How does RateWindow save you money? Simply put – RateWindow saves you money on your closing costs. With RateWindow you pay less in closing costs. Not only do you pay less – but you choose how much less. Here’s how it works.
Every interest rate has a corresponding “price” (Yield Spread Premium/YSP or Service Release Premium/SRP) associated with it. When the price is negative, that means that you, the borrower, will have to bring extra money to closing to pay for that low interest rate. However, when the price is positive, there is money for the taking. In the past most loan officers used that positive money as additional income for themselves. This was mostly a mystery to borrowers. RateWindow erases that mystery.
With RateWindow you see the interest rate, the monthly payment, the APR, and the “price”. We call the price a Freebate.
*Above numbers are displayed strictly as an example.
The Freebate is money you can put towards your closing costs, thereby reducing the amount of money you need to bring to closing. This money is no longer additional income to the loan officer. It is now money for you to use to purchase your home. Imagine, if you had to bring $1,500 less to the closing table when you purchase your new home. Think about all the things you could do if you had an extra $1,500. RateWindow makes that possible.
RateWindow puts you, the borrower, in the driver’s seat. You decide how much extra you would like for closing costs. Make sure you can afford the corresponding mortgage payment, then hit apply. It’s as easy as that.
So what are you waiting for? Let RateWindow save you money. Get your Freebate today!