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MechEng

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Just got off the phone with a guy at Countrywide. 4.875% 15 yr fixed, no points. He said it was going up to 5.375 for the same 15 year tomorrow.

Thanks.

You got a good rate but I gotta call BS on the "you gotta lock in today" remark.
Rates were flying up this afternoon. I'm up about a quarter from this morning.
Wait... weren't you ;) with my earlier about how the Fed move would mean rates would go down? :goodposting:
Yep and they did go down.
Please explain.
What is there to explain? Rates went down, the market changed and so did rates.
Whether it is this or Flagstaff being the 5-7th largest bank you are a slippery sucker. You do your broker brethren proud.
I've not brokered a loan out in a few years. I'm a mortgage banker. Not that there is anything wrong with brokers. Sorry you feel brokers are slippery because you can't cut it as one which probably explains why you are trying to land a job in retail at Wells Fargo when everyone in the business knows the only people who take those jobs are people who are new to the business or just can't cut it on their own like a broker or banker so they need a job that provides them leads and a salary.

And it's Flagstar. Flagstaff is a city in Arizona which probably explains why you could not locate them as top lender.

:) You are some good entertainment there buddy.

Other than correcting me on Flagstar vs Flagstaff you are basically all wrong.

I will ignore the personal attacks because you do not know me and you have no idea of what you speak of.

As for being a 'mortgage banker', I am confused because I thought I saw a post where you qouted rates from several lenders. I guess I misunderstood something there. I apologize.

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Just got off the phone with a guy at Countrywide. 4.875% 15 yr fixed, no points. He said it was going up to 5.375 for the same 15 year tomorrow.

Thanks.

You got a good rate but I gotta call BS on the "you gotta lock in today" remark.
Rates were flying up this afternoon. I'm up about a quarter from this morning.
Wait... weren't you ;) with my earlier about how the Fed move would mean rates would go down? :goodposting:
Yep and they did go down.
Please explain.
What is there to explain? Rates went down, the market changed and so did rates.
Whether it is this or Flagstaff being the 5-7th largest bank you are a slippery sucker. You do your broker brethren proud.
I've not brokered a loan out in a few years. I'm a mortgage banker. Not that there is anything wrong with brokers. Sorry you feel brokers are slippery because you can't cut it as one which probably explains why you are trying to land a job in retail at Wells Fargo when everyone in the business knows the only people who take those jobs are people who are new to the business or just can't cut it on their own like a broker or banker so they need a job that provides them leads and a salary.

And it's Flagstar. Flagstaff is a city in Arizona which probably explains why you could not locate them as top lender.

Hey guys, can we take the high road here? This thread has been pretty good, especially for a lot newbies in the FFA. I don't consider myself a mortgage newbie because I have read way too many things, bought and sold a couple houses and refi'd my loans a few times. I also got something interesting because I hadn't realized all the expectations of the Fed to drop rates so much or how low rates were the past couple days.
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Just got off the phone with a guy at Countrywide. 4.875% 15 yr fixed, no points. He said it was going up to 5.375 for the same 15 year tomorrow.

Thanks.

You got a good rate but I gotta call BS on the "you gotta lock in today" remark.
Rates were flying up this afternoon. I'm up about a quarter from this morning.
Wait... weren't you :boxing: with my earlier about how the Fed move would mean rates would go down? :confused:
Yep and they did go down.
Please explain.
What is there to explain? Rates went down, the market changed and so did rates.
Whether it is this or Flagstaff being the 5-7th largest bank you are a slippery sucker. You do your broker brethren proud.
I've not brokered a loan out in a few years. I'm a mortgage banker. Not that there is anything wrong with brokers. Sorry you feel brokers are slippery because you can't cut it as one which probably explains why you are trying to land a job in retail at Wells Fargo when everyone in the business knows the only people who take those jobs are people who are new to the business or just can't cut it on their own like a broker or banker so they need a job that provides them leads and a salary.

And it's Flagstar. Flagstaff is a city in Arizona which probably explains why you could not locate them as top lender.

:lmao: You are some good entertainment there buddy.

Other than correcting me on Flagstar vs Flagstaff you are basically all wrong.

I will ignore the personal attacks because you do not know me and you have no idea of what you speak of.

As for being a 'mortgage banker', I am confused because I thought I saw a post where you qouted rates from several lenders. I guess I misunderstood something there. I apologize.

It's ok. You have misunderstood a lot so I'm used to it.

There is a major difference between brokering a loan out to a bank and selling them an already made loan.

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It's ok. You have misunderstood a lot so I'm used to it. There is a major difference between brokering a loan out to a bank and selling them an already made loan.

