Refinance Mega Thread

Non-investing personal finance issues including insurance, credit, real estate, taxes, employment and legal issues such as trusts and wills
Can't Wait
Posts: 18
Joined: Wed Oct 28, 2020 8:03 am

Re: Refinance Mega Thread

Post by Can't Wait »

presto987 wrote: Thu Oct 29, 2020 9:56 pm
Can't Wait wrote: Thu Oct 29, 2020 7:44 pm My two best offers are from Better and LenderFi.

Better is giving me a 2.5% rate with costs at $422, but I have to do an appraisal.

LenderFi is giving me a 2.5% rate with costs at $522, but the appraisal is waived.

My thinking is I should go with LenderFi since the appraisal is waived. I would hate to go with Better and then have some doofus appraiser low-ball our house and then I get stuck paying points or having my credits reduced.

Any negatives with LenderFi? So far, I’ve read that their communication is lacking and there is confusion about how to make the first payment. How does the first payment work with LenderFi? Are they closing just as fast as Better right now?
You may have done this already, but you should check with your Better “mortgage expert” whether the appraisal truly is required. Better always charges for an appraisal, but they refund it if an appraisal isn’t done. The mortgage expert can check whether you qualify for a waiver. If so, then you will get a refund after closing (or when you withdraw your application if you don’t close with them).

Usually if one lender gets an appraisal waiver, all of them can. There are some exceptions, e.g. sometimes Freddie Mac grants waivers that Fannie Mae does not, and Better only uses Fannie Mae. Also, if your house is worth over $1 million, make sure the LO enters the home value as $999,999. Anything over $1m automatically requires an appraisal. Some LOs don’t know this trick or forget it.

LenderFi is generally good, but I can think of two negatives:
- Once you lock, you’re really locked. Whereas with Better, they are willing to entertain price match requests almost up until closing. This can be helpful if rates fall or if you just find another competitive lender.
- LenderFi doesn’t like it if you refi within 6 months of closing with them. Well, no one likes that. But LenderFi is the one lender that asks people to sign a document stating that you won’t refi within 6 months or else they will claw back credits. That is probably not enforceable, but My guess is that if you refi within 6 months they may choose to no longer do business with you.

I think LenderFi is closing approximately as fast as Better, based on the datapoints I’ve been reading. Check out the LenderFi thread in this forum for discussion about the first payment.

Thanks for info. Better said Fannie Mae would not grant the appraisal waiver for me, while Freddie Mac did with LenderFi. I had my hopes set on closing with Better based on all the great things I’ve read in this thread. But, I don’t want to risk the appraisal coming back $10k less (or something like that) than the actual value and having that cause a last minute change in the loan estimate.

I’ll check out the LenderFi thread. As long as they sell the loan to a big bank, then everything should be okay for me.
dctech
Posts: 14
Joined: Fri May 01, 2020 8:22 pm

Re: Refinance Mega Thread

Post by dctech »

batpot wrote: Tue Oct 27, 2020 4:42 pm Farmers Bank & Trust of Kansas showing 2.375% with $0 closing via Zillow today.l
Have a current application with them at 2.5%; trying to get them to honor the new rate.
I got in close to that here in NC just before you posted that. Locked $680k value, $495k remaining, 2.375% on 30yr with $676 fee, waived appraisal, looks like I could have gotten the fee down to $0 if I have waited a day to lock. I'll live, or we'll see if I jump ship after the election.
newguy123
Posts: 107
Joined: Tue Oct 13, 2020 8:44 am

Re: Refinance Mega Thread

Post by newguy123 »

dctech wrote: Fri Oct 30, 2020 8:26 am
batpot wrote: Tue Oct 27, 2020 4:42 pm Farmers Bank & Trust of Kansas showing 2.375% with $0 closing via Zillow today.l
Have a current application with them at 2.5%; trying to get them to honor the new rate.
I got in close to that here in NC just before you posted that. Locked $680k value, $495k remaining, 2.375% on 30yr with $676 fee, waived appraisal, looks like I could have gotten the fee down to $0 if I have waited a day to lock. I'll live, or we'll see if I jump ship after the election.
Hey I am from NC as well, Just wondering what bank did you use ? That is a very good rate
Would I rather relax and make money or make money and relax ?
mw1739
Posts: 791
Joined: Mon Mar 21, 2011 5:44 pm

Re: Refinance Mega Thread

Post by mw1739 »

Can anyone who has closed with Loan Cabin comment on who services their loans?
dctech
Posts: 14
Joined: Fri May 01, 2020 8:22 pm

