Fantasy Football - Footballguys Forums
MechEng

Mortgage Rates

Recommended Posts

3 minutes ago, cosjobs said:

sorry chad, I see you already responded to this. I had not read that far

How damn dare you ask me and tag me before reading this whole thread!!! 😆

Brokers have no influence on rates. All is through the markets. We get mid day raises and declines based on markets. So, I do disagree with the gas station analogy- it isn't what I see. 

But yea, who the hell knows with this virus. It isn't even about the spread of the virus or how bad the virus is.... it is the fear of the virus. It is 'new' so that drives the fear. How far will it spread? What is the mortality rate? etc. The more those are answered and assuming they are not worst case answers, the more markets will likely rebound and rates go up. 

In general, if you like the rate, lock the rate. If you have room and want to hedge your bets then take a lender credit to pay for the closing costs and then if rates do go lower you can refi again with no sunk cost. But remember, even if you refi to a lower rate and rates go lower still.... you still profited from the refi and you can't go broke from taking profits. 

  • Like 2

Share this post


Link to post
Share on other sites
10 hours ago, Chadstroma said:

I would love to know who the other loan officer is with and who your loan is with now. 

Yes, there are 'trigger leads' that notify lenders about a credit inquiry. They will try to steal a loan away. One thing to remember about this though.... specially if a loan officer starts at 3.875% and then magically beats the offer at 3%.... do you really want to go with the lender that was trying to screw you over before you shopped and got a good for honest good rate? If rates are close then it is good competition trying to beat each other. If they aren't close then someone was trying to screw you and now they are trying to give a good deal just to keep your business. I personally don't give those people the chance (I shopped HVAC this last summer and the guys who gave me ridiculous quotes were instantly out of the running no matter how much they were going to drop their offers to) but that is me. 

Good luck with it all bud. And yes.... Brokers are Better (all I said in my manifesto is the God's honest truth) lol 

 

Your guy seemed way more professional than my other guy who was trying to sell me even harder after I showed him your guy's quotes.

I have not talked to my current lender yet.  Supposed to do that today.

  • Like 1

Share this post


Link to post
Share on other sites
1 hour ago, ghostguy123 said:

Your guy seemed way more professional than my other guy who was trying to sell me even harder after I showed him your guy's quotes.

I have not talked to my current lender yet.  Supposed to do that today.

DM the company names. I gotta know!

Share this post


Link to post
Share on other sites
On 1/27/2020 at 11:47 AM, brun said:

Have a little less than 1.5 years left on a 5-1, 2.85 ARM from a CU. Estimated equity is 150k on a primary residence with my estimated market around 370k (Zillow says 399k). Not included is a 43k HELOC (opened 2019, different CU) from which I've taken out 20k for some updates.

So, considering a refi in the near future, before my rate goes up.

@Chadstroma got any contacts in New Hampshire you'd like to recommend?

Thanks for being so generous with your time in this thread!

 

 

On 1/27/2020 at 8:49 PM, Chadstroma said:

New Hampshire... testing me huh? 🤣

I don't think I know anyone in NH but I am sure I can find someone licensed there. Give me a bit to reach out and see what I can find for ya. If you don't hear from me in a couple of days just poke me.

@Chadstromapokey pokey

Share this post


Link to post
Share on other sites
11 hours ago, Chadstroma said:

Did you DM me your contact info? I don't see it.

Oh sorry. I didn't understand your post. I'll PM you.

  • Like 1

Share this post


Link to post
Share on other sites

For anyone interested, you can like my business page on Facebook. I try to mix it up with educational and entertaining posts. 

 

www.facebook.com/mortgageloanmasters 

  • Like 3

Share this post


Link to post
Share on other sites

Hopefully I should get some iron clad numbers to choose from today.  Chad's guy said he is going to put together an email breakdown for me.

My current lender left me a long message wanting to know if I have offers from other lenders and what those offers are, also telling me to basically hurry because rates are worse today 🙂

And the third guy also wants to see other offers.

Basically it looks like Chad's guy is gonna send me an offer and the other two will try and match?  Frankly I dont see the point.  Likely just gonna go with Chad's guy.