I so want to ask you exactly what you do.... but I do not care. I am just going to do what was already suggested by stbugs and move on. Feel free to try to belittle me all you wish. All you do is make me smile. :boxing::confused:
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It's ok. You have misunderstood a lot so I'm used to it. There is a major difference between brokering a loan out to a bank and selling them an already made loan.

I so want to ask you exactly what you do.... but I do not care. I am just going to do what was already suggested by stbugs and move on. Feel free to try to belittle me all you wish. All you do is make me smile. :boxing::confused:
I hope for your sake you've got a million dollar smile...if you know what I mean.We do agree on one thing. stbugs is right. People are coming on here to get valuable info and we are getting in the way.
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Just got off the phone with a guy at Countrywide. 4.875% 15 yr fixed, no points. He said it was going up to 5.375 for the same 15 year tomorrow.

Thanks.

You got a good rate but I gotta call BS on the "you gotta lock in today" remark.
I just got off the phone with Wachovia and locked 4.625% 15yr w/ no points for Texas. They are still quoting 4.5% for many states as of right now and he told me today's rates won't be changed until at least 10am EST tomorrow. :shrug:
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Just got off the phone with a guy at Countrywide. 4.875% 15 yr fixed, no points. He said it was going up to 5.375 for the same 15 year tomorrow.

Thanks.

You got a good rate but I gotta call BS on the "you gotta lock in today" remark.
I just got off the phone with Wachovia and locked 4.625% 15yr w/ no points for Texas. They are still quoting 4.5% for many states as of right now and he told me today's rates won't be changed until at least 10am EST tomorrow. :shrug:
Nice! :(
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Just got off the phone with a guy at Countrywide. 4.875% 15 yr fixed, no points. He said it was going up to 5.375 for the same 15 year tomorrow.

Thanks.

You got a good rate but I gotta call BS on the "you gotta lock in today" remark.
I just got off the phone with Wachovia and locked 4.625% 15yr w/ no points for Texas. They are still quoting 4.5% for many states as of right now and he told me today's rates won't be changed until at least 10am EST tomorrow. :shrug:
That's a solid deal even with a point but are you sure you don't have an origination point?

This is from their site and the APR reflected on the rates suggests an origination point:

1Origination fees are not included in points. The origination fee on the site reflects the ¼ discount on the standard origination fee provided for internet applications. The standard origination fee is 1% of the mortgage amount or $2,000 on a $200,000 mortgage. This is a savings of $500. The discounted origination fee available through this offer is .75% of the mortgage amount or $1,500 on a $200,000 mortgage. One discounted origination fee is available per loan and can only be redeemed by applying online at the link above or by calling (800) 922-6267. No cash will be provided. This offer is only valid on actual loans closed and will not be credited if the loan is denied or withdrawn. This offer is not valid with any other Wachovia Mortgage Corporation offer. Offer is only valid for a limited time and is subject to change without notice. Other restrictions apply.

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Just got off the phone with a guy at Countrywide. 4.875% 15 yr fixed, no points. He said it was going up to 5.375 for the same 15 year tomorrow.

Thanks.

You got a good rate but I gotta call BS on the "you gotta lock in today" remark.
I just got off the phone with Wachovia and locked 4.625% 15yr w/ no points for Texas. They are still quoting 4.5% for many states as of right now and he told me today's rates won't be changed until at least 10am EST tomorrow. :thumbup:
That's a solid deal even with a point but are you sure you don't have an origination point?

This is from their site and the APR reflected on the rates suggests an origination point:

1Origination fees are not included in points. The origination fee on the site reflects the ¼ discount on the standard origination fee provided for internet applications. The standard origination fee is 1% of the mortgage amount or $2,000 on a $200,000 mortgage. This is a savings of $500. The discounted origination fee available through this offer is .75% of the mortgage amount or $1,500 on a $200,000 mortgage. One discounted origination fee is available per loan and can only be redeemed by applying online at the link above or by calling (800) 922-6267. No cash will be provided. This offer is only valid on actual loans closed and will not be credited if the loan is denied or withdrawn. This offer is not valid with any other Wachovia Mortgage Corporation offer. Offer is only valid for a limited time and is subject to change without notice. Other restrictions apply.

yes there is an origination fee. It replaces the "lender fee" though. Here are all my fees broken out:

Refi Escrow $125

Notary Fee $40

Recording Fee $40

Refi Title Only $1274

Lender Fees Appraisal $300

Credit Report $15

Application Fee $95

Tax Service $78

Processing Fee $200

Flood Certification $15

Document Transmission $25

Loan Origination Fee $1008 (the aforementioned 0.75 points)

MERS Fee $4

Loan Points Points $0

This totals $3219

I hope you don't mind me sharing but these fees are pretty comparable to what you quoted me. There is no lender fee (the 75bps replaces that) and for my small loan, this doesn't run me much more. For a larger loan, that 75bps is a much larger hit and a fixed lender fee is preferable. But in my case, it does very little to my APR (which comes to 4.798% btw)

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Just got off the phone with a guy at Countrywide. 4.875% 15 yr fixed, no points. He said it was going up to 5.375 for the same 15 year tomorrow.

