Never miss out on mortgage rates dropping
*Loans with a valid lock are eligible for a renegotiation option under the following terms:
· Rate must be lowered by a minimum of 0.250 from the lowest rate for the current product in the last 30 days.
· Renegotiation adjustment of 0.500 will apply; unless renegotiation is from Long Term Lock (120, 150 or 180 days), then an adjustment of 0.750 will apply.
· Loan must be in Approved with Conditions status or beyond
· Non-Agency loans do not qualify for renegotiations
· Request must benefit and be initiated by the borrower
· Lock expiration date will stay the same
· Lock period will remain the same as the current lock period.
· Any existing relock or extension fees will still apply to the loan.
· Renegotiated borrower credit for the rate cannot improve from the current borrower credit. In addition, the borrower credit for any subsequent rate changes cannot improve from the borrower credit prior to the renegotiation.
· If a renegotiated borrower credit (after renegotiation fee is deducted) exceeds the current borrower credit, the lock will be subject to a max price adjustment to reduce the credit to the current borrower credit for the rate.
· Rate changes before a renegotiation can be done no earlier than 7 calendar days before the renegotiation date
· Rate changes after a renegotiation can be done no earlier than 21 calendar days after the renegotiation date.
· Renegotiation can only be applied once per loan
· Lender Paid compensation will be based on the compensation plan in effect on the new lock date
· If additional time is needed after a renegotiation, normal relock and extension fees will apply. Only one extension is allowed after a renegotiation. If additional time is needed following the applied extension, the loan can only be relocked at worse case pricing.