I locked in last week on a re-fi with a crazy low rate on a 15 year.
With announcement today from
Feds, you think home mortgage could go even lower?
With announcement today from
Feds, you think home mortgage could go even lower?
Think home mortgage rates will go even lower?
- Thread starter number1cats
- Start date
No, they won't go much lower for refinances. Right now banks are at capacity due to millions of Americans who flooded the mortgage market over the last 30 days. Banks like Wells Fargo, US Bank, etc. have had to increase their refi rates just to slow down applications.
I had an idiot call me today and ask for a zero rate for his mortgage.
I had an idiot call me today and ask for a zero rate for his mortgage.
Its turned into the perfect time for me to sell. Going to be able to land a great rate on buying, and without any March Madness or MLB startup, Ive found my schedule wide open to work "extended hours" on home improvement stuff on my current house to sell [laughing]
Got a 30 year fixed for 3.625 last month with $9k lender credit (3.7 APR). We did get an offer for a 30 years fixed with no lender credit at 3.2%. I doubt they have gotten much lower but maybe I am wrong.
What do we expect for 3 to 6 months down the road? I purchased at the height of the market and sadly, my rate is 5.0. The back has been dropping rates pretty much the day after I purchased lol. I saw it for as low as 3.125%.. wish I took advantage a few weeks ago, but didn't have a huge chunk of money to pay for closing costs.
Get the money part (closing costs and all) but you have to find a way to refinance if you can. 5% vs what is out there right now is a complete no brainer if you are not going to sell soon. I Can't imagine they are going to get any lower now that the Feds have lowered the rates to essentially nothing now.
If you have equity in your property, closing costs can be rolled into the loan. So no out of pocket costs in most cases, or minimum. On a 30 YR refi, you can still get below 4% most places today.
A No Cash Out Refinance today should run you about 3.50% without buying points.
Agree ... it is a complete no-brainer to refinance if your current rate is 4 or above ... or even lower. Convert a 30-year note to a 15-year term or something. Consolidate debt (vehicle, school, credit card, etc). This is a golden opportunity to put into good order some long term financial matters.
If you are paying 5.0% then you are crazy not to refi right now. How many years was your original mortgage?
30 year mortgage signed just a year ago. My first house, with a rental unit. It's a solid bank, with low closing costs and PMI waived.
I pay an extra $250 on the principal every month, so I think I can swing a refi to 15-year. Just need to handle the legal stuff and look into rolling the closing costs into the houses preexisting equity.
How do I get this process started? Just contact the bank, inquire about the home equity and go from there? And what about this whole "freezing" of refi's? Am I just going to get denied as of now?
I'm guessing that maybe your rate is that high because of the rental property. I could be wrong since I've been out of the mortgage business for 10 years (and things have changed a ton since then), but an investment or multi-use property will usually carry a higher rate due to liability than a 100% primary residence.
Personally, I have a 30 year at 3.875% with 26 years left on the loan. I wish I had caught the sub 3% rates two weeks ago, but I drug my feet. At this point, it doesn't make sense to refi unless they drop below 3% again. Not sure if they will. I would just be doing it to shorten my term not my payment, but you can always pay extra and shorten your loan term anyway if you're disciplined (and your life-of-the-loan costs as a result).
Na, ALbany NY region. I figured I couldn't do this now, but maybe I'll call this week. I;ve thought about refi for a while now.
Yep. Thankfully, my GF pays a bit of rent and so does the downstairs tenant. So I'm easily able to throw more money at the principal. Estimated to pay off the mortgage almost a 1/3rd early, and save a ton of money.
Can't hurt to get a Loan Estimate with the closing cost and rates.
Then it sounds like you're already on track. The simple interest on your loan is just something to brag to your neighbors about. The rate does affect the monthly payment, but if you are paying more anyway, it's not that important. The key is the entire cost of your loan. By paying your loan off 10 years early, you can turn that 5% rate on a 30 year loan into an effective annual average rate of 2.75% or below.
I refinanced a few months ago. My loan is with Freedom Mortgage. They were offering 3.25% on a 30 year fixed with no cost. They also factored in the years I had paid so even after refinancing I started over at still only owing for 26 years vs starting over again at 30.