Thanks.

You got a good rate but I gotta call BS on the "you gotta lock in today" remark.
I just got off the phone with Wachovia and locked 4.625% 15yr w/ no points for Texas. They are still quoting 4.5% for many states as of right now and he told me today's rates won't be changed until at least 10am EST tomorrow. :thumbup:
That's a solid deal even with a point but are you sure you don't have an origination point?

This is from their site and the APR reflected on the rates suggests an origination point:

1Origination fees are not included in points. The origination fee on the site reflects the ¼ discount on the standard origination fee provided for internet applications. The standard origination fee is 1% of the mortgage amount or $2,000 on a $200,000 mortgage. This is a savings of $500. The discounted origination fee available through this offer is .75% of the mortgage amount or $1,500 on a $200,000 mortgage. One discounted origination fee is available per loan and can only be redeemed by applying online at the link above or by calling (800) 922-6267. No cash will be provided. This offer is only valid on actual loans closed and will not be credited if the loan is denied or withdrawn. This offer is not valid with any other Wachovia Mortgage Corporation offer. Offer is only valid for a limited time and is subject to change without notice. Other restrictions apply.

yes there is an origination fee. It replaces the "lender fee" though. Here are all my fees broken out:

Refi Escrow $125

Notary Fee $40

Recording Fee $40

Refi Title Only $1274

Lender Fees Appraisal $300

Credit Report $15

Application Fee $95

Tax Service $78

Processing Fee $200

Flood Certification $15

Document Transmission $25

Loan Origination Fee $1008 (the aforementioned 0.75 points)

MERS Fee $4

Loan Points Points $0

This totals $3219

I hope you don't mind me sharing but these fees are pretty comparable to what you quoted me. There is no lender fee (the 75bps replaces that) and for my small loan, this doesn't run me much more. For a larger loan, that 75bps is a much larger hit and a fixed lender fee is preferable. But in my case, it does very little to my APR (which comes to 4.798% btw)

I think you got a solid offer and made a good decision.
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Bank said yesterday that the can get me 5.5% That seems high to me, is that reasonable with no points?

:confused: Thats very reasonable
Ok, good. I mean I am seeing 4.875% on here, makes 5.5% seem a little high. I need to lock in soon though for sure.
What loan product is it (30 year, 15 year, etc) ? What are your closing costs?
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Not sure if this will help anyone out, but FWIW:

My stats:

loan to value: about 95%

fairly good credit: high 600s

fairly good debt to income ratio

Chase Bank yesterday gave me this offer to refinance:

5/1 ARM (i'm not planning on staying in my current home longer than 4 years)

5.0% with 0 points - they said they also gave me a 1/8% discount because I have a checking acct with them.

Also would be paying some PMI though.

Overall, not a bad offer - it would add several thousand to the loan principal for closing costs/prepaids etc that I don't have cash for right now - I'm currently on a 5/1 ARM at 6%. I'm considering it but am also talking to Wells Fargo, so maybe they'll offer me something better.

Edited by PsychoMan
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Bank said yesterday that the can get me 5.5% That seems high to me, is that reasonable with no points?

5.5 with no points is what I ended up with. I'm pleased. 4.875 has to be with some points.ETA: Assuming we're talking about 30 yr here. Edited by CrossEyed
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Bank said yesterday that the can get me 5.5% That seems high to me, is that reasonable with no points?

:confused: Thats very reasonable
Ok, good. I mean I am seeing 4.875% on here, makes 5.5% seem a little high. I need to lock in soon though for sure.
What loan product is it (30 year, 15 year, etc) ? What are your closing costs?
30 year fixed. Closing costs come in at around 2k total. About 13% loan to value depending on appraisal. I am thinking I am going to just go with PMI until I make up the next 7% instead of a second. With a rate like this, I really don't see a refi in the future so I'd think PMI would be better in my situation. I'll post the actual figures later on, I am at work right now.
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Bank said yesterday that the can get me 5.5% That seems high to me, is that reasonable with no points?

