To lock or not to lock, that is the question...

[minnie1928]

I have Wells Fargo lined up to refi our home. Here's some background:
Purchased in 05/08
Original mortgage $600,000
Rate is 5.75%

Because we live in a high COL area we can get a "high balance conforming mortgage" that in essence prices slightly higher than a typical 30yr FR conforming mortgage that usually tops out at $417,000.

Wells has a high balance conforming mortgage for 5% w/ 0 points if I lock by 8am tomorrow. Rates dropped .50 today and this product has never gone below 5% with 0 points. I'm thinking that I should lock, any thoughts?

[jIM_Ohio]

No reason to get greedy. if you have 5% and not seen a rate that low, take it.

[MiikeB]

I would say go ahead. These products are special and a drop in typical 30yr rate does not always equal a drop in this.

[minnie1928]

No reason to get greedy. if you have 5% and not seen a rate that low, take it.

You're right. I locked about 10 minutes ago. Saves me about $280/month in interest, gotta love that!