Poll
Question:
Are you going to refi your home in the near future?
Option 1: Yes. The interest rates are too good to pass up
Option 2: Not yet. The rates may go lower.
Option 3: No. I've already got a great rate and it won't be worthwhile for me
Option 4: No.
Option 5: Boobies
Interest rates are ridiculously low now, and I've been toying with the idea of a refi for our house.
Called a mortgage broker today, and he quoted me a rate of 4.875% for a 30 Year mtg. $0 origination fees, with the rest of the refi costing me less than 1% of the total mtg amount. The interest savings would pay for the refi fees in about a year (haven't finalized the math yet).
4.875% is a terrific rate. Historically, it is at or near an all-time low, and much lower than my current 5.75% rate. I think I'm gonna go for it.
Anybody else going to take advantage of this cheap money?
No. My rate is currently 4.75% and I'm not likely to find a better rate so it's not worth the trouble ~
JM
boobies.
B and I are proud non-home owners.
No permanent roots. [thumbsup]
Now I have a loan that is 80% at 5.75 rate and 20% at 6.75 rate ... with 26+ years left ...
Working with a TRUSTED lender (different than last time!) for a 15 year at 4.5% :)
Although I might have to go to a 20 year to keep the payment the same :-\
[bacon]
~DaVe
Make sure you double and triple check the math with someone else. Even though the new rate is lower, you may end up paying a lot more in the end.
A bank will always make it seem worth wild when its not. So again, check the math a few times over.
Boobies.
Own home 100%, not a big fan of debt, and am lucky enough to a. be in a position where i can pretty much live without it (ie, pay off credit card bill each month, payed off mortgage when i had an opportunity to do so, etc), and b. have a wife that feels the same way - but if I didn't, I probably would...
depending on how much time i would be extending my current mortgage by - ie, "Wow, i can reduce my monthly by xxx amount" but not taking into account that I am extending those monthly payments for another 10 years...
I just did a no cost refi through my original lender, wells Fargo. My dads a realtor and my aunt used to write mortgages for WF and both said it was a deal. Went from 7.375 to 6.625. Best part is I can do it again at no cost as long as rates are going down. In fact, I'm gonna call them right now !!
We bought our house using a stated income loan, since I'm self-employed and take every deduction available. Since these are no longer available, I am stuck with my current loan until I pay it off, move, or die.
Fortunately, my rate of 5.375% is still fairly competitive, and since the house has doubled in value since I bought it(even in this market) I'm not cryin'.
Quote from: Bun-bun on January 07, 2009, 02:58:19 PM
We bought our house using a stated income loan, since I'm self-employed and take every deduction available. Since these are no longer available, I am stuck with my current loan until I pay it off, move, or die.
Fortunately, my rate of 5.375% is still fairly competitive, and since the house has doubled in value since I bought it(even in this market) I'm not cryin'.
Sounds like you're in pretty good shape with your current loan. [thumbsup]
The "Stated Income" loan is a product that was heavily abused in recent years. Lots of people flat-out lied about their income to get a loan, then defaulted. :-\
If you've got 2 years' worth of self-employed income history (ie Tax Returns), you could probably qualify for a fully-documented loan. At your current rate of 5.375%, though, you probably won't be able to find a significantly better rate...
I know a realtor fairly well, and seems to me she said once it needs to be a full 1% drop or better before it's really worth it (all things considered).
I'm at 5.75% right now also, and it's tempting....but unless it gets to, say, 4.5% I'll probably stay put.
Quote from: bluemoco v2.0 on January 07, 2009, 03:16:00 PM
Sounds like you're in pretty good shape with your current loan. [thumbsup]
The "Stated Income" loan is a product that was heavily abused in recent years. Lots of people flat-out lied about their income to get a loan, then defaulted. :-\
If you've got 2 years' worth of self-employed income history (ie Tax Returns), you could probably qualify for a fully-documented loan. At your current rate of 5.375%, though, you probably won't be able to find a significantly better rate...
Yeah, I've got 8 years of tax returns available, but with all the deductions (NOT complaining!!!) I show income in the 25k range, not enough to qualify.
I like what I've got, tho, and wouldn't sell anyway. My mortgage payment is $775 with P&I. I couldn't find a shack for that now.
Boobies. Clearly.
I plan on doing a refi in a month or 2. Been waiting for my credit rating to come up just a little more. Pretty sure those are calculated by voodoo priests (or priestesses)
We're working on the original mortgage now....
Quote from: Speedbag on January 07, 2009, 03:39:05 PM
I know a realtor fairly well, and seems to me she said once it needs to be a full 1% drop or better before it's really worth it (all things considered).
I'm at 5.75% right now also, and it's tempting....but unless it gets to, say, 4.5% I'll probably stay put.
I hear ya, Dave. Ironically, I just got an email tonight from a realtor friend of ours. Her mortgage-broker colleague is saying that they're finding 30yr mortgages in the 4.5% range. I have to call them tomorrow.
My plan is to get 3 mortgage quotes before I do the refi. I don't want to wait too long - trying to "time the market" is a fool's errand. Just like trying to "time the market" in stock investments.
I could probably do well right now to refin, but I always am hesitant when my current mortgage company (Wells Fargo) has been good to work with for 10 years. I don't want to have my new loan sold to some 3rd party company that sucks.
mitt
Quote from: mitt on January 07, 2009, 08:06:12 PM
I could probably do well right now to refin, but I always am hesitant when my current mortgage company (Wells Fargo) has been good to work with for 10 years. I don't want to have my new loan sold to some 3rd party company that sucks.
mitt
I just got an email from my Wells Fargo rep. He says that he's got 4.75% loans for 15, 20, or 30yr periods.
That's a full percentage point lower than my current loan.
So WF quoted me 5% fixed for a 20 year (im at 6.625 now)
Payment difference per month is $78. It would take me 26 months to recover the closing costs.
Conveniently, the no cost close at home deal has been taken away. Im not surprised. It's a way for them to stop a cash hemorrhage