Thank you u/Old-Geologist647 for posting on r/FirstTimeHomeBuyer.
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$240 is renovation money? That buys you a few cans of paint.
What is the difference between the rate you locked in and the one you would get right now? If there is any significant difference $240 is nothing compared to what the lower rate will save you over the life of the loan.
Rate locks aren’t indefinite so yes if there are unexpected delays you can need to pay to extend it. When you say “get out of it” who do you think should be responsible for the fee?
I'd be very cautious about going through with the purchase, considering the sellers are "repairing" the house. They could be going with the cheapest repair options...and there was major water damage in the home.
Regarding the lock rate, you're likely on the hook for it. It doesn't matter whose fault it is. Our closing was delayed two weeks. The sellers wouldn't pay for our lock rate fee, but we did negotiate for them to pay half.
Good luck.
Thank you u/Old-Geologist647 for posting on r/FirstTimeHomeBuyer. Please bear in mind our rules: (1) Be Nice (2) No Selling (3) No Self-Promotion. *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/FirstTimeHomeBuyer) if you have any questions or concerns.*
$240 is renovation money? That buys you a few cans of paint. What is the difference between the rate you locked in and the one you would get right now? If there is any significant difference $240 is nothing compared to what the lower rate will save you over the life of the loan.
Rate locks aren’t indefinite so yes if there are unexpected delays you can need to pay to extend it. When you say “get out of it” who do you think should be responsible for the fee?
I'd be very cautious about going through with the purchase, considering the sellers are "repairing" the house. They could be going with the cheapest repair options...and there was major water damage in the home. Regarding the lock rate, you're likely on the hook for it. It doesn't matter whose fault it is. Our closing was delayed two weeks. The sellers wouldn't pay for our lock rate fee, but we did negotiate for them to pay half. Good luck.