:bag: Thats very reasonable
Ok, good. I mean I am seeing 4.875% on here, makes 5.5% seem a little high. I need to lock in soon though for sure.
Those people mentioning rates in the 4s are talking about 15 year mortgages
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We're refi'ing at 5.75% on a 30-year fixed 1st, maxed out at the just-under jumbo amount in CA of $417k, and we have a second at 7.6% that's also a 30-year fixed but that we'll obviously pay off through a subsequent refi, once the jumbo loans pencil out sometime in the future. This was by far the best deal we could find, and the lender is paying for appraisal and the title search (about $500 value). This about as good as it gets in CA right now.

I'm assuming this was a much cheaper option than going with one jumbo mortgage for the entire debt amount?My wife and I were going to take the same approach as you when we were homeshopping in the fall.
Correct.
I'm going to be demanding that my broker rework my loan terms for the second time inside of a week. :pickle:I'll report back with my results. :confused:
This exactly what your broker should be doing for you right now. :bag:
This is actually a direct lender who then sells the paper shortly after the deal closes, so they've been reluctant to do this, telling me about how they've been locking rates in, etc. I've been insistent, however. I'm neither a schlub who doesn't know the way this stuff works, nor am I shy about asking for it. :pickle:
Ok, I'm locking in with a conforming 5.5% 1st, and a 2nd at 7.65%. Both are 30-year fixed, and neither have a prepayment penalty (though I'd have to wait four months before refi'ing again, which is not a problem). My LTV is just below 70%, and we have excellent credit. Our home is in LA County. Total fees and closing costs, etc. will come to ~$2400, and we're paying no points.
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Just got off the phone with a guy at Countrywide. 4.875% 15 yr fixed, no points. He said it was going up to 5.375 for the same 15 year tomorrow.The closing costs are about $2100 (plus appraisal if needed).Right now I've got $60K on my mortage (15 year) at 5.375$35K on a HELOC at 7.25% (variable)$6K on an auto loan at 2.99%Can any math types give me an idea if this makes sense? He says the rates have already gone up but he is able to offer me the lowest rate that they offered today.Thanks.

I don't have my mortgage calculator so without running numbers.....Auto loan.... no reason to add that in. 2.99% even with the tax break is going to be better than 4.875. Only reason why you would want to is if this helps free up cash flow and that is something you really need. Since it is such a good rate, I do not see why there would be no reason to add the HELOC in the re-fi. Figure another $400 (conservative) in appraisal... so, from there it is just a question of your break even point on that $98K in interest savings. If you are not planning on moving any time soon then I say lock in and move ahead.
I'm going to have to figure out if I want to put that auto in there or not. Also, I may have to move away from the escrow for the taxes & insurance & just start to pay that stuff as it comes due. We don't need the extra cash flow, but it would be nice to bump up the amount of $$ we have to save/invest.Thanks for the input. :thumbup:
If you want to get rid of the car payment, I'd suggest you refi the 1st and 2nd mortgages. Put half of your monthly cash flow savings into an investment every month and put the rest towards the car payment. After the car payment is gone in a few months, invest the entire savings every month.But, in my opinion, you're better off investing the entire monthly savings, paying off the car as normal and boosting the investment $ when the car is paid off in March '09. Theoretically, you should be able to do better than 2.99% on the investments. No reason to pay off that debt early.
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:rolleyes::goodposting: :goodposting:

Following that link, I went to the Pentagon Federal Credit Union and got a great mortgage.

15 Year fixed for 4.65%

The closing costs are as follows, and some of them (*) are paid for by the Pentagon.

Appraisal $320*

credit report $12*

CLO access fee $65

tax service fee $62 (poc - lender)

flood cert fee $7*

interest due at closing $25

hazard insurance escrow deposit $333

Property tax escrow deposit $1066

Settlement or closing fee $250*

title insurance $550

recording fee $80

state mortgage tax $232

lein release $40

Total closing costs from lender (after what the pentagon pays)

$1029

Total closing INCLUDING tax & insurance & escrow & interest

$2453

I think that is an outstanding loan. :thumbup:

Note: you do not have to be a member of the armed forces to use this credit union. You can become a member of the National Military Family Organization (NMFO) for $20 and you are then eligible for membership. Nice find. :hifive:

Their rates were due to readjust at 10:30 EST (so they have probably already done so), but it looks like they honor the previous day's rates until 10:30 EST. The online application took about 30 minutes. This couldn't have been any easier.

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Hope anyone who was considering a refinance locked yesterday... MASSIVE rate correction (at least for the companies I deal with) is taking place. Consider - yesterday morning we could have done 30-year fixed @ 5.25 w/ 0 points, today it would cost *2.5*. Yikes...

