Author Topic: Interest rate  (Read 3583 times)

dabighen

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Interest rate
« on: April 18, 2020, 08:47:29 PM »
Hi all,

Just locked in a 30 year, fixed rate mortgage at 2.875%.  Feel bad but certainly a corona virus benefit.

Anyone get a better rate recently?  Just curious.

Matt

lesmalheurs

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Re: Interest rate
« Reply #1 on: April 18, 2020, 09:42:17 PM »
What bank? Is a rate like this common?

dabighen

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Re: Interest rate
« Reply #2 on: April 18, 2020, 10:45:06 PM »
Cross-country mortgage.  Rates are crazy low right now.

TomTX

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Re: Interest rate
« Reply #3 on: April 19, 2020, 06:04:29 AM »
Hi all,

Just locked in a 30 year, fixed rate mortgage at 2.875%.  Feel bad but certainly a corona virus benefit.

Anyone get a better rate recently?  Just curious.

Matt

Please include points/fees/expenses/approximate mortgage size.

dabighen

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Re: Interest rate
« Reply #4 on: April 19, 2020, 12:48:47 PM »
10% down, $245,000 VA loan, No points, $1300 origiination fee, 3,400 funding fee (va's fee instead of pmiPMI)

molarbear

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Re: Interest rate
« Reply #5 on: April 19, 2020, 01:02:19 PM »
just curious what your interest rate was before? we recently bought our house at 3.25% and thinking about refinancing but don't know if its worth the trouble

LetItGrow

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Re: Interest rate
« Reply #6 on: April 19, 2020, 01:15:41 PM »
We are closing in two weeks at 2.5% 5/1 ARM on a new place. About $250,000. When we sell our current place we will pay it off. Haven’t had a mortgage in three years, don’t plan to now. It’s a relo, so easiest to get one for the month we will own both, given corporate relo picking up all fees. Now, if the SP500 is at 1500 next month, that may change and we will discuss a lump sum into VTSAX instead.

TomTX

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Re: Interest rate
« Reply #7 on: April 19, 2020, 02:00:16 PM »
just curious what your interest rate was before? we recently bought our house at 3.25% and thinking about refinancing but don't know if its worth the trouble

3.25% @ 30 years fixed likely isn't worth messing with yet - I expect rates to go back down once the current glut of refi work goes through.

dabighen

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Re: Interest rate
« Reply #8 on: April 19, 2020, 03:27:42 PM »
just curious what your interest rate was before? we recently bought our house at 3.25% and thinking about refinancing but don't know if its worth the trouble

My intereat rate was 4.5% fha.  We actually didnt refinance but are moving closer to downtown.  This was in the making well before covid, but the low rate is an added bonus.

Schmitty642

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Re: Interest rate
« Reply #9 on: April 19, 2020, 05:24:48 PM »
Barely have you beat. My wife and I close this week on a 30 year fixed refi @ 2.75%, from a small rural bank (4 branches) in Ohio. They got so flooded with applications, they stopped accepting them a couple weeks ago.

$250k loan, approx $3,500 closing costs rolled in
« Last Edit: April 19, 2020, 05:27:12 PM by Schmitty642 »

dabighen

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Re: Interest rate
« Reply #10 on: April 19, 2020, 07:25:30 PM »
Barely have you beat. My wife and I close this week on a 30 year fixed refi @ 2.75%, from a small rural bank (4 branches) in Ohio. They got so flooded with applications, they stopped accepting them a couple weeks ago.

$250k loan, approx $3,500 closing costs rolled in

Wow!  Well done!!! #winning

Cassie

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Re: Interest rate
« Reply #11 on: April 19, 2020, 07:38:58 PM »
If you don’t go down a whole point it’s not worth it. Just refinanced 100k at 2.84, .84 points with 4K closing cost through aim loans. Loan just closed.

justinramani

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Re: Interest rate
« Reply #12 on: April 19, 2020, 07:42:01 PM »
If you don’t go down a whole point it’s not worth it. Just refinanced 100k at 2.84, .84 points with 4K closing cost through aim loans. Loan just closed.
You cant make blanket statements like that. The size of the loan matters quite a bit.