Share this post


Link to post
Share on other sites
7 minutes ago, ghostguy123 said:

Hopefully I should get some iron clad numbers to choose from today.  Chad's guy said he is going to put together an email breakdown for me.

My current lender left me a long message wanting to know if I have offers from other lenders and what those offers are, also telling me to basically hurry because rates are worse today 🙂

And the third guy also wants to see other offers.

Basically it looks like Chad's guy is gonna send me an offer and the other two will try and match?  Frankly I dont see the point.  Likely just gonna go with Chad's guy.

Your current lender sounds like a douchenozzle 

  • Like 1

Share this post


Link to post
Share on other sites

@Chadstroma - maybe you can explain this better. 

No issues, I think. But they're asking for a letter confirming I can make the payments. Mind you, I haven't not made a payment in the 4 years we've had the mortgage, and my DTI is ~12%, well below the 28/36% I understand they want. 

My wife isn't on the new mortgage, she doesn't have an income.  Maybe this is the only reason they want the letter but it seems unnecessary.  

Share this post


Link to post
Share on other sites
1 hour ago, ghostguy123 said:

Hopefully I should get some iron clad numbers to choose from today.  Chad's guy said he is going to put together an email breakdown for me.

My current lender left me a long message wanting to know if I have offers from other lenders and what those offers are, also telling me to basically hurry because rates are worse today 🙂

And the third guy also wants to see other offers.

Basically it looks like Chad's guy is gonna send me an offer and the other two will try and match?  Frankly I dont see the point.  Likely just gonna go with Chad's guy.

Yes, rates worsened about 6bps today. A move in the wrong direction but not huge. 

Knowing who those companies are now, that is totally their MO. They will try to get as much from you as possible but then if there is someone else offering a solid deal try to meet it to grab the business. They often will say a bunch of sales crap to explain why you should stay with them... the guys who were trying to get you to spend more than you need to... than the guy who was offering a solid good deal to begin with. 

Share this post


Link to post
Share on other sites
1 hour ago, fruity pebbles said:

Your current lender sounds like a douchenozzle 

I don't know the individual but he told me the company in DM and the company very much is the douchenozzle.

Share this post


Link to post
Share on other sites
21 minutes ago, -OZ- said:

@Chadstroma - maybe you can explain this better. 

No issues, I think. But they're asking for a letter confirming I can make the payments. Mind you, I haven't not made a payment in the 4 years we've had the mortgage, and my DTI is ~12%, well below the 28/36% I understand they want. 

My wife isn't on the new mortgage, she doesn't have an income.  Maybe this is the only reason they want the letter but it seems unnecessary.  

Sounds like they are asking for a LOE/LOX (Letter of Explanation). It is hard to know why they are asking for it without seeing the whole picture (loan file). 

I will say this... most of the time, there are things done with mortgages that may not make sense but there are reasons for them. That being said, sometimes you get a underwriter that is being silly and ask for an LOE when you don't think you need one. The option is to fight with them (which usually is futile unless you can show in Fannie/Freddie or govy guidelines that they are wrong) or if it is just getting an LOE ask the client to get you the LOE. 

If you write out the letter and send it over then it should clear the condition and get the loan file moving forward. 

  • Like 1

Share this post


Link to post
Share on other sites
9 minutes ago, Chadstroma said:

Sounds like they are asking for a LOE/LOX (Letter of Explanation). It is hard to know why they are asking for it without seeing the whole picture (loan file). 

I will say this... most of the time, there are things done with mortgages that may not make sense but there are reasons for them. That being said, sometimes you get a underwriter that is being silly and ask for an LOE when you don't think you need one. The option is to fight with them (which usually is futile unless you can show in Fannie/Freddie or govy guidelines that they are wrong) or if it is just getting an LOE ask the client to get you the LOE. 

If you write out the letter and send it over then it should clear the condition and get the loan file moving forward. 

UW probably doing this to cover his butt if the file gets audited after closing.

  • Like 1

Share this post


Link to post
Share on other sites
6 hours ago, Chadstroma said:

Sounds like they are asking for a LOE/LOX (Letter of Explanation). It is hard to know why they are asking for it without seeing the whole picture (loan file). 

