Answer:
Once you set the rate, it is wise to see if the loan will be close to being a HPML. However, you can't technically know for sure until the get closer to closing (or even the day of) as you must compare the final APR to the APOR+Margin. If something changes, the final APR may also change. If you compare the rate spread at the time of application and it is or close to being a HPML, you can ensure the loan officer has the proper documentation and prepare the escrow requirements, rather than be shocked at closing.
First published on BankersOnline.com 8/30/10