Re: Refinance Mega Thread

Post by dctech »

newguy123 wrote: Fri Oct 30, 2020 8:53 am
dctech wrote: Fri Oct 30, 2020 8:26 am
batpot wrote: Tue Oct 27, 2020 4:42 pm Farmers Bank & Trust of Kansas showing 2.375% with $0 closing via Zillow today.l
Have a current application with them at 2.5%; trying to get them to honor the new rate.
I got in close to that here in NC just before you posted that. Locked $680k value, $495k remaining, 2.375% on 30yr with $676 fee, waived appraisal, looks like I could have gotten the fee down to $0 if I have waited a day to lock. I'll live, or we'll see if I jump ship after the election.
Hey I am from NC as well, Just wondering what bank did you use ? That is a very good rate
Farmers Bank & Trust of Kansas like the OP
newguy123
Posts: 107
Joined: Tue Oct 13, 2020 8:44 am

Re: Refinance Mega Thread

Post by newguy123 »

dctech wrote: Fri Oct 30, 2020 8:56 am
newguy123 wrote: Fri Oct 30, 2020 8:53 am
dctech wrote: Fri Oct 30, 2020 8:26 am
batpot wrote: Tue Oct 27, 2020 4:42 pm Farmers Bank & Trust of Kansas showing 2.375% with $0 closing via Zillow today.l
Have a current application with them at 2.5%; trying to get them to honor the new rate.
I got in close to that here in NC just before you posted that. Locked $680k value, $495k remaining, 2.375% on 30yr with $676 fee, waived appraisal, looks like I could have gotten the fee down to $0 if I have waited a day to lock. I'll live, or we'll see if I jump ship after the election.
Hey I am from NC as well, Just wondering what bank did you use ? That is a very good rate
Farmers Bank & Trust of Kansas like the OP
Thanks, just tried to do a quote and lowest for me was 2.875 with $0 fee
Would I rather relax and make money or make money and relax ?
calvinandhobbes
Posts: 4
Joined: Sat Feb 18, 2017 11:29 pm

Re: Refinance Mega Thread

Post by calvinandhobbes »

Hey folks! Curious for input from the board here on a question: is there an obligation (legal or moral) to close with LenderFI having progressed as far as having signed a pre-closing disclosure, or okay to switch to another lender at this point in the game?

Background:
I started a refinance from an existing mortgage (30yr at 2.875%) to a 15yr back in early September and had quotes from both Better and LenderFI. Ended up going with LenderFI and locked on 9/11. I still haven't closed. LenderFI has been fairly unresponsive throughout the process. For instance, it took ten days (and multiple phone calls and emails) to get a response to a simple question (actually, to get them to fix some incorrect numbers on a pre-closing disclosure). I've since signed that document and it's been around two weeks of radio silence.

In the meantime, the servicer of my existing loan (Chase) contacted me and I happened to mention I was in the process of refinancing. They said they'd like to keep my business and agreed to match the original quote. All else equal I'd prefer to keep the loan with Chase (have been happy with them and do other banking with them already which makes things easy) and have been really disappointed with my experience with LenderFI. My preference is just to abandon the refi with LenderFI and stick with Chase, but wasn't sure if this is immoral.


FWIW, details below for the original loan estimate and the one Chase agreed to match. Not sure if rates have gotten even more favorable since I originally got this quote in early September...

650k value, 400k remaining, 2.25% 15yr with $4407 lender credits. In TX.

Loan costs (A+B+C+E - Lender credit) = -$1088 (i.e. 1088 net credits to close)
mervinj7
Posts: 1673
Joined: Thu Mar 27, 2014 3:10 pm

Re: Refinance Mega Thread

Post by mervinj7 »

calvinandhobbes wrote: Fri Oct 30, 2020 9:23 am Hey folks! Curious for input from the board here on a question: is there an obligation (legal or moral) to close with LenderFI having progressed as far as having signed a pre-closing disclosure, or okay to switch to another lender at this point in the game?

Background:
I started a refinance from an existing mortgage (30yr at 2.875%) to a 15yr back in early September and had quotes from both Better and LenderFI. Ended up going with LenderFI and locked on 9/11. I still haven't closed. LenderFI has been fairly unresponsive throughout the process. For instance, it took ten days (and multiple phone calls and emails) to get a response to a simple question (actually, to get them to fix some incorrect numbers on a pre-closing disclosure). I've since signed that document and it's been around two weeks of radio silence.

In the meantime, the servicer of my existing loan (Chase) contacted me and I happened to mention I was in the process of refinancing. They said they'd like to keep my business and agreed to match the original quote. All else equal I'd prefer to keep the loan with Chase (have been happy with them and do other banking with them already which makes things easy) and have been really disappointed with my experience with LenderFI. My preference is just to abandon the refi with LenderFI and stick with Chase, but wasn't sure if this is immoral.


FWIW, details below for the original loan estimate and the one Chase agreed to match. Not sure if rates have gotten even more favorable since I originally got this quote in early September...

650k value, 400k remaining, 2.25% 15yr with $4407 lender credits. In TX.