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Hope anyone who was considering a refinance locked yesterday... MASSIVE rate correction (at least for the companies I deal with) is taking place. Consider - yesterday morning we could have done 30-year fixed @ 5.25 w/ 0 points, today it would cost *2.5*. Yikes...

Yep, the lady I spoke with yesterday said rates were starting to jump yesterday afternoon. Got in just under the wire. Although who knows, they could be back down under 5 next week. :thumbup:
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Hope anyone who was considering a refinance locked yesterday... MASSIVE rate correction (at least for the companies I deal with) is taking place. Consider - yesterday morning we could have done 30-year fixed @ 5.25 w/ 0 points, today it would cost *2.5*. Yikes...

Yep, the lady I spoke with yesterday said rates were starting to jump yesterday afternoon. Got in just under the wire. Although who knows, they could be back down under 5 next week. :thumbup:
Rates look the same to me today. AM I missing something?
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Hope anyone who was considering a refinance locked yesterday... MASSIVE rate correction (at least for the companies I deal with) is taking place. Consider - yesterday morning we could have done 30-year fixed @ 5.25 w/ 0 points, today it would cost *2.5*. Yikes...

Yep, the lady I spoke with yesterday said rates were starting to jump yesterday afternoon. Got in just under the wire. Although who knows, they could be back down under 5 next week. :kicksrock:
Rates look the same to me today. AM I missing something?
I just checked Wachovia and their posted rates are up 38bps on both 30s and 15s. Sounds pretty much in line with what Meat posted. Their 30 was 5 1/8% yesterday with no points and now it is 5 1/2% Edited by prefontaine
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If you want to get rid of the car payment, I'd suggest you refi the 1st and 2nd mortgages. Put half of your monthly cash flow savings into an investment every month and put the rest towards the car payment. After the car payment is gone in a few months, invest the entire savings every month.But, in my opinion, you're better off investing the entire monthly savings, paying off the car as normal and boosting the investment $ when the car is paid off in March '09. Theoretically, you should be able to do better than 2.99% on the investments. No reason to pay off that debt early.

Great idea. Thanks for the sound advice.
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Hope anyone who was considering a refinance locked yesterday... MASSIVE rate correction (at least for the companies I deal with) is taking place. Consider - yesterday morning we could have done 30-year fixed @ 5.25 w/ 0 points, today it would cost *2.5*. Yikes...

Yep, the lady I spoke with yesterday said rates were starting to jump yesterday afternoon. Got in just under the wire. Although who knows, they could be back down under 5 next week. :hot:
Rates look the same to me today. AM I missing something?
I think under the climate of uncertainty and desperation the housing/lending markets are in, we're bound to see a lot of variation in interest rate offers. I wouldn't be hesitant to shop around right now with 5 or more lenders to see what the most competitive offer will be. You're bound to save a lot if you're willing to put in the extra research effort.
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If you want to get rid of the car payment, I'd suggest you refi the 1st and 2nd mortgages. Put half of your monthly cash flow savings into an investment every month and put the rest towards the car payment. After the car payment is gone in a few months, invest the entire savings every month.

But, in my opinion, you're better off investing the entire monthly savings, paying off the car as normal and boosting the investment $ when the car is paid off in March '09. Theoretically, you should be able to do better than 2.99% on the investments. No reason to pay off that debt early.

Great idea. Thanks for the sound advice.
I would add that if you are skittish of putting your money into equities right now, there are plenty of savings accounts which are offering interest rates of over 4%. This would still allow you to gain a little money while having easy liquidity with no risk.
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Was just quoted a nice 15yr at 4.875 and 1.25 pts. Only $100 more than I currently pay a month on my 30yr.

You should check out that Pentagon Federal link.

After the rates adjusted up, they have the 15 yr fixed at 5.125% (0 points) - This went up .5% from yesterday.

They also have a 15 yr fixed at 4.875 for .5 points, with an easily clickable link to see the closing costs.

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Perhaps the biggest news of the Federal Government's stimulus package is the increase to the conforming loan limit in high cost areas to as much as $700,000.

The details are still tentative and the increase is supposed to be only temporary (ya, right).

Washington Post link

The package would temporarily increase the size of jumbo mortgages that can be bought by government-sponsored Fannie Mae and Freddie Mac, from $417,000 to as much as $700,000 in high-cost housing markets.

This will obviously be a big help to high-cost housing areas suffering right now, such as California, but it only exacerbates the affordability problems for the long term (I'm assuming that the increase won't be temporary). More government intervention ultimately makes everything worse. :goodposting:

Redman, you may be calling your broker next week to redo your refi package again. :lmao:

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I just bought my house last April and am thinking of refinancing. My local credit union is offering...