Sent from my BND-L34 using Tapatalk


Cassie

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Re: Interest rate
« Reply #13 on: April 19, 2020, 07:53:10 PM »
I was relating what the professional financial advisors use as a guide.  If you have a different opinion fine.

bcbaseballman

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Re: Interest rate
« Reply #14 on: April 20, 2020, 02:28:07 PM »
I close on our refinance this Thursday.
We got a 20 year note @ 2.625%
Used a local credit union here in Kansas.
We did have to take 2 points to get it to this level but our total closing cost is aprox 3,400 (this includes the points)

TomTX

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Re: Interest rate
« Reply #15 on: April 21, 2020, 09:22:06 AM »
I was relating what the professional financial advisors use as a guide.  If you have a different opinion fine.

"Professional advisors" should not be using a rough rule of thumb which can be wildly inappropriate depending on loan size.

affordablehousing

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Re: Interest rate
« Reply #16 on: April 21, 2020, 04:24:22 PM »
I've mentioned this all over the place and no one seems to go for it but First Republic bank refi'd us at 2.75% with no fees or points on a $700K loan with a 30 year fixed. They only do this in their markets (big cities) but they were very easy to work with. Plus they keep the loans in-house with no escrows for insurance or taxes.

TomTX

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Re: Interest rate
« Reply #17 on: April 21, 2020, 04:39:10 PM »
I've mentioned this all over the place and no one seems to go for it but First Republic bank refi'd us at 2.75% with no fees or points on a $700K loan with a 30 year fixed. They only do this in their markets (big cities) but they were very easy to work with. Plus they keep the loans in-house with no escrows for insurance or taxes.

It's interesting, but they don't have a branch within 1,000 miles of me.

E.T.

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Re: Interest rate
« Reply #18 on: May 02, 2020, 03:38:40 PM »
We just got a quote for 2.875 with PenFed, no points, no application fee, with a 1600 lender credit on a 510k new purchase with 5% down. Rates are crazy good right now.

Dave1442397

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Re: Interest rate
« Reply #19 on: May 09, 2020, 07:49:17 AM »
We just got a quote for 2.875 with PenFed, no points, no application fee, with a 1600 lender credit on a 510k new purchase with 5% down. Rates are crazy good right now.

Is that a VA loan? I see 2.875% for a 15-yr refi, but for non-VA loans it's 3.25%.

I'm a PenFed member, but don't qualify for VA loans. We have $209k left on a 15-yr at 4%, with just under 13 years to go. So far, I haven't found any refi rates that would save more than $400 a year after fees, which is hardly worth the hassle of going through the process.

ender

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Re: Interest rate
« Reply #20 on: May 09, 2020, 08:38:51 AM »
And I was happy to lock in a 3.25% for 30 years a few months ago!

Who knows. Maybe we'll refinance that rate sometime.

E.T.

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Re: Interest rate
« Reply #21 on: May 12, 2020, 03:41:23 PM »
We just got a quote for 2.875 with PenFed, no points, no application fee, with a 1600 lender credit on a 510k new purchase with 5% down. Rates are crazy good right now.

Is that a VA loan? I see 2.875% for a 15-yr refi, but for non-VA loans it's 3.25%.

I'm a PenFed member, but don't qualify for VA loans. We have $209k left on a 15-yr at 4%, with just under 13 years to go. So far, I haven't found any refi rates that would save more than $400 a year after fees, which is hardly worth the hassle of going through the process.

It wasn't a VA loan, just normal conforming 30 yr. I think I just got really lucky and called in for a rate lock at exactly the right time on a Friday. Now that things are moving forward I've been really happy with the service at PenFed, the loan officer I'm working with is a really kind and responsive person.

MishMash

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Re: Interest rate
« Reply #22 on: May 13, 2020, 09:45:25 AM »
man, I can't find a rate for a refi anywhere below 3.25%. I'd kill for a rate in the 2's.  I think it will come but it's going to be months away since they are dealing with a glut of refi's and adjustments to mortgages due to delayed payments.

TomTX

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Re: Interest rate
« Reply #23 on: May 13, 2020, 10:24:11 AM »
man, I can't find a rate for a refi anywhere below 3.25%. I'd kill for a rate in the 2's.  I think it will come but it's going to be months away since they are dealing with a glut of refi's and adjustments to mortgages due to delayed payments.

I just hope the 2's are available after Thanksgiving. @#%$^$ Texas nanny-state laws prevent me from doing another refi til then.

E.T.

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Re: Interest rate
« Reply #24 on: May 14, 2020, 04:04:04 PM »
My rate was for a new purchase, not a refi. Hope you all get lucky too! The other mortgage company I was tracking only offered me 3.25 on that same day, so PenFed was way lower than the competition that day for some reason.