Loan costs (A+B+C+E - Lender credit) = -$1088 (i.e. 1088 net credits to close)
No, it's not immoral. It's just business.
totallynotsure
Posts: 231
Joined: Wed Feb 26, 2020 10:35 am

Re: Refinance Mega Thread

Post by totallynotsure »

when folks here mention "costs", are they referring to Origination Charges or the line items under "Services You Cannot Shop For"?

my Total Loan Costs are approx. $7k but much of that is title-related.
presto987
Posts: 368
Joined: Sun Aug 30, 2020 10:58 pm

Re: Refinance Mega Thread

Post by presto987 »

Both. When talking about wanting a "no cost" refi, usually people are talking about sections A+B+C+E. So this includes origination fees, points, title, appraisal, recording fees, etc. But does not include prepaids and escrow.

When comparing costs across different offers, you can exclude E since that should ultimately wind up the same regardless of the lender.
KB8KB24
Posts: 18
Joined: Mon Jul 27, 2020 9:22 pm

Re: Refinance Mega Thread

Post by KB8KB24 »

mw1739 wrote: Fri Oct 30, 2020 8:54 am Can anyone who has closed with Loan Cabin comment on who services their loans?
Not sure where you are in the process but it takes over 90 days to close with Loan Cabin.
presto987
Posts: 368
Joined: Sun Aug 30, 2020 10:58 pm

Re: Refinance Mega Thread

Post by presto987 »

mw1739 wrote: Fri Oct 30, 2020 8:54 am Can anyone who has closed with Loan Cabin comment on who services their loans?
They sell their loans to multiple companies. PennyMac is probably the biggest one.
TheChaz
Posts: 13
Joined: Fri Jan 13, 2017 3:22 pm

Re: Refinance Mega Thread

Post by TheChaz »

TheChaz wrote: Thu Oct 22, 2020 1:36 pm 6 business days after distribution date and I'm still waiting for the loan to fund. Loan officer says funds are already in escrow, the loan is clear to fund and they expect it to fund this week. I'll update once it happens

Little more info about my loan, CA home, $400k loan, $6,500 in lender fees + title fees, 50% LTV, from application to close was 17 days.
Loan dispersed 10/29. Started this whole process on 9/29. Other than a long funding delay, I can't complain about Owning.com.

I'd recommend staying away from Amerisave and thier no lock policy, $500 application fee and slow service.
Ressy
Posts: 6
Joined: Thu Oct 22, 2020 10:31 pm

Re: Refinance Mega Thread

Post by Ressy »

TheChaz wrote: Fri Oct 30, 2020 1:06 pm
TheChaz wrote: Thu Oct 22, 2020 1:36 pm 6 business days after distribution date and I'm still waiting for the loan to fund. Loan officer says funds are already in escrow, the loan is clear to fund and they expect it to fund this week. I'll update once it happens

Little more info about my loan, CA home, $400k loan, $6,500 in lender fees + title fees, 50% LTV, from application to close was 17 days.
Loan dispersed 10/29. Started this whole process on 9/29. Other than a long funding delay, I can't complain about Owning.com.

I'd recommend staying away from Amerisave and thier no lock policy, $500 application fee and slow service.
Thanks for the update. My starting the process to signing was something like 10 days. I signed last Thursday and was told the file is still being reviewed. Oddly they didn't require some statements other lenders did, so I wouldn't be at all surprised to see them suddenly needing additional docs.
Hoosier CPA
Posts: 114
Joined: Tue Nov 22, 2016 9:43 pm

Re: Refinance Mega Thread

Post by Hoosier CPA »

My Better.com $2,500 credit posted on 10/28. Signed loan docs on 9/11. Just a data point.

We're at 2.875% on a 30. Need to figure out if it's worth trying again.
JonasKahnwald86
Posts: 15
Joined: Fri Oct 30, 2020 9:55 pm

Re: Refinance Mega Thread

Post by JonasKahnwald86 »

I found numerous factual errors and some omissions on the Uniform Residential Loan Application I’m being asked to e-sign from a popular lender on this site. I asked them to correct but was blown off, told items not important. Besides the worrisome scent of sloppy work, are there issues, legal or otherwise, that might crop up by submitting a knowingly erroneous application. Shall I insist on correction or overthinking the significance. FWIW names, address, loan balance, salary, debts are all correct. I don’t do this every day.
theeryman
Posts: 47
Joined: Tue Mar 15, 2016 12:14 pm

Re: Refinance Mega Thread

Post by theeryman »

Thanks to all, got some great info from this thread.

We locked in today.

Went from 30 yr 4.0% (started last year) to a 15 yr 1.75% with LenderFi.

This is going to save us about $180k in interest over the life of the loan!

Cost was 2 points + $2551 in other closing costs (title, etc). They waived the appraisal fee, simply because I told them that I saw they did for someone on this forum and asked if they could do the same for me, and they did it. I didn't bother trying to find a better price on the title.

As mentioned, this is with LenderFi. I they sent the Loan Estimate to Better and they said they could not beat it.

Thanks again and good luck!
InvestDoc
Posts: 60
Joined: Sat Jan 13, 2018 12:54 am

Re: Refinance Mega Thread

Post by InvestDoc »

theeryman wrote: Fri Oct 30, 2020 11:17 pm Thanks to all, got some great info from this thread.