I will say this... most of the time, there are things done with mortgages that may not make sense but there are reasons for them. That being said, sometimes you get a underwriter that is being silly and ask for an LOE when you don't think you need one. The option is to fight with them (which usually is futile unless you can show in Fannie/Freddie or govy guidelines that they are wrong) or if it is just getting an LOE ask the client to get you the LOE. 

If you write out the letter and send it over then it should clear the condition and get the loan file moving forward. 

I sent it. Your gal sent everything, sounds like we should get the title stuff later this week.

  • Like 1

Share this post


Link to post
Share on other sites
6 hours ago, cosjobs said:

Your gal ?

I'm guessing she doesn't like being called a guy.

  • Laughing 1

Share this post


Link to post
Share on other sites

Update, sounds like I will be going with Chad's guy (shocker).

Going with an 80% loan to value cash out refi which will bring me somewhere in the 60-75k range (pending appraisal).

Rate will be 3% on a 15 year.  The total cost including appraisal is set to be a couple hundred bucks below $3,000.

The only question now is what to do with the money.  Invest?  Buy another rental?  Pay off existing rental which would give me two rental properties free and clear, plus have 20 grand left over?  Vegas trip? 

 

Share this post


Link to post
Share on other sites
4 hours ago, ghostguy123 said:

Update, sounds like I will be going with Chad's guy (shocker).

Going with an 80% loan to value cash out refi which will bring me somewhere in the 60-75k range (pending appraisal).

Rate will be 3% on a 15 year.  The total cost including appraisal is set to be a couple hundred bucks below $3,000.

The only question now is what to do with the money.  Invest?  Buy another rental?  Pay off existing rental which would give me two rental properties free and clear, plus have 20 grand left over?  Vegas trip? 

 

Unless you want to be debt free, get another rental. Presuming you find one you like. 

  • Like 1

Share this post


Link to post
Share on other sites
4 hours ago, ghostguy123 said:

Update, sounds like I will be going with Chad's guy (shocker).

Going with an 80% loan to value cash out refi which will bring me somewhere in the 60-75k range (pending appraisal).

Rate will be 3% on a 15 year.  The total cost including appraisal is set to be a couple hundred bucks below $3,000.

The only question now is what to do with the money.  Invest?  Buy another rental?  Pay off existing rental which would give me two rental properties free and clear, plus have 20 grand left over?  Vegas trip? 

 

A nice big gift of a bouquet of cash to your buddy Chad? 🤣 Just playing. Congrats!

Rates are moving in the wrong direction again today.

Share this post


Link to post
Share on other sites
5 hours ago, Chadstroma said:

A nice big gift of a bouquet of cash to your buddy Chad? 🤣 Just playing. Congrats!

Rates are moving in the wrong direction again today.

Spoke with my current lender on the phone last night.  I told him someone else had his offer beat and he proceeded to say something like "you could keep playing this game for a month....." or some snarky crap because of the competition for my business.

F that dude.  They just lost my business

  • Like 3

Share this post


Link to post
Share on other sites
1 minute ago, ghostguy123 said:

Spoke with my current lender on the phone last night.  I told him someone else had his offer beat and he proceeded to say something like "you could keep playing this game for a month....." or some snarky crap because of the competition for my business.

F that dude.  They just lost my business

Tell him to pound sand. 

Share this post


Link to post
Share on other sites
33 minutes ago, flapgreen said:

Tell him to pound @Sand

What did he do? 😢

  • Laughing 2

Share this post


Link to post
Share on other sites
2 hours ago, ghostguy123 said:

Spoke with my current lender on the phone last night.  I told him someone else had his offer beat and he proceeded to say something like "you could keep playing this game for a month....." or some snarky crap because of the competition for my business.

F that dude.  They just lost my business

Yup... they are scum there. I refuse to send them loans. 

If he didn't believe you (it isn't uncommon for a borrower to try to tell one lender that another is giving a better deal and either A: being told one thing and the truth is another B: trying to get s lender to go lower) he should have kindly asked for the Loan Estimate. But they are basically Boiler Room "loan officers" with maybe months worth of experience and a very skinny on training other than "this is how you manipulate a borrower into a loan with us". 

Share this post


Link to post
Share on other sites
16 hours ago, -OZ- said:

What did he do? 😢

Just ask my wife.  She'll have plenty of answers.

