Best place to procure a mortgage

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Rich Cape Cod
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Best place to procure a mortgage

Post by Rich Cape Cod » Mon Feb 24, 2014 1:33 am

My spouse and I “snowbird” between AZ and Cape Cod. At the moment we are doing a long-term rental in a pleasant pvt home (in Green Valley, south of Tucson) and this will last until the end of Spring, 2016. We like the area and my wife would like us to purchase a home here when this rental is up.

We have no debt (zero), are in are late sixties, early seventies. My income is around $140,000 a year and we have yet to touch my RMD, which will throw out around $26,000 before taxes. I told my wife she can take the whole amount for our AZ home.

The plan is, buy a home in Green Valley, put 20% down and mortgage the remainder (figure a $300,000 dollar home, $280,000 or so mortgage). One day we’ll likely sell our Cape properties (we own a home and a building lot there) which will much more than cover the cost of any home we’d buy in AZ. It’s been a long time since I acquired a mortgage. Where would be the best place to look for a mortgage when the time comes?

Thanks all,

Rich
Rich Cape Cod/AZ

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bogleblitz
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Re: Best place to procure a mortgage

Post by bogleblitz » Mon Feb 24, 2014 1:57 am

I got a mortgage from http://www.quickenloans.com/ last year. Try them and any local bank like Bank of America, Citizens Bank, or whatever bank is near that house you are buying.

Rich Cape Cod
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Re: Best place to procure a mortgage

Post by Rich Cape Cod » Mon Feb 24, 2014 2:13 am

So, basically, I can expect rates to be competitive among local banks?

Rich
Rich Cape Cod/AZ

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G-Money
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Re: Best place to procure a mortgage

Post by G-Money » Mon Feb 24, 2014 6:41 am

Take 15 minutes and compare whatever rates you get locally with several online lenders. You can get quotes from these lenders instantly without giving any personal info (not even an email address):

Amerisave
Aimloan
First Internet Bank
National Mortgage Alliance
PenFed
Any other upfront mortgage lender listed on he mortgage professor's website.
Don't assume I know what I'm talking about.

Cigarman
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Re: Best place to procure a mortgage

Post by Cigarman » Mon Feb 24, 2014 7:09 am

Since you don't appear to be in any rush for the loan at this moment you can take a lot of time to investigate what type of loan is best for you.

I personally have used a mortgage broker with no closing costs and have gotten very competitive rates. In fact, I have refinanced 5 times in the past 14 years, each time getting a better rate (down to 3.5 @ 15 years) and not paid a dime in closing costs. Depending upon your loan, that is a significant savings. One thing I noticed is that you were putting down less than 20% so watch out for PMI costs in your loan. Of course, by the time you actually do purchase, rates could be wildly different than they are now.

It would be interesting to see where you end up with this...

Cigarman
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Re: Best place to procure a mortgage

Post by Cigarman » Mon Feb 24, 2014 7:11 am

Since you don't appear to be in any rush for the loan at this moment you can take a lot of time to investigate what type of loan is best for you.

I personally have used a mortgage broker with no closing costs and have gotten very competitive rates. In fact, I have refinanced 5 times in the past 14 years, each time getting a better rate (down to 3.5 @ 15 years) and not paid a dime in closing costs. Depending upon your loan, that is a significant savings. One thing I noticed is that you were putting down less than 20% (300k home, 280k mortgage is less than 20% although you say you would put down 20%, making your mortgage closer to 240k) so watch out for PMI costs in your loan. Of course, by the time you actually do purchase, rates could be wildly different than they are now.

It would be interesting to see where you end up with this...

Billionaire
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Re: Best place to procure a mortgage

Post by Billionaire » Mon Feb 24, 2014 7:18 am

When we locked in our most recent refi rate in October 2012, my credit union offered me the best rate(by far). Quicken was one company I looked at.
We obtained a 15 year mortgage at 2.375% from the credit union. It's a local credit union to Maryland.

Rich Cape Cod
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Re: Best place to procure a mortgage

Post by Rich Cape Cod » Mon Feb 24, 2014 10:39 am

Thank you all for the great info. For the record I'll put down whatever is necessary to avoid PMI.

Best to all,

Rich
Rich Cape Cod/AZ

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abuss368
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Re: Best place to procure a mortgage

Post by abuss368 » Mon Feb 24, 2014 10:44 am

We use the local bank who is somewhat of a regional bank now. The rates were the best based on some due diligence we did and the service was much better than a 1-800-..... telephone number.
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vkfu
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Re: Best place to procure a mortgage

Post by vkfu » Mon Feb 24, 2014 12:14 pm

I determined that big national banks (Chase, Wells Fargo, US Bank, etc) were not competitive and eventually found a good deal through Zillow's listings:

http://www.zillow.com/mortgage-rates/

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wilpat
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Re: Best place to procure a mortgage

Post by wilpat » Mon Feb 24, 2014 12:23 pm

Pentagon Federal Credit Union has typically good rates with no closing costs.

<https://online7.penfed.org/PenFedOnline ... Loans.aspx>
Contrary to the belief of many, profit is not a four letter word!

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wilpat
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Re: Best place to procure a mortgage

Post by wilpat » Mon Feb 24, 2014 12:24 pm

Pentagon Federal Credit Union has typically good rates with no closing costs.

https://online7.penfed.org/PenFedOnline ... Loans.aspx
Contrary to the belief of many, profit is not a four letter word!

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abuss368
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Re: Best place to procure a mortgage

Post by abuss368 » Mon Feb 24, 2014 12:24 pm

vkfu wrote:I determined that big national banks (Chase, Wells Fargo, US Bank, etc) were not competitive and eventually found a good deal through Zillow's listings:

http://www.zillow.com/mortgage-rates/
Agree. The older I get the more I stay away from the big banks. I don't walk, I run!
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G-Money
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Re: Best place to procure a mortgage

Post by G-Money » Mon Feb 24, 2014 12:43 pm

wilpat wrote:Pentagon Federal Credit Union has typically good rates with no closing costs.

https://online7.penfed.org/PenFedOnline ... Loans.aspx
True of only PenFed's 5/5 ARM and home equity loans. All others have closing costs, and, typically, a 1% origination fee. Even with the closing costs, still reasonably competitive rate/costs combinations, although typically not the absolute best.
Don't assume I know what I'm talking about.

MattE
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Re: Best place to procure a mortgage

Post by MattE » Mon Feb 24, 2014 1:02 pm

My wife and I used National Mortgage Alliance this past summer when we bought our first home and had a pretty good experience, though their paperwork requirements are substantial and they required wet ink signatures on every single page of the closing documents, though those are hassles rather than problems. We were very close to using AIMLoan, who is awesome for getting quotes from, but I set a hard deadline (based on purchase contract requirements) for both companies to bring their last-and-best offer to the table and NMA gave us the best rate and fees at the time, though after that deadline AIMLoan came back with an even lower offer. You probably couldn't go wrong with either one.

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wilpat
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Re: Best place to procure a mortgage

Post by wilpat » Mon Feb 24, 2014 1:11 pm

G-Money wrote:
wilpat wrote:Pentagon Federal Credit Union has typically good rates with no closing costs.

https://online7.penfed.org/PenFedOnline ... Loans.aspx
True of only PenFed's 5/5 ARM and home equity loans. All others have closing costs, and, typically, a 1% origination fee. Even with the closing costs, still reasonably competitive rate/costs combinations, although typically not the absolute best.
Sorry I was looking at "points".
Contrary to the belief of many, profit is not a four letter word!

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