We locked in today.

Went from 30 yr 4.0% (started last year) to a 15 yr 1.75% with LenderFi.

This is going to save us about $180k in interest over the life of the loan!

Cost was 2 points + $2551 in other closing costs (title, etc). They waived the appraisal fee, simply because I told them that I saw they did for someone on this forum and asked if they could do the same for me, and they did it. I didn't bother trying to find a better price on the title.

As mentioned, this is with LenderFi. I they sent the Loan Estimate to Better and they said they could not beat it.

Thanks again and good luck!
If your loan balance is <$500,000, Better will give you $100 when you close with the other lender since they couldn't beat your other estimate. I think you just have to contact your loan officer at Better and send them a copy of the final closing disclosures.
aparan
Posts: 45
Joined: Tue Nov 19, 2019 7:26 pm

Re: Refinance Mega Thread

Post by aparan »

Someone I know is getting same deals from better.com and loan depot. Both claim that they can close within 60 day from the time it rates are locked.

What has been is the general experience from loan depot and better.com in terms of promptness, time taken to close?
dlrkw9mu
Posts: 66
Joined: Mon Apr 27, 2015 12:01 pm

Re: Refinance Mega Thread

Post by dlrkw9mu »

aparan wrote: Sun Nov 01, 2020 5:43 pm Someone I know is getting same deals from better.com and loan depot. Both claim that they can close within 60 day from the time it rates are locked.

What has been is the general experience from loan depot and better.com in terms of promptness, time taken to close?
Put in application with better on 9/16, locked on 9/16 (45-day rate lock), closed on 10/16, funded on 10/21.
No real issues with better. Communication was great. The notary brought an old CD to closing, so we had to sign the correct one a day or two later. But they were nearly identical, so it was no big deal.
dlrkw9mu
Posts: 66
Joined: Mon Apr 27, 2015 12:01 pm

Re: Refinance Mega Thread

Post by dlrkw9mu »

calvinandhobbes wrote: Fri Oct 30, 2020 9:23 am Hey folks! Curious for input from the board here on a question: is there an obligation (legal or moral) to close with LenderFI having progressed as far as having signed a pre-closing disclosure, or okay to switch to another lender at this point in the game?

Background:
I started a refinance from an existing mortgage (30yr at 2.875%) to a 15yr back in early September and had quotes from both Better and LenderFI. Ended up going with LenderFI and locked on 9/11. I still haven't closed. LenderFI has been fairly unresponsive throughout the process. For instance, it took ten days (and multiple phone calls and emails) to get a response to a simple question (actually, to get them to fix some incorrect numbers on a pre-closing disclosure). I've since signed that document and it's been around two weeks of radio silence.

In the meantime, the servicer of my existing loan (Chase) contacted me and I happened to mention I was in the process of refinancing. They said they'd like to keep my business and agreed to match the original quote. All else equal I'd prefer to keep the loan with Chase (have been happy with them and do other banking with them already which makes things easy) and have been really disappointed with my experience with LenderFI. My preference is just to abandon the refi with LenderFI and stick with Chase, but wasn't sure if this is immoral.


FWIW, details below for the original loan estimate and the one Chase agreed to match. Not sure if rates have gotten even more favorable since I originally got this quote in early September...

650k value, 400k remaining, 2.25% 15yr with $4407 lender credits. In TX.

Loan costs (A+B+C+E - Lender credit) = -$1088 (i.e. 1088 net credits to close)
Not immoral, particularly if you're unhappy with the level of service you're receiving. Let lenderfi know you're no longer interested in proceeding, and personally, I'd make sure they understood their lack of communication is why.
yogesh
Posts: 506
Joined: Thu Oct 11, 2012 6:20 pm

Re: Refinance Mega Thread

Post by yogesh »

Update: LD is closing under a month including appraisal; great experience with online portal/IM/emails
10/1: Quote from LF, Better and LD
10/5: Locked LE with Loan Depot 2.375 30yr/fixed
10/8: Underwriter conditional approval
10/12: Appraisal
10/23: Closing disclosure signature
10/27: Final approval
11/2-11/5: Closing
Emergency: FDIC | Taxable: VTMFX | Retirement: TR2040
manatee2005
Posts: 1618
Joined: Wed Dec 18, 2019 9:17 pm

Re: Refinance Mega Thread

Post by manatee2005 »

totallynotsure wrote: Wed Oct 28, 2020 7:41 pm is it..."immoral" to take a shop around a rate a broker got for you?
No. Is it immoral for the broker to charge you more than they should?
totallynotsure
Posts: 231
Joined: Wed Feb 26, 2020 10:35 am

Re: Refinance Mega Thread

Post by totallynotsure »

presto987 wrote: Fri Oct 30, 2020 10:17 am Both. When talking about wanting a "no cost" refi, usually people are talking about sections A+B+C+E. So this includes origination fees, points, title, appraisal, recording fees, etc. But does not include prepaids and escrow.