30 Year Fixed Rate

Rate APR Points

5.375% 5.489% 0.000%

or

15 Year Fixed Rate

Rate APR Points

4.500% 4.690% 0.000%

This place ussually isn't that competitive. Is there something I should be looking out for here?

I'm waiting now to hear back from the lady we got our initail mortgage from at Countrywide.

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I just bought my house last April and am thinking of refinancing. My local credit union is offering... 30 Year Fixed Rate Rate APR Points 5.375% 5.489% 0.000% or 15 Year Fixed Rate Rate APR Points 4.500% 4.690% 0.000% This place ussually isn't that competitive. Is there something I should be looking out for here?I'm waiting now to hear back from the lady we got our initail mortgage from at Countrywide.

That looks great to me.
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I just bought my house last April and am thinking of refinancing. My local credit union is offering... 30 Year Fixed Rate Rate APR Points 5.375% 5.489% 0.000% or 15 Year Fixed Rate Rate APR Points 4.500% 4.690% 0.000% This place ussually isn't that competitive. Is there something I should be looking out for here?I'm waiting now to hear back from the lady we got our initail mortgage from at Countrywide.

That looks great to me.
With rates moving up about 3/8 of a point since yesterday, I'd jump on this. Countrywide quoted me a 30 yr fixed at 5.75 for no points earlier today...
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Back to topic.

This is now a great time to lock in.

I would do 15 year Interest only.

Use the extra money to buy: Stocks,Mutual Funds or invest in something more than a CD.

Good Luck. :)

Isn't this what screwed a lot of people in the first place? :bag:
Yep, why change now? Go all in I say.

So I guess go with the 30 year fix and save(put) your money in a bank. :cry:

See where that gets you in 30 years.

Good Luck, because you will need it.

I am going to go with the 30yr to free up a little cash to prepare for buying another house later in the year. Now if people would just pay rent on time..... :angry:
Good move.

I have had problems with people paying on time and paying at all.

But in the long run it's worth it.

For rental, you have to go 15 year interest only.

Good luck. :thumbup:

Do you mean you should go 15 year for a rental? I was going to do a 15 probably anyway but why is it bad to do 30 on a rental?
Nothing wrong with doing 30 on a rental. There is nothing magic about this decision. Just ask yourself if the lower rate you get on a 15 year note is worth the higher payment to you- most people say no and go for a 30 but if you feel comfortable with a 15 year payment and feel secure in your job you will save a lot of money by going for 15 years.
15 Year Interest only is less than doing 30 year fix, we all need to know that.

That being said the answer is you need to get your mortgage payment down.

So 15 year interest only is the way to go. With a line of credit.

This is Million dollar advice. :thumbup:

But you aren't building equity in the meantime -- how are you supposed to move up to another house in a declining or stagnant housing market?
Why would you want to pay down the balance of a depreciating asset if you didnt have to?
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I just bought my house last April and am thinking of refinancing. My local credit union is offering... 30 Year Fixed Rate Rate APR Points 5.375% 5.489% 0.000% or 15 Year Fixed Rate Rate APR Points 4.500% 4.690% 0.000% This place ussually isn't that competitive. Is there something I should be looking out for here?I'm waiting now to hear back from the lady we got our initail mortgage from at Countrywide.

That looks great to me.
With rates moving up about 3/8 of a point since yesterday, I'd jump on this. Countrywide quoted me a 30 yr fixed at 5.75 for no points earlier today...
$4k in closing fees. Is that normal?
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I just bought my house last April and am thinking of refinancing. My local credit union is offering... 30 Year Fixed Rate Rate APR Points 5.375% 5.489% 0.000% or 15 Year Fixed Rate Rate APR Points 4.500% 4.690% 0.000% This place ussually isn't that competitive. Is there something I should be looking out for here?I'm waiting now to hear back from the lady we got our initail mortgage from at Countrywide.

That looks great to me.
With rates moving up about 3/8 of a point since yesterday, I'd jump on this. Countrywide quoted me a 30 yr fixed at 5.75 for no points earlier today...
$4k in closing fees. Is that normal?
It's mostly relative to the size of the loan, which is?
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I just bought my house last April and am thinking of refinancing. My local credit union is offering... 30 Year Fixed Rate Rate APR Points 5.375% 5.489% 0.000% or 15 Year Fixed Rate Rate APR Points 4.500% 4.690% 0.000% This place ussually isn't that competitive. Is there something I should be looking out for here?I'm waiting now to hear back from the lady we got our initail mortgage from at Countrywide.

