LOCK AND FLOAT DOWN POLICY, APPRAISALS AND SUBORDINATIONS

LOCK AND FLOAT DOWN POLICY, APPRAISALS AND SUBORDINATIONS

Our Borrowers apply with us because they require professional service, loan program advice, a fast and smooth loan approval process along with the interest rate and closing costs that we advertise on Loans4Less.com.

Advanced Locks
Pursuant to your instructions we will lock in the interest rate upon receipt of a fully executed loan application package, including all the necessary supporting documentation. Once we have locked your loan in we will issue a lock confirmation to you via email.

High Volume and/or Volatile Markets
In fluctuating volatile markets interest rates often change either for better or worse and without notice. At Loans4Less.com we deal with an array of wholesale lending institutions and if your loan is locked in directly with a lender we may be able to re-lock your loan with a different lender in order to obtain better terms for you. We are willing to discuss any reasonable remedy that procures the best available terms in order to make our borrowers happy.

In some instances we may not be able to re-lock with a different lender for a lower rate and/or costs, especially if the lender where we originally locked in your loan is 'front running' or 'buying' the market and no other lender is offering better terms. In times of high volume and/or volatile markets we may advise you not to adjust your original rate lock and pursue a 'float down' since we may deem it more beneficial to deliver your original rate rather than risking non-delivery of a marginally lower rate. In other words, by the time we switch over to a new lender the rates could go up leaving your loan in floating status.

Appraisal Restrictions
Current mortgage industry practices prohibit the use of appraisal reports derived from a different lender or third party. Therefore, if you cancel your loan allowing us to resubmit to a different lender in order to obtain a lower 'float down' rate, this will result in an additional new appraisal report and appraisal fee.

Subordination of a Junior Lien
Please be advised that any loan application that involves a subordination of a junior lien does not typically qualify for any float down or other lender re-submission because the subordination approval is issued to one specific lender.

No Obligation In The Application or Disclosures
By signing and dating the Loan Application, Mortgage Loan Disclosure Statement/Good Faith Estimate, Truth-In-Lending Statement and/or the other Disclosure forms does not obligate you to close any loan.

By positioning your file into underwriting we are best able to serve your needs and deliver your loan without delay. Please send back your loan application and supporting documentation as a PDF file to: realtyloan@aol.com to position your rate lock terms.

Sincerely,
Steven M. Hershman, President & Broker
Loans4Less.com
877-981-LOAN
realtyloan@aol.com