M5

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Re: Interest rate
« Reply #25 on: May 14, 2020, 05:26:18 PM »
Barely have you beat. My wife and I close this week on a 30 year fixed refi @ 2.75%, from a small rural bank (4 branches) in Ohio. They got so flooded with applications, they stopped accepting them a couple weeks ago.

$250k loan, approx $3,500 closing costs rolled in

We're right there with ya, 2.75% on a 30 year VA loan, $500k loan, $0 down.

LivingTheory

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Re: Interest rate
« Reply #26 on: June 07, 2020, 06:30:33 AM »
2.625% on a 5/1 ARM after discounts (not points) for having a certain asset balance.

This was in December on a Refi. Pre-COVID obviously. Haven’t found anything better since then.

RainyDay

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Re: Interest rate
« Reply #27 on: June 09, 2020, 01:01:57 PM »
I feel a little guilty "profiting" off such a major crisis, but we just refinanced at 2.875% on a 20 yr loan, no points, origination fee of $385 (I think).  Amount was $292,000 including fees.  I feel incredibly lucky, that's for sure...we were only 3 years into a 30 year loan.

Anyone think rates are going to do down again?

anni

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Re: Interest rate
« Reply #28 on: June 11, 2020, 06:41:20 PM »
We just got a quote for 2.875 with PenFed, no points, no application fee, with a 1600 lender credit on a 510k new purchase with 5% down. Rates are crazy good right now.

So, I have a question for you @ET , a little off topic but I've been trying to learn more about PMI to see if I should buy a house a little sooner than I can save up 20% down - especially since interest rates are low, WFH indefinitely and all that. I've run the numbers with some online calculators for putting down just 5% (first-time homebuyer) and it always seems like waiting until I have the savings for 20% will save more in the long term, if PMI was 1% of the value of the loan annually. Did you decide to eat the cost or did your situation come out differently somehow? Sorry if this is not the right place to ask

E.T.

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Re: Interest rate
« Reply #29 on: June 12, 2020, 07:53:23 AM »

So, I have a question for you @ET , a little off topic but I've been trying to learn more about PMI to see if I should buy a house a little sooner than I can save up 20% down - especially since interest rates are low, WFH indefinitely and all that. I've run the numbers with some online calculators for putting down just 5% (first-time homebuyer) and it always seems like waiting until I have the savings for 20% will save more in the long term, if PMI was 1% of the value of the loan annually. Did you decide to eat the cost or did your situation come out differently somehow? Sorry if this is not the right place to ask

In my case, the PMI only cost 0.3% of the loan annually so it was very much worth it. PMI goes away once you've hit that 80% loan to value so you can either refinance it away if the home increases in value or it drops off after 8 years of payment in my case. I'll pay $11,441 total in PMI for the ability to put very little down on the house and throw a lot more money into the stock market. I think even at 1%, I'd be tempted to go for it. In my head it's like an extra % on the interest rate since it's just another finance charge, so if I think I'll make more with my extra cash sitting in index funds I'd still make the same choice with a higher PMI. I'm not sure if it's the right approach but you could probably compare it like it's a lump sum (amount saved by reducing the down payment) vs an annuity (amount saved each month in PMI for 8 years + lower mortgage payment for 30 years). That approach put me at like $5k ahead for having the low downpayment, assuming a 5% return on that money being invested.

Archipelago

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Re: Interest rate
« Reply #30 on: June 12, 2020, 07:58:55 AM »
$350k refinance on multi family investment property
25% down conventional
30 year fixed @ 3.75%
2% origination fee (rolled in)
3.97% APR

This seems high in comparison with others in this thread but it is an investment property. So perhaps it's not so high?
« Last Edit: June 12, 2020, 08:01:11 AM by Archipelago »

K_in_the_kitchen

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Re: Interest rate
« Reply #31 on: June 12, 2020, 11:48:59 AM »
Just locked in a 30 year, fixed rate mortgage at 2.875%.  Feel bad but certainly a corona virus benefit.

That's a great rate!  We got the same 2.875%, but for 15 years, in January 2013.
ETA: We got that rate back in 2013 as a refinance, no origination, no points, and the company we worked with even paid the appraisal. Not VA loan.
« Last Edit: June 12, 2020, 11:54:10 AM by K_in_SoCal »

sixwings

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Re: Interest rate
« Reply #32 on: June 12, 2020, 01:30:26 PM »
I'm in Canada but just renewed my mortgage 2 days ago, 5 years fixed at 2.34!

 

Wow, a phone plan for fifteen bucks!