u/ryemaster91

I’m seeing more and more “competitor offers” from low margin online lenders where the LE has the “in progress” watermark.

My understanding is that this is an internal preview of the LE and not the official disclosure.

My gut tells me that some lenders are juicing lender credits or adjusting the numbers to make them more appealing for shopping and bank that the consumer doesn’t catch the changes on the official LE.

Anyone clarify?

Conventional primary residence, SFR, approximately $550,000 loan amount, 78% LTV, 800 credit, LPC with no separate broker fee.

Quoted:
6.25% with no points
5.99% with $5,060 in points
5.875% with $7,849 in points
5.75% with $10,978 in points
5.625% with $14,432 in points

All options include a free float-down if pricing improves before closing.

Pricing would also improve by approximately 0.375 points at 75% LTV, which I explained.

Borrower is a realtor and told me this pricing is high “for a loan broker.” I thought the options were competitive, especially 6.25% at zero points. Am I missing something? What are other brokers seeing on a comparable file today?