The broker may then add one point to cover his or her fee, but the cost to the borrower is the same - 7.5 percent with 2 points. The borrower pays no additional cost and benefits from the broker's service. By state law, the broker's fee and the discount the lender offers the broker must be disclosed to the borrower. You can, but remember, there is no guarantee you will lock in at the advertised rate. Those rates may only be available for a 30 or 60-day period and it typically takes longer to close on a loan.
Interest rates can also change daily.
And be sure to get everything in writing. It is also possible to get a loan with a longer lock-in period but, in that case, you usually pay a higher rate. Be prepared to provide verification of income, including your pay stub and tax returns for the previous two years. You will also need to provide bank account numbers and details about your long-term debt, including credit cards, auto loans, child support, etc. If you are self employed, you may need to provide financial statements for your business.