That looks great to me.
With rates moving up about 3/8 of a point since yesterday, I'd jump on this. Countrywide quoted me a 30 yr fixed at 5.75 for no points earlier today...
$4k in closing fees. Is that normal?
Looks quite high to me. Did they give you a breakdown of the costs?
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I just bought my house last April and am thinking of refinancing. My local credit union is offering... 30 Year Fixed Rate Rate APR Points 5.375% 5.489% 0.000% or 15 Year Fixed Rate Rate APR Points 4.500% 4.690% 0.000% This place ussually isn't that competitive. Is there something I should be looking out for here?I'm waiting now to hear back from the lady we got our initail mortgage from at Countrywide.

That does not seem off but I'm noticing a trend with the way some lenders are advertising which must make things very difficult for the average person to understand. The rate quote you have shows no points but there is either some sort of point or a huge lender fee. Why do I say this? Because the APR is considerably higher than the rate which suggests points. If you scroll back in this thread to last night someone got a mortgage with Wachovia and while they got a solid deal there was some small print that said origination was not considered a point. This was new to me as I always considered a point a point but it appears people are saying no points but charging origination which is what I believe is happening here.I'm not saying this is a bad offer but you need to check into it further. I can't recommend enough getting to the nuts and bolts of these offers. You want to know two things and two things only, what is the interest rate and what are the fees charged by the broker and/or lender. Don't let things such as appraisal or title fees muddy up the process as those are third party fees and are usually similar which is why they are not calculated in the APR.Rates are continuing to increase today.
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I just bought my house last April and am thinking of refinancing. My local credit union is offering...

30 Year Fixed Rate

Rate APR Points

5.375% 5.489% 0.000%

or

15 Year Fixed Rate

Rate APR Points

4.500% 4.690% 0.000%

This place ussually isn't that competitive. Is there something I should be looking out for here?

I'm waiting now to hear back from the lady we got our initail mortgage from at Countrywide.

That looks great to me.
With rates moving up about 3/8 of a point since yesterday, I'd jump on this. Countrywide quoted me a 30 yr fixed at 5.75 for no points earlier today...
$4k in closing fees. Is that normal?
To difficult to answer without knowing all the details. Title fee's vary greatly by state. Florida is the highest I know of when you factor in intangible and doc stamp taxes while California is the least expensive. In Florida or Texas you might have $4k in title company closing fees alone. If the lender is charging you $4k than I hope you are buying down the rate.
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I just bought my house last April and am thinking of refinancing. My local credit union is offering...

30 Year Fixed Rate

Rate APR Points

5.375% 5.489% 0.000%

or

15 Year Fixed Rate

Rate APR Points

4.500% 4.690% 0.000%

This place ussually isn't that competitive. Is there something I should be looking out for here?

I'm waiting now to hear back from the lady we got our initail mortgage from at Countrywide.

That looks great to me.
With rates moving up about 3/8 of a point since yesterday, I'd jump on this. Countrywide quoted me a 30 yr fixed at 5.75 for no points earlier today...
$4k in closing fees. Is that normal?
Looks quite high to me. Did they give you a breakdown of the costs?
Credit Union Fees

Origination Fee $2,300.00

Underwriting Fee $100.00

Application Fee $40.00

Document Preparation Fee $65.00

Total Credit Union Fees $2,505.00

Third Party Fees

Appraisal Fee $350.00

Flood Determination $17.00

Attorney fee $350.00

Title Insurance $690.00

Total Third Party Fees $1,407.00

Taxes and other Unavoidable Fees

Recording Fee $60.00

Total Taxes and other Unavoidable Fees $60.00

Total Closing Fees $3,972.00

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Credit Union Fees

Origination Fee $2,300.00

Underwriting Fee $100.00

Application Fee $40.00

Document Preparation Fee $65.00

Total Credit Union Fees $2,505.00

Third Party Fees

Appraisal Fee $350.00

Flood Determination $17.00

Attorney fee $350.00

Title Insurance $690.00

Total Third Party Fees $1,407.00

Taxes and other Unavoidable Fees

Recording Fee $60.00

Total Taxes and other Unavoidable Fees $60.00

Total Closing Fees $3,972.00

If I'm not mistaken, that origination fee is another way of saying you're paying a point (or points). If the amount of the loan is $230K, that is a point. If it is $115K, that is 2 points.
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Credit Union Fees

