!!!


on a 350k house the diff of .25 in rate is basically $40 a month


hardly a deal breaker

Jun 18, 2007 03:43 AM
Jay Beckingham
Christensen Financial Mortgage - Port St Lucie, FL
Seniors ROCK!

you don't need to pray that it gets better as there is nothing wrong with any fixed rate under 7%.

from a lenders standpoint rates are irrelevant as the market dictates, to a certain degree, that we are all offering essentially the same rates. 

Jun 23, 2007 12:15 AM
Matthew J Blum - (retired from the business)
Palm Beach Gardens, FL
Christina,  Go ahead and vent. I do it all the time..:-)  It is not your fault rates went up.  I tell my clients their is no secret to this business we all get the money from the same place.  If I went up everyone went up....
Jun 23, 2007 01:22 AM
Scott Hoag
FBC Mortgage - Clearwater, FL
Preferred Lender / Mortgage Company
I would definitely add that rates are only good until the end of business when you give out quotes.  Doesn't hurt to create that sense of urgency for someone asking for a rate quote.  I also like telling clients that you can call anyone in the mortgage industry and they could tell you they have rates as low as 1%, but until I review their specific situation, including pulling credit report, analyzing income and debts, the quote is worthless and they should schedule time to give me the whole picture.
Jun 23, 2007 10:50 AM
You are right. We do not have a crystal ball that will tell us what the rates will be. If they are not happy with the rates, tell them to just wait. They will go up even more. Years ago rates rose up to 18% or better. Rates are still low.
Jun 25, 2007 02:12 AM
Janet Guilbault
Platinum Home Mortgage Company - Walnut Creek, CA
San Francisco Bay Area Direct Mortgage Lender
Hey, but don't we look great to all the clients who have just closed and were locked 30-45 days ago????
Jun 25, 2007 02:36 AM