When comparing costs across different offers, you can exclude E since that should ultimately wind up the same regardless of the lender.
thanks. is that something i can request with a mortgage - not a refi? i'd love to have as little closing costs as possible as right now im looking at ~$16k or so.
tj
Posts: 3972
Joined: Thu Dec 24, 2009 12:10 am

Re: Refinance Mega Thread

Post by tj »

totallynotsure wrote: Sun Nov 01, 2020 8:47 pm
presto987 wrote: Fri Oct 30, 2020 10:17 am Both. When talking about wanting a "no cost" refi, usually people are talking about sections A+B+C+E. So this includes origination fees, points, title, appraisal, recording fees, etc. But does not include prepaids and escrow.

When comparing costs across different offers, you can exclude E since that should ultimately wind up the same regardless of the lender.
thanks. is that something i can request with a mortgage - not a refi? i'd love to have as little closing costs as possible as right now im looking at ~$16k or so.
Of course. it just means you have a higher rate:

https://www.fremontbank.com/personal/bo ... gage-rates
Trust_In_TylerDurden
Posts: 24
Joined: Tue Apr 16, 2019 5:57 pm

Re: Refinance Mega Thread

Post by Trust_In_TylerDurden »

Hello friends, i am in California and going to be doing refinancing soon. from all the discussions, i made this final list to go after:

LenderFi: https://app.lenderfi.com/p
Loan Cabin https://www.loancabin.com/rates/
Loan Depot https://www.loandepot.com/
Owning https://owning.com/
IM: https://www.interactivemortgage.com/
Better www.better.com

(a) Is there any other competitive lender that I am missing or should kick out of consideration?
(b) Also, any recommendations on what order I should get LE's that maximizes the outcome of the negotiation process? I heard better only gives you one day. Should I approach them last?
(c) currently i have $520+ outstanding loan in Jumbo and would like to refinance that. i would like to get a lower rate by getting out of the jumbo loan category.
i will be ready to start the refinancing within 45 days. when is the last date i can pay it off by? ---lets say $500K? is there a lag in reporting or is a letter from my mortgage provider sufficient at the last minute?
(d) i don't have a job right now, but i was a contractor for six months in the last two years. if i get a full time job and give them the first paycheck, is that enough or would they need more work history?
Last edited by Trust_In_TylerDurden on Mon Nov 02, 2020 2:33 pm, edited 1 time in total.
presto987
Posts: 368
Joined: Sun Aug 30, 2020 10:58 pm

Re: Refinance Mega Thread

Post by presto987 »

Trust_In_TylerDurden wrote: Sun Nov 01, 2020 9:28 pm Hello friends, i am in California and going to be doing refinancing soon. from all the discussions, i made this final list to go after:
a) That is a great list of lenders. I wouldn't add any.

b) Step 1: Figure out what your best offer is. Some tips below:

Loan Cabin - Start by checking out the website calculator, which tells you the lowest no-points rate. You'd get some lender credits with that rate, but the site doesn't show how much. Assuming the website rate looks favorable, I would apply to LC immediately when you are ready, and hopefully they get back to you soon, as their upfront pricing will probably be the best.

IM - Check out the advertised rates on their site and whether you meet the conditions to qualify. If you don't meet the conditions, they might still make you an offer at a higher rate. You can call to get a rate quote without having to do a full application.

LenderFi - If you qualify for IM's advertised rates, I doubt LF would be better, but if you don't, then submit an app to LF to find out their pricing. Don't go by their website pricing, as they tend to give better offers when you apply.

Owning - If looking to save time/effort, I would probably skip them as they are similar to IM but usually with worse advertised deals.

LoanDepot - You have to submit an app to get pricing. Most likely LD will be better for price matching rather than the one with the best initial offer.

Better - Similar to LD, most likely you'll be using them for price matching. But see if you can click through to them from Bankrate or Credit Karma, as you might actually get a good offer from them that way. You don't need to approach them last; you can start the process with them and just ask them to price match as you get better offers.

Step 2: If you don't already have one, get an LE from whoever gave the best offer.

Step 3: Price match. The two lenders in this list who are most willing to entertain beating other offers are Better and LD. Ask both to beat your best offer, and go with whoever does. If *both* Better and LD beat it, most likely LD will beat it by more. In that case, you can get an LE from LD and ask Better to beat that.

c) Depending on where in CA you live, $520k+ is not necessarily a jumbo. It may be considered a high balance conforming (super conforming). See this link: https://www.fhfa.gov/DataTools/Tools/Pa ... s-Map.aspx. If it's super conforming, then you can still work with these lenders. Still, in most cases your pricing will be better if you can get below $510k, except with IM, whose pricing is just as good for super conforming. So if you can get under $510k without too much trouble, that would probably help you, but it may not be necessary if you qualify for IM's advertised rates.

