Dan Gustafson
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Wayzata Real Estate & Wayzata Homes for Sale | GUSTAFSON
Realtor Dan Gustafson lives/works in Wayzata, MN and provides unparalleled service to buyers & sellers at every price.

Rate lock shorter than closing window

I’m currently representing a seller in a transaction and being pressured by the selling agent and the mortgage company to have my seller close sooner than was agreed upon in the purchase agreement. It started with an email that said something to the effect of do your clients want to close early?

Lock shorter than closing window?

Of course, my client doesn’t want to move up the closing, nor is he required to do so because the purchase agreement dictates when these kinds of things occur.

I called one of my good friends who is a mortgage banker to get his take on the situation. He indicated it was a mistake for the lender to agree to lock a loan for a specific period of time that is shorter than the closing window, and that typically it can be addressed by paying a lock rate extension fee of a quarter point.

The house in question is about $300k, so this fee would be about $750.00. The lock was granted prior to the 2016 election of Donald Trump, and rates took a bit of a jump post election, so it’s easy to understand why the lender doesn’t want to try to honor the rate it had quoted before.

Solutions for compromise

My seller said he was willing to accommodate the request with a couple of week lease back so he can stay on schedule as far as locating other housing and moving all of his stuff. The buyer wasn’t thrilled, and hasn’t determined what course of action they might be willing to take outside of closing early. I’ll keep you posted as to what occurs.

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Wayzata Listings

972 E Shady Lane

Wayzata, MN

  • 5 Beds
  • 7 Baths
  • 7374 sq ft
  • $3,495,000

875 Lake Street N, Unit 204

Wayzata, MN

  • 2 Beds
  • 3 Baths
  • 2190 sq ft
  • $1,350,000

875 Lake Street N, Unit 316

Wayzata, MN

  • 1 Beds
  • 2 Baths
  • 1110 sq ft
  • $725,000

460 Highcroft Road

Wayzata, MN

  • Beds
  • 0 Baths
  • 0 sq ft
  • $1,825,000

686 Ferndale Road W

Wayzata, MN

  • 4 Beds
  • 8 Baths
  • 7750 sq ft
  • $5,995,000

641 Harmony Circle

Wayzata, MN

  • Beds
  • 0 Baths
  • 0 sq ft
  • $295,000

875 Lake Street N, Unit 313

Wayzata, MN

  • 3 Beds
  • 3 Baths
  • 2254 sq ft
  • $1,299,000

114 Edgewood Court

Wayzata, MN

  • 3 Beds
  • 4 Baths
  • 2500 sq ft
  • $650,000

601 Bushaway Road

Wayzata, MN

  • 5 Beds
  • 8 Baths
  • 10016 sq ft
  • $7,500,000

215 Barry Avenue S, Unit 119

Wayzata, MN

  • 2 Beds
  • 2 Baths
  • 991 sq ft
  • $1,590

15011 Tammer Lane

Wayzata, MN

  • 6 Beds
  • 4 Baths
  • 4252 sq ft
  • $695,000

1052 Circle Drive E

Wayzata, MN

  • Beds
  • 0 Baths
  • 0 sq ft
  • $489,000

105 E Lake Street, Unit 107

Wayzata, MN

  • 2 Beds
  • 2 Baths
  • 1370 sq ft
  • $725,000

105 E Lake Street, Unit 305

Wayzata, MN

  • 2 Beds
  • 2 Baths
  • 2090 sq ft
  • $1,215,000

105 E Lake Street, Unit 102

Wayzata, MN

  • 2 Beds
  • 3 Baths
  • 2250 sq ft
  • $990,000

1124 Hollybrook Drive

Wayzata, MN

  • 4 Beds
  • 4 Baths
  • 3405 sq ft
  • $450,000

259 E Lake Street, Unit 208

Wayzata, MN

  • 1 Beds
  • 2 Baths
  • 1207 sq ft
  • $599,900

875 Lake Street, Unit 203

Wayzata, MN

  • 2 Beds
  • 3 Baths
  • 1880 sq ft
  • $1,195,000

955 Wayzata Boulevard W

Wayzata, MN

  • 5 Beds
  • 4 Baths
  • 3588 sq ft
  • $569,900

575 Waycliffe Drive N

Wayzata, MN

  • 3 Beds
  • 3 Baths
  • 3293 sq ft
  • $735,000

1239 La Salle Street

Wayzata, MN

  • 5 Beds
  • 5 Baths
  • 4393 sq ft
  • $1,475,000

184 Westwood Lane

Wayzata, MN

  • Beds
  • 0 Baths
  • 0 sq ft
  • $895,000

510 Locust Hills Drive

Wayzata, MN

  • 4 Beds
  • 4 Baths
  • 4095 sq ft
  • $1,950,000

370 Ferndale Road W

Wayzata, MN

  • 4 Beds
  • 6 Baths
  • 5516 sq ft
  • $3,799,000

105 E Lake Street, Unit 301

Wayzata, MN

  • 4 Beds
  • 3 Baths
  • 4000 sq ft
  • $2,399,000

430 Ferndale Road W

Wayzata, MN

  • 6 Beds
  • 15 Baths
  • 18649 sq ft
  • $9,449,000

115 Chicago Avenue S

Wayzata, MN

  • 3 Beds
  • 3 Baths
  • 2060 sq ft
  • $895,000

105 E Lake Street, Unit 108

Wayzata, MN

  • 2 Beds
  • 2 Baths
  • 1300 sq ft
  • $685,000

105 E Lake Street, Unit 101

Wayzata, MN

  • 3 Beds
  • 3 Baths
  • 3000 sq ft
  • $1,390,000

140 Highland Lane

Wayzata, MN

  • 5 Beds
  • 7 Baths
  • 6538 sq ft
  • $2,495,000

1101 La Salle Street

Wayzata, MN

  • Beds
  • 2 Baths
  • 3054 sq ft
  • $585,000

366 Waycliffe Circle N

Wayzata, MN

  • 3 Beds
  • 3 Baths
  • 3441 sq ft
  • $775,000

217 Byrondale Avenue

Wayzata, MN

  • 3 Beds
  • 3 Baths
  • 3700 sq ft
  • $895,000

1533 Hollybrook Road

Wayzata, MN

  • 3 Beds
  • 3 Baths
  • 2719 sq ft
  • $379,900

367 Ridgeview Drive

Wayzata, MN

  • Beds
  • 0 Baths
  • 0 sq ft
  • $279,000

1590 Locust Hills Circle

Wayzata, MN

  • 4 Beds
  • 6 Baths
  • 5044 sq ft
  • $2,995,000

346 Pondridge Circle

Wayzata, MN

  • 3 Beds
  • 3 Baths
  • 1696 sq ft
  • $325,000

1066 E Circle Drive

Wayzata, MN

  • 3 Beds
  • 2 Baths
  • 2918 sq ft
  • $624,900

901 Lake Street E, Unit 203

Wayzata, MN

  • 3 Beds
  • 3 Baths
  • 2911 sq ft
  • $2,060,000

264 Bushaway Road

Wayzata, MN

  • Beds
  • 0 Baths
  • 0 sq ft
  • $829,000