Because there are a lot of different businesses that are active in your account. Nonlenders charge to cover their services. So do lenders. But lenders charge fees at the beginning of a loan to help offset some of their initial overhead when processing a new loan file.

You can expect a lot of them, most of which you will never pay again until you get another mortgage. Closing costs can vary based upon locale, but generally you can anticipate your closing costs to average just about 3 percent of your loan amount, more if you pay points or origination fees to your lender.

You may be the victim of someone trying to squeeze a little bit more out of you by using market gains. If you've been cruising along with your 30-day lock agreement and you're at day 20 and haven't heard from anyone like the appraiser, attorney, or settlement agent, it's possible your lock is going to expire before you can get to your closing.

There are a few options available to you when you lock in your interest rate and rates move down immediately afterward. If you have a float-down feature in your lock, you can use it. If not, you can try to negotiate with the lender or broker.

Be prepared to get the higher rate, either whatever rate you locked in or the prevailing rate. Most lock agreements will explain this requirement, but you need to understand it before you get much further. Several years ago I had a closing scheduled for the end of the month for a client who was a little tardy in getting his documentation in. And that's putting it nicely. He locked in for thirty days, but a few days after his lock he saw that rates were drifting downward.

No. A common misconception is that a lock agreement is also a loan approval. It's not; it's an interest rate guarantee. If you lock in a mortgage for 8.00 percent and then get declined for the loan, you don't get the loan or the rate. A rate lock isn't a commitment to lend, but rather an agreement that should your loan be approved you'll get the agreed-upon interest rate.

You have to specifically request an interest rate lock, because it's not automatic. Just because your good faith estimate has a rate on it doesn't mean that's what you're getting. Getting your interest rate guaranteed means that you ''lock'' that rate in. It's set. Throw away the key and get on with life.