Many loan officers push “take the higher rate now and refinance later” because:

• Lower upfront sticker price (fewer points) is easier to approve and sell.
• Keeps loans within rate-sheet constraints and moves more volume quickly.
• Compensation is tied to closing today’s loan; a refi later can be a second origination.
• It punts risk to “future rates will drop,” which may not happen.

Common pitfall: The breakeven many quote ignores the cost of refinancing (points + third-party fees + possible term reset). This tool shows the “LIE” (ignores refi costs) vs the REAL breakeven (includes them).