Posted on: 13th Feb, 2012 10:21 pm
i have been trying to read a lot of info to get ready for refinance. unfortunately , most things i read just make me paranoid i'm getting ripped off, or paying too much.
here is what i am looking at.
house value about $400k
i owe about $300k.
credit scores of both me and wife are over 800. employment has no interuptions, no late mortgage payments, no real debt. cars and student loans both paid off, couple hundred here and there on credit card that gets paid off. household income was about 150k last year.
so the point there is, i don't expect this is a particularly difficult loan to process or 'get through' to a lender.
what should i be aiming for as far as fees go, i know they need to make money but i also don't want to give more than i should.
i think '3rd party' or w/e is going to be around $3000 everywhere.
but the few lenders i have talked to have that, plus usualy $2000 more. and thats for a 4.25% interest rate, in order to get 4%, or even down to 3.875% they are talking half a point, and 1.5 point respectively.
maybe i'm expecting too much, but i don't understand. what is the point of having great credit, pretty good income, and not much debt if you can't get the advertised rates you see?
can anyone help me understand this a little better, or at least reassure me that it is the norm and i am not being worked over.
here is what i am looking at.
house value about $400k
i owe about $300k.
credit scores of both me and wife are over 800. employment has no interuptions, no late mortgage payments, no real debt. cars and student loans both paid off, couple hundred here and there on credit card that gets paid off. household income was about 150k last year.
so the point there is, i don't expect this is a particularly difficult loan to process or 'get through' to a lender.
what should i be aiming for as far as fees go, i know they need to make money but i also don't want to give more than i should.
i think '3rd party' or w/e is going to be around $3000 everywhere.
but the few lenders i have talked to have that, plus usualy $2000 more. and thats for a 4.25% interest rate, in order to get 4%, or even down to 3.875% they are talking half a point, and 1.5 point respectively.
maybe i'm expecting too much, but i don't understand. what is the point of having great credit, pretty good income, and not much debt if you can't get the advertised rates you see?
can anyone help me understand this a little better, or at least reassure me that it is the norm and i am not being worked over.
i think you posted in the wrong thread because nothing there actually addresses any of the questions.
Hi Guest,
Sussane's answer covers the question on closing costs as well as points. If you want to know anything else, then you can post it in details. You should note that some states will charge you high closing costs compared to others who will charge you a lesser amount. You can go for no closing cost refinance as well but in that case, the closing costs will be added to your loan and you may have to pay higher payments every month.
Thanks
Sussane's answer covers the question on closing costs as well as points. If you want to know anything else, then you can post it in details. You should note that some states will charge you high closing costs compared to others who will charge you a lesser amount. You can go for no closing cost refinance as well but in that case, the closing costs will be added to your loan and you may have to pay higher payments every month.
Thanks
Reality Check! Are you writing a term paper or positioning yourself as a Cordray example.
Maybe you're for "real" but the rates you're passing on are NOT. Even if you're doing a cash out refi, LLPAs are likely only a 0.25. If you're a real borrower, talk to a LO on how rates are developed with credit adjsutments (LLPAs) or look at efanniemae.
Closing costs are going to vary by locality but what you're reporting is just beyond belief. I suspect you're trying to make a political statment rather thaasking real question.
Maybe you're for "real" but the rates you're passing on are NOT. Even if you're doing a cash out refi, LLPAs are likely only a 0.25. If you're a real borrower, talk to a LO on how rates are developed with credit adjsutments (LLPAs) or look at efanniemae.
Closing costs are going to vary by locality but what you're reporting is just beyond belief. I suspect you're trying to make a political statment rather thaasking real question.