Origination Fee $2,300.00

Underwriting Fee $100.00

Application Fee $40.00

Document Preparation Fee $65.00

Total Credit Union Fees $2,505.00

Third Party Fees

Appraisal Fee $350.00

Flood Determination $17.00

Attorney fee $350.00

Title Insurance $690.00

Total Third Party Fees $1,407.00

Taxes and other Unavoidable Fees

Recording Fee $60.00

Total Taxes and other Unavoidable Fees $60.00

Total Closing Fees $3,972.00

If I'm not mistaken, that origination fee is another way of saying you're paying a point (or points). If the amount of the loan is $230K, that is a point. If it is $115K, that is 2 points.
It is. I don't know why they split origination and discount points, but they are basically the same to the person getting the loan. I think the origination part is the "fee" part where brokers, etc. make their money. That is why menobrown mentioned that he could change around his fee to an origination fee because one the latter is tax deductible since it is a "point." The discount is the one that can slide up and down and change the rate, which is why people say they pay points to buy down the rate.
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Credit Union Fees

Origination Fee $2,300.00

Underwriting Fee $100.00

Application Fee $40.00

Document Preparation Fee $65.00

Total Credit Union Fees $2,505.00

Third Party Fees

Appraisal Fee $350.00

Flood Determination $17.00

Attorney fee $350.00

Title Insurance $690.00

Total Third Party Fees $1,407.00

Taxes and other Unavoidable Fees

Recording Fee $60.00

Total Taxes and other Unavoidable Fees $60.00

Total Closing Fees $3,972.00

If I'm not mistaken, that origination fee is another way of saying you're paying a point (or points). If the amount of the loan is $230K, that is a point. If it is $115K, that is 2 points.
It is. I don't know why they split origination and discount points, but they are basically the same to the person getting the loan. I think the origination part is the "fee" part where brokers, etc. make their money. That is why menobrown mentioned that he could change around his fee to an origination fee because one the latter is tax deductible since it is a "point." The discount is the one that can slide up and down and change the rate, which is why people say they pay points to buy down the rate.
So are these points or fees negotiable?
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Credit Union Fees

Origination Fee $2,300.00

Underwriting Fee $100.00

Application Fee $40.00

Document Preparation Fee $65.00

Total Credit Union Fees $2,505.00

Third Party Fees

Appraisal Fee $350.00

Flood Determination $17.00

Attorney fee $350.00

Title Insurance $690.00

Total Third Party Fees $1,407.00

Taxes and other Unavoidable Fees

Recording Fee $60.00

Total Taxes and other Unavoidable Fees $60.00

Total Closing Fees $3,972.00

If I'm not mistaken, that origination fee is another way of saying you're paying a point (or points). If the amount of the loan is $230K, that is a point. If it is $115K, that is 2 points.
It is. I don't know why they split origination and discount points, but they are basically the same to the person getting the loan. I think the origination part is the "fee" part where brokers, etc. make their money. That is why menobrown mentioned that he could change around his fee to an origination fee because one the latter is tax deductible since it is a "point." The discount is the one that can slide up and down and change the rate, which is why people say they pay points to buy down the rate.
So are these points or fees negotiable?
Not usually, if you are getting a good rate. I was able to get Wells Fargo to match the broker I had used before. The rate and fees I got were a lot better than the rate/fees they show online. They already had my loan, so I called them up and asked them what they could do. I ended up with the same rate, but better fees because they threw everything in they could, including a friends and family $300 rebate. I was amazed how quickly I got that check, just a couple weeks after the close. I figured it was a freebie that I would get months down the road.
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Credit Union Fees

Origination Fee $2,300.00

Underwriting Fee $100.00

Application Fee $40.00

Document Preparation Fee $65.00

Total Credit Union Fees $2,505.00

Third Party Fees

Appraisal Fee $350.00

Flood Determination $17.00

Attorney fee $350.00

Title Insurance $690.00

Total Third Party Fees $1,407.00

Taxes and other Unavoidable Fees

Recording Fee $60.00

Total Taxes and other Unavoidable Fees $60.00

Total Closing Fees $3,972.00

If I'm not mistaken, that origination fee is another way of saying you're paying a point (or points). If the amount of the loan is $230K, that is a point. If it is $115K, that is 2 points.
It is. I don't know why they split origination and discount points, but they are basically the same to the person getting the loan. I think the origination part is the "fee" part where brokers, etc. make their money. That is why menobrown mentioned that he could change around his fee to an origination fee because one the latter is tax deductible since it is a "point." The discount is the one that can slide up and down and change the rate, which is why people say they pay points to buy down the rate.
So are these points or fees negotiable?
Not usually, if you are getting a good rate. I was able to get Wells Fargo to match the broker I had used before. The rate and fees I got were a lot better than the rate/fees they show online. They already had my loan, so I called them up and asked them what they could do. I ended up with the same rate, but better fees because they threw everything in they could, including a friends and family $300 rebate. I was amazed how quickly I got that check, just a couple weeks after the close. I figured it was a freebie that I would get months down the road.
WF is notorious for this. Most loan officers won't send do loans through them, in my region anyway.
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