Edited by Sand
  • Thinking 1

Share this post


Link to post
Share on other sites

Which option is better.  Assume that these are the only two options available and you have to choose one of them.

Option 1: Do nothing.  Continue paying down 60k on primary residence at 3.75%.  Also continue paying on rental property with balance of about 48k at 4.25%

Option 2: Take cash out refi on primary residence, get about 65k cash, new loan to be about 128k, at 3%.   Take 48k out and pay off rental property.  Keep the extra 17k or so in savings/checking and max out 403b and HSA for as long as possible.

Share this post


Link to post
Share on other sites
38 minutes ago, ghostguy123 said:

Which option is better.  Assume that these are the only two options available and you have to choose one of them.

Option 1: Do nothing.  Continue paying down 60k on primary residence at 3.75%.  Also continue paying on rental property with balance of about 48k at 4.25%

Option 2: Take cash out refi on primary residence, get about 65k cash, new loan to be about 128k, at 3%.   Take 48k out and pay off rental property.  Keep the extra 17k or so in savings/checking and max out 403b and HSA for as long as possible.

When would you be done with either?

I'd think B. But if you're knocking them out this year, keep A. 

Share this post


Link to post
Share on other sites
41 minutes ago, -OZ- said:

When would you be done with either?

I'd think B. But if you're knocking them out this year, keep A. 

If I just make the current payment amount the 60k primary residence would be paid off in like 7 or 8 years.  The rental condo of 48k would be paid off in about 12 years

Share this post


Link to post
Share on other sites
2 hours ago, ghostguy123 said:

If I just make the current payment amount the 60k primary residence would be paid off in like 7 or 8 years.  The rental condo of 48k would be paid off in about 12 years

If that's the plan, go for the lower rate.

Share this post


Link to post
Share on other sites
8 hours ago, ghostguy123 said:

Which option is better.  Assume that these are the only two options available and you have to choose one of them.

Option 1: Do nothing.  Continue paying down 60k on primary residence at 3.75%.  Also continue paying on rental property with balance of about 48k at 4.25%

Option 2: Take cash out refi on primary residence, get about 65k cash, new loan to be about 128k, at 3%.   Take 48k out and pay off rental property.  Keep the extra 17k or so in savings/checking and max out 403b and HSA for as long as possible.

2

Not sure why the $20K extra but 3% is lowering your cost on $108K. If you continue to make the same payments as you are now on the primary and rental, you will pay off those balances faster and then have all that cash flow freed up. Max out HSA before 403B (more flexibility in HSA and basically the best of all retirement worlds in HSA). I don't see why option 1 is even an option. It really is 2 just a question of do you tweek it a bit here and there. 

Share this post


Link to post
Share on other sites

Awesome stuff guys.  This thread always reminds me to check.  I am about 5 years into a 30 year fixed jumbo at 3.625%, didn't think I could do much better.  Called my banker and turns out Citi will do a loan modification, so I won't lose any of the progress I've made so far along the amortization schedule, shifting me down to 3.375%, which seems small, but turns out it'll save me over $300 a month after I hit the break even period in less than a year.  Basically free money.

 

Thanks FFA

  • Like 5

Share this post


Link to post
Share on other sites
3 hours ago, AAABatteries said:

Just got 2.875%. That’s good, right?

5 year? 15? 30?

Seems pretty good

Share this post


Link to post
Share on other sites
3 minutes ago, AAABatteries said:

30

:yes: 

It's pretty much what I'm getting (my understanding is conventional have generally been higher than VA)

  • Thanks 1

Share this post


Link to post
Share on other sites
5 hours ago, AAABatteries said:

Just got 2.875%. That’s good, right?

That is a great rate but I will say this again... rate isn't the only factor of getting a good deal or not. You can get an awesome rate but get screwed over in origination fees and discoint points. 

Also, everyone needs to realize that rates aren't the same for everyone. There are a lot of factors that go into what kind of rate is available to you. Type of loan, credit, LTV, geography, loan size, type of property, type of residency, etc all impact available rates.

  • Like 1

Share this post


Link to post
Share on other sites
2 hours ago, -OZ- said:

:yes: 

It's pretty much what I'm getting (my understanding is conventional have generally been higher than VA)

Govy loans (VA, FHA and USDA) are aggressively lower than conventional right now if you go to a broker. I have seen some ugly rates for govy from banks and direct lenders.