You don't have to worry about a lag in reporting; when you apply for the loan, you will tell the lender what you want your loan amount to be, and they will price based on that.

d) You will need a job in order to refi. I don't know the answer about the work history.
FreddyC
Posts: 36
Joined: Mon Jul 06, 2015 7:25 pm

Re: Refinance Mega Thread

Post by FreddyC »

Used a broker to lock a 2.49% 30 yr loan of almost $500k on 9/23 with nearly $6k of lender credits (the best rate LoanDepot offered was 2.25% with just over $2k in credits). Live in Fl- so various taxes and title insurance meant that the closing costs (not including prepaids/escrow) were almost $5500, so it was practically a wash (slight net gain for us) for the costs. Closed last week.
InvestDoc
Posts: 60
Joined: Sat Jan 13, 2018 12:54 am

Re: Refinance Mega Thread

Post by InvestDoc »

presto987 wrote: Sun Nov 01, 2020 11:50 pm
Trust_In_TylerDurden wrote: Sun Nov 01, 2020 9:28 pm Hello friends, i am in California and going to be doing refinancing soon. from all the discussions, i made this final list to go after:
a) That is a great list of lenders. I wouldn't add any.

b) Step 1: Figure out what your best offer is. Some tips below:

Loan Cabin - Start by checking out the website calculator, which tells you the lowest no-points rate. You'd get some lender credits with that rate, but the site doesn't show how much. Assuming the website rate looks favorable, I would apply to LC immediately when you are ready, and hopefully they get back to you soon, as their upfront pricing will probably be the best.

IM - Check out the advertised rates on their site and whether you meet the conditions to qualify. If you don't meet the conditions, they might still make you an offer at a higher rate. You can call to get a rate quote without having to do a full application.

LenderFi - If you qualify for IM's advertised rates, I doubt LF would be better, but if you don't, then submit an app to LF to find out their pricing. Don't go by their website pricing, as they tend to give better offers when you apply.

Owning - If looking to save time/effort, I would probably skip them as they are similar to IM but usually with worse advertised deals.

LoanDepot - You have to submit an app to get pricing. Most likely LD will be better for price matching rather than the one with the best initial offer.

Better - Similar to LD, most likely you'll be using them for price matching. But see if you can click through to them from Bankrate or Credit Karma, as you might actually get a good offer from them that way. You don't need to approach them last; you can start the process with them and just ask them to price match as you get better offers.

Step 2: If you don't already have one, get an LE from whoever gave the best offer.

Step 3: Price match. The two lenders in this list who are most willing to entertain beating other offers are Better and LD. Ask both to beat your best offer, and go with whoever does. If *both* Better and LD beat it, most likely LD will beat it by more. In that case, you can get an LE from LD and ask Better to beat that.

c) Depending on where in CA you live, $520k+ is not necessarily a jumbo. It may be considered a high balance conforming (super conforming). See this link: https://www.fhfa.gov/DataTools/Tools/Pa ... s-Map.aspx. If it's super conforming, then you can still work with these lenders. Still, in most cases your pricing will be better if you can get below $510k, except with IM, whose pricing is just as good for super conforming. So if you can get under $510k without too much trouble, that would probably help you, but it may not be necessary if you qualify for IM's advertised rates.

You don't have to worry about a lag in reporting; when you apply for the loan, you will tell the lender what you want your loan amount to be, and they will price based on that.

d) You will need a job in order to refi. I don't know the answer about the work history.
Excellent summary! The only thing I’d add is that Better seems to have limits on the loan balance, or they have higher rates for certain loan balances. I didn’t have any luck getting Better to beat Interactive’s current deal of 2.5% 0 cost. They said it’s because of my loan balance which is in the super conforming range (but not jumbo) in California. My LTV was <60% but I wonder if they only lend for conforming loans in California or just don’t offer as competitive of pricing. I’ve seen other posts here with people getting similar rates with Better, but they were with lower loan balances.
Last edited by InvestDoc on Mon Nov 02, 2020 10:27 am, edited 3 times in total.
Familyman2012
Posts: 145
Joined: Wed Jun 03, 2020 3:36 pm

Re: Refinance Mega Thread

Post by Familyman2012 »

Question:

My loan got transfer to Mr.cooper
Payment is due Nov 1st.
I’m still unable to even register my account. Tried calling the customer service line and can’t get a hold of anyone.

Does anyone know if they will charge a late fee or do you know if Mr.cooper has a buffer zone for new loans?

