Price is Right
Percentage charged on a mortgage loan that represents the cost of borrowing money
What is an interest rate?
Fees paid upfront to lower the interest rate on a mortgage
What are points?
Used to describe fluctuation in interest rates
What is a basis point (bps)?
Secures the interest rate for a set period. Protects the borrower from potential rate fluctuations.
What is a rate lock?
$300,000 loan amount = 74 bps. Convert to dollars.
What is $2,220?