If your goal to purchase a home or refinance your mortgage using your Adams County Colorado VA Loan entitlement, the interest rate you can get is a huge factor in determining the lender you choose to work with as well as what your payment will be. The market can be volatile, and VA home loan rates http://www.ecoloradovaloan.com can fluctuate sometimes during the course of day, and can vary from day to day. So why does this happen, and what determines the interest rates you can get? All home loan products are backed by bonds, or securities that are traded on Wall Street like stocks. Mortgage bonds are what back mortgages, including Adams County Colorado VA Loans. Mortgage bonds are also called mortgage backed securities. Mortgage backed securities move up and down just like stocks, therefore influencing all mortgage rates including VA Loan Rates CO. News that comes out throughout the day can cause wild swings in the bond market. Other days are calm, with little or no fluctuation. Marketwatch is a great website where you can track the market. Because these fluctuations can happen throughout each day, it is important to make sure that when you are comparing lender's estimates, that you compare on the same day, and preferably the same time of the day. One lender's quote on Tuesday may be very different from another lender's quote on Wednesday, because of market swings. Once you go under contract, securing your Adams County Colorado VA Loan Rate with a rate lock will prevent your exposure to market swings. This means you will receive the rate you had on the day of the lock, no matter what the market does. Rate locks should have an expiration date that will enable you to get to closing before the lock expires, so that you can avoid expensive lock extension fees, or a charge to add additional days to the lock. Besides what the market is doing, there are other things that can affect your VA loan rate in CO. If you have a low credit score, for example, you may receive higher VA Mortgage Rates in CO. Locking a slightly higher rate is also an option, in which case your lender will pay your closing costs. This is possible because the lender is paid a percentage based on the interest rate that is locked, and the percentage is higher as the rate goes up. Your closing costs can then be paid by using this higher percentage. As you can see, there are many factors that go into determining your VA loan interest rate in CO. You can access the Denver regional VA loan center here. http://www.benefits.va.gov/denver/regional-loan-center.asp Or call RJ Baxter directly at 303-670-0137 for a customized rate quote and to get your VA home loan questions answered. Click here to apply online. http://www.therjbaxterteam.com

• published: 18 Nov 2014
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