We got 3.125% on a 15yr fixed w/$2500 lender credit and no lender fee for closing a few weeks ago. I have it all “spreadsheeted” to be able to pay it all off in 5yrs and still have a comfortable lifestyle. But with all this, we’ll see.
We close tomorrow...
The fun part is, I’ve been trying to accelerate all of this with the virus in mind. Two weeks ago I asked them to move up the closing because of the coronavirus, and they were all like “haha.” Last week, I asked again, and they said they weren’t allowed to because of volume and needed a better reason. I cited “unforeseen societal consequences due to COVID-19” and they moved it up from Friday to Tuesday (27 day close).
But, with every issuance for our review, they have screwed up the numbers. Their final Closing Disclosure overcharged title stuff by $300 and didn’t factor in earnest money into the deposit. They sent it on Thursday night, and I’ve been waiting on a correct cash to close amount (in order to get a cashiers check) for four days. I just got it an hour ago. So, now I’ve got to go to the bank with the walking dead who are there to make a run in it in the AM. Pretty pumped.
Also, now I’m carrying two mortgages through a mandatory lockdown of the world. And probably will be moving mostly by myself, at night, 1/4 mile to my new house in a KIA Sorento for a while. And then cleaning and fixing my current house at night for a while. Just good times!
We close tomorrow...
The fun part is, I’ve been trying to accelerate all of this with the virus in mind. Two weeks ago I asked them to move up the closing because of the coronavirus, and they were all like “haha.” Last week, I asked again, and they said they weren’t allowed to because of volume and needed a better reason. I cited “unforeseen societal consequences due to COVID-19” and they moved it up from Friday to Tuesday (27 day close).
But, with every issuance for our review, they have screwed up the numbers. Their final Closing Disclosure overcharged title stuff by $300 and didn’t factor in earnest money into the deposit. They sent it on Thursday night, and I’ve been waiting on a correct cash to close amount (in order to get a cashiers check) for four days. I just got it an hour ago. So, now I’ve got to go to the bank with the walking dead who are there to make a run in it in the AM. Pretty pumped.
Also, now I’m carrying two mortgages through a mandatory lockdown of the world. And probably will be moving mostly by myself, at night, 1/4 mile to my new house in a KIA Sorento for a while. And then cleaning and fixing my current house at night for a while. Just good times!
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Its all about timing. I got a client of mine 2.625% on a 15yr refi today but later today and this evening the rate was 3%.
Last weekend (9 days ago) I got a few people 3% on a 30yr and one person 2.875%. This past Friday the best 30yr was 4%. Today was back down to 3.25%.
Every deal is different. Hopefully your banker is telling you what the breakeven point is for any out of cost fees compared to the monthly savings. If its more than 2-3 years, might not make the most sense. If you are planning on moving in the next 3 years, just stay the course. Just my two cents.
Last weekend (9 days ago) I got a few people 3% on a 30yr and one person 2.875%. This past Friday the best 30yr was 4%. Today was back down to 3.25%.
Every deal is different. Hopefully your banker is telling you what the breakeven point is for any out of cost fees compared to the monthly savings. If its more than 2-3 years, might not make the most sense. If you are planning on moving in the next 3 years, just stay the course. Just my two cents.
I locked in Friday at 3.25 for a 15 year. I think they have went down since then. My question is can I renegotiate?
Some will allow you but others will not. It won't hurt to try.
What are my obligations? I haven't signed anything yet just had one meeting and handed over the documents they asked for
Nothing. Just call them and tell them you are going with another lender.
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anon_l8pbkn96tg3j6
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Imo it's got to go up a lot. It's hard to imagine getting out of this without massive inflation, and you won't stay in business loaning money at a rate less than inflation.
Rates are insanely low right now. A purchase or no cash out refinance with 80% LTV and 740+ credit scores you could get around 2.50% on a 15 year.
A bank in my town. Of course it could vary depending on credit scores, Loan to Value, etc but that is the lowest rate today.
I'm looking to get a HELOC to pay off my rental mortgage. I have an intro rate of 1.74% for year one, then with incentives, about 2% off prime after year 2.
Bank of America. The first year is 1.74, then the incentives are .25 for autodraft, .10 for every $10k and .375 if you are a Platinum member. No closing costs or fees.