Thanks
presto987
Posts: 368
Joined: Sun Aug 30, 2020 10:58 pm

Re: Refinance Mega Thread

Post by presto987 »

InvestDoc wrote: Mon Nov 02, 2020 10:24 am Excellent summary! The only thing I’d add is that Better seems to have limits on the loan balance, or they have higher rates for certain loan balances. I didn’t have any luck getting Better to beat Interactive’s current deal of 2.5% 0 cost. They said it’s because of my loan balance which is in the super conforming range (but not jumbo) in California. My LTV was <60% but I wonder if they only lend for conforming loans in California or just don’t offer as competitive of pricing. I’ve seen other posts here with people getting similar rates with Better, but they were with lower loan balances.
Great point. Also, sometimes Better just can't beat your best offer. I am conforming (below $510k) but couldn't get Better to beat LC. LD was able to though.
lepa71
Posts: 343
Joined: Sat Mar 05, 2016 5:12 pm

Re: Refinance Mega Thread

Post by lepa71 »

Familyman2012 wrote: Mon Nov 02, 2020 10:25 am Question:

My loan got transfer to Mr.cooper
Payment is due Nov 1st.
I’m still unable to even register my account. Tried calling the customer service line and can’t get a hold of anyone.

Does anyone know if they will charge a late fee or do you know if Mr.cooper has a buffer zone for new loans?

Thanks
Most have 15 days grace preiod.
Hoosier CPA
Posts: 114
Joined: Tue Nov 22, 2016 9:43 pm

Re: Refinance Mega Thread

Post by Hoosier CPA »

Familyman2012 wrote: Mon Nov 02, 2020 10:25 am Question:

My loan got transfer to Mr.cooper
Payment is due Nov 1st.
I’m still unable to even register my account. Tried calling the customer service line and can’t get a hold of anyone.

Does anyone know if they will charge a late fee or do you know if Mr.cooper has a buffer zone for new loans?

Thanks
My better.com loan was also transferred to Mr Cooper. I wasn't able to register online until I called them. They did answer the phone and helped me through it. There is some kind of buffer for a transferred loan where they are not allowed to charge a late fee.
Familyman2012
Posts: 145
Joined: Wed Jun 03, 2020 3:36 pm

Re: Refinance Mega Thread

Post by Familyman2012 »

lepa71 wrote: Mon Nov 02, 2020 10:33 am
Familyman2012 wrote: Mon Nov 02, 2020 10:25 am Question:

My loan got transfer to Mr.cooper
Payment is due Nov 1st.
I’m still unable to even register my account. Tried calling the customer service line and can’t get a hold of anyone.

Does anyone know if they will charge a late fee or do you know if Mr.cooper has a buffer zone for new loans?

Thanks
Most have 15 days grace preiod.
I appreciate your reply.
Familyman2012
Posts: 145
Joined: Wed Jun 03, 2020 3:36 pm

Re: Refinance Mega Thread

Post by Familyman2012 »

Hoosier CPA wrote: Mon Nov 02, 2020 10:36 am
Familyman2012 wrote: Mon Nov 02, 2020 10:25 am Question:

My loan got transfer to Mr.cooper
Payment is due Nov 1st.
I’m still unable to even register my account. Tried calling the customer service line and can’t get a hold of anyone.

Does anyone know if they will charge a late fee or do you know if Mr.cooper has a buffer zone for new loans?

Thanks
My better.com loan was also transferred to Mr Cooper. I wasn't able to register online until I called them. They did answer the phone and helped me through it. There is some kind of buffer for a transferred loan where they are not allowed to charge a late fee.
I will try to get a hold of them. Appreciate your reply too.
tj
Posts: 3972
Joined: Thu Dec 24, 2009 12:10 am

Re: Refinance Mega Thread

Post by tj »

Trust_In_TylerDurden wrote: Sun Nov 01, 2020 9:28 pm Hello friends, i am in California and going to be doing refinancing soon. from all the discussions, i made this final list to go after:

LenderFi: https://app.lenderfi.com/p
Loan Cabin https://www.loancabin.com/rates/
Loan Depot https://www.loandepot.com/
Owning https://owning.com/
IM: https://www.interactivemortgage.com/
Better www.better.com

(a) Is there any other competitive lender that I am missing?
(b) Also, any recommendations on what order I should get LE's that maximizes the outcome of the negotiation process? I heard better only gives you one day. Should I approach them last?
(c) currently i have $520+ outstanding loan in Jumbo and would like to refinance that. i would like to get a lower rate by getting out of the jumbo loan category.
i will be ready to start the refinancing within 45 days. when is the last date i can pay it off by? ---lets say $500K? is there a lag in reporting or is a letter from my mortgage provider sufficient at the last minute?
(d) i don't have a job right now, but i was a contractor for six months in the last two years. if i get a full time job and give them the first paycheck, is that enough or would they need more work history?
People in the thread have mentioned RateRabbit
KB8KB24
Posts: 18
Joined: Mon Jul 27, 2020 9:22 pm

Re: Refinance Mega Thread

Post by KB8KB24 »

Trust_In_TylerDurden wrote: Sun Nov 01, 2020 9:28 pm Hello friends, i am in California and going to be doing refinancing soon. from all the discussions, i made this final list to go after:

LenderFi: https://app.lenderfi.com/p
Loan Cabin https://www.loancabin.com/rates/
Loan Depot https://www.loandepot.com/
Owning https://owning.com/
IM: https://www.interactivemortgage.com/
Better www.better.com

