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Learning, Sharing, and Teaching => Real Estate and Landlording => Topic started by: wrangler05 on November 22, 2016, 02:38:55 PM

Title: Should I refinance? ?
Post by: wrangler05 on November 22, 2016, 02:38:55 PM
need inputs from you guys though it is not related to rental investment propert.

existing mortgage:

start date : 12/10/2014
sold price  : $240k
loan amount: $235k (FHA 30 year @ 3.75 ) (facepunch for 3.5% down payment)
monthly payment (breakdown): P & I = 1090
                                               taxes = 400
                                          home ins = 100
                                                  MIP = 254
                                                 total = 1840

now, I got a refinance quote for 15 year fixed

loan amount : $223k ( 15 year fixed at 3.75% ) , closing costs is $2300 and no MIP (Mortgage insu premium)

monthly payment :                   P & I = 1622
                                               taxes = 400
                                          home ins = 100
                                                  MIP = 
                                                 total = 2122

I am still shopping around for better interest rate, suggestions/inputs appreciated. thank you!

Title: Re: Should I refinance? ?
Post by: wrangler05 on November 23, 2016, 08:57:30 AM
Seems good.  You come out ahead in under a year when comparing closing costs to savings of the PMI.  Definitely look for a better rate though - you may even find a no closing cost option at that rate.

yep, I will come out ahead in 10 months at the most. I am looking at other quotes but I am not getting any better rates. My fico score is 700
Title: Re: Should I refinance? ?
Post by: SwordGuy on November 23, 2016, 09:11:04 AM
As long as you can handle the higher payment, it's a good deal.   Closing costs are reasonable and you get payback in less than a year.

You'll save a bundle on interest, somewhere around $70,000 to $75,000.

A better rate would be awesome but this is still a winner.

Title: Re: Should I refinance? ?
Post by: Goldy on November 29, 2016, 08:52:26 PM
That's not a super great rate for a 15yr loan but it's OK.  I punched your into into Zillow and got 3.3% with 1300 down through aimloan so it might be worth shopping around a bit.
Title: Re: Should I refinance? ?
Post by: wrangler05 on December 19, 2016, 12:30:36 PM
That's not a super great rate for a 15yr loan but it's OK.  I punched your into into Zillow and got 3.3% with 1300 down through aimloan so it might be worth shopping around a bit.

thank you Goldy!

been shopping around, got a better deal @ 3.375%, no MIP, no closing costs. Our closing date is this wednesday. Cheers!!