In an effort to alleviate concerns about fluctuating mortgage rates, Fifth Third Bank, N.A., is now offering homebuyers its Rate Drop Protector program.
The program allows prospective homebuyers to buy a home and lock in rates, knowing that if rates decrease in the future, Fifth Third will waive all applicable lender closing costs on a subsequent refinance transaction.
“The Rate Drop Protector is another example of how we keep customers at the center of everything we do. We’re watching out for our customers now and in the future,” said Jay Plum, head of mortgage at Fifth Third Bank. “We want our customers to be confident that buying a home today is still a smart financial decision and we’ll have their back should rates decrease.”
Customers who buy a home with an eligible Fifth Third Bank product between April 1 and Sept. 30, 2023, are eligible for Rate Drop Protector. If those eligible customers opt to refinance their home between six and 24 months from the time of the original purchase closing date, Fifth Third will waive their processing, underwriting, application, origination, or commitment fees, a savings of up to $1,295.
“Today’s homebuyers may be weighing whether to buy today or hold off until mortgage rates come back down,” Plum said. “Predicting the direction of interest rates and when to buy a home is never easy, but our Rate Drop Protector is a helpful solution.”
The Rate Drop Protector offer is not a commitment to lend or lock a rate, the bank said..
Cincinnati-based Fifth Third Bank was founded in 1858 is one of the largest consumer banks in the Midwest.