  • Thanks 1

Share this post


Link to post
Share on other sites
9 minutes ago, Chadstroma said:

That is a great rate but I will say this again... rate isn't the only factor of getting a good deal or not. You can get an awesome rate but get screwed over in origination fees and discoint points. 

Also, everyone needs to realize that rates aren't the same for everyone. There are a lot of factors that go into what kind of rate is available to you. Type of loan, credit, LTV, geography, loan size, type of property, type of residency, etc all impact available rates.

That was one thing I really liked about your referral. I asked about points, she responded "we never use points"

I'm thinking there are times when points make sense so I was surprised, but I didn't want to buy points anyway. 

  • Like 1

Share this post


Link to post
Share on other sites
6 hours ago, AAABatteries said:

Just got 2.875%. That’s good, right?

That's what I've been at with a 15 for 5 years or so.  Anything under 3 is spectacular.

  • Like 1

Share this post


Link to post
Share on other sites
6 hours ago, Otis said:

Awesome stuff guys.  This thread always reminds me to check.  I am about 5 years into a 30 year fixed jumbo at 3.625%, didn't think I could do much better.  Called my banker and turns out Citi will do a loan modification, so I won't lose any of the progress I've made so far along the amortization schedule, shifting me down to 3.375%, which seems small, but turns out it'll save me over $300 a month after I hit the break even period in less than a year.  Basically free money.

 

Thanks FFA

Holy crap — just spoke with the mortgage person, and I made a big payment to principal over night, and I don’t know if she just made a mistake the first time or whether that is what caused it, but she way underestimated my savings.  I’m going to save over $820/month.  That’s sick.

  • Like 2

Share this post


Link to post
Share on other sites
6 minutes ago, Otis said:

Holy crap — just spoke with the mortgage person, and I made a big payment to principal over night, and I don’t know if she just made a mistake the first time or whether that is what caused it, but she way underestimated my savings.  I’m going to save over $820/month.  That’s sick.

lucky you. No mortgage tax doing it that way?

Share this post


Link to post
Share on other sites
1 hour ago, shadyridr said:

lucky you. No mortgage tax doing it that way?

Just a $4k fee for the loan modification, which I'll break even on in 5 months given the savings.

  • Like 1

Share this post


Link to post
Share on other sites
2 hours ago, Otis said:

Just a $4k fee for the loan modification, which I'll break even on in 5 months given the savings.

🏀  baller.  Nice

Share this post


Link to post
Share on other sites

not understanding these sub 3 numbers. especially on 30 year loans.  people have to be buying points, correct?

  • Like 1

Share this post


Link to post
Share on other sites
2 hours ago, DA RAIDERS said:

not understanding these sub 3 numbers. especially on 30 year loans.  people have to be buying points, 

My broker locked in 3.50 for 30 days and said he's going underwater to do so but im in NY and assume that's why. 

Share this post


Link to post
Share on other sites
39 minutes ago, shadyridr said:

My broker locked in 3.50 for 30 days and said he's going underwater to do so but im in NY and assume that's why. 

It's 3.5 here in Ohio.  Would love to get under 3.0

Share this post


Link to post
Share on other sites
8 minutes ago, bcat01 said:

It's 3.5 here in Ohio.  Would love to get under 3.0

Yeah even Chad's guy in Ohio was around 3.6 for a 30 year last week

Share this post


Link to post
Share on other sites
10 hours ago, -OZ- said:

That was one thing I really liked about your referral. I asked about points, she responded "we never use points"

I'm thinking there are times when points make sense so I was surprised, but I didn't want to buy points anyway. 

There are times that points can make sense such as wanting to buy down the rate but what happens with a lot of lenders is that they offer a good rate and try to sneak in the points and fees. 

All the brokers I know talk from par rate (no points) and go up to give lender credits. Zero to minimal fees which mostly are lender fees and not broker. 

But it always about the full picture. There is s lot of sneaky and scummy ways of "selling" and I instead like to educate and offer. 

  • Like 1

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Restore formatting

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.


  • Recently Browsing   0 members

    No registered users viewing this page.