(a) Is there any other competitive lender that I am missing?
(b) Also, any recommendations on what order I should get LE's that maximizes the outcome of the negotiation process? I heard better only gives you one day. Should I approach them last?
(c) currently i have $520+ outstanding loan in Jumbo and would like to refinance that. i would like to get a lower rate by getting out of the jumbo loan category.
i will be ready to start the refinancing within 45 days. when is the last date i can pay it off by? ---lets say $500K? is there a lag in reporting or is a letter from my mortgage provider sufficient at the last minute?
(d) i don't have a job right now, but i was a contractor for six months in the last two years. if i get a full time job and give them the first paycheck, is that enough or would they need more work history?
I am currently going through Loancabin at it has already been more than 90 days and I am still in underwriting. Don't waste your time.
Dougiefresh
Posts: 40
Joined: Mon Dec 10, 2018 6:57 pm

Re: Refinance Mega Thread

Post by Dougiefresh »

presto987 wrote: Sun Nov 01, 2020 11:50 pm
Trust_In_TylerDurden wrote: Sun Nov 01, 2020 9:28 pm Hello friends, i am in California and going to be doing refinancing soon. from all the discussions, i made this final list to go after:
a) That is a great list of lenders. I wouldn't add any.

b) Step 1: Figure out what your best offer is. Some tips below:

Loan Cabin - Start by checking out the website calculator, which tells you the lowest no-points rate. You'd get some lender credits with that rate, but the site doesn't show how much. Assuming the website rate looks favorable, I would apply to LC immediately when you are ready, and hopefully they get back to you soon, as their upfront pricing will probably be the best.

IM - Check out the advertised rates on their site and whether you meet the conditions to qualify. If you don't meet the conditions, they might still make you an offer at a higher rate. You can call to get a rate quote without having to do a full application.

LenderFi - If you qualify for IM's advertised rates, I doubt LF would be better, but if you don't, then submit an app to LF to find out their pricing. Don't go by their website pricing, as they tend to give better offers when you apply.

Owning - If looking to save time/effort, I would probably skip them as they are similar to IM but usually with worse advertised deals.

LoanDepot - You have to submit an app to get pricing. Most likely LD will be better for price matching rather than the one with the best initial offer.

Better - Similar to LD, most likely you'll be using them for price matching. But see if you can click through to them from Bankrate or Credit Karma, as you might actually get a good offer from them that way. You don't need to approach them last; you can start the process with them and just ask them to price match as you get better offers.

Step 2: If you don't already have one, get an LE from whoever gave the best offer.

Step 3: Price match. The two lenders in this list who are most willing to entertain beating other offers are Better and LD. Ask both to beat your best offer, and go with whoever does. If *both* Better and LD beat it, most likely LD will beat it by more. In that case, you can get an LE from LD and ask Better to beat that.

c) Depending on where in CA you live, $520k+ is not necessarily a jumbo. It may be considered a high balance conforming (super conforming). See this link: https://www.fhfa.gov/DataTools/Tools/Pa ... s-Map.aspx. If it's super conforming, then you can still work with these lenders. Still, in most cases your pricing will be better if you can get below $510k, except with IM, whose pricing is just as good for super conforming. So if you can get under $510k without too much trouble, that would probably help you, but it may not be necessary if you qualify for IM's advertised rates.

You don't have to worry about a lag in reporting; when you apply for the loan, you will tell the lender what you want your loan amount to be, and they will price based on that.

d) You will need a job in order to refi. I don't know the answer about the work history.

Been awhile since I refinanced.
I have applied to Loan Cabin and Loan Depot.
Neither has "locked me in".
Loan Depot had a detailed proposal in their documentation.
Loan Cabin did not.
Is this the customary way that they operate?
Loan Depot is stating that they will beat Loan Cabins proposal, however, as it stands currently, Loan Depot has points and they are higher than the "rates off their website" which Loan Cabin sent me.
What typically happens next?
And what negotiating tactics does one use?
presto987
Posts: 368
Joined: Sun Aug 30, 2020 10:58 pm

Re: Refinance Mega Thread

Post by presto987 »

Dougiefresh wrote: Mon Nov 02, 2020 2:07 pm Been awhile since I refinanced.
I have applied to Loan Cabin and Loan Depot.
Neither has "locked me in".
Loan Depot had a detailed proposal in their documentation.
Loan Cabin did not.
Is this the customary way that they operate?
Loan Depot is stating that they will beat Loan Cabins proposal, however, as it stands currently, Loan Depot has points and they are higher than the "rates off their website" which Loan Cabin sent me.
What typically happens next?
And what negotiating tactics does one use?
Yes, this is all customary. You need to lock with LC in order to get a Loan Estimate. Once you have that, send to LD and ask them to beat.

To my knowledge, LC offers their best pricing upfront and doesn't negotiate, so if LD is able to beat them, I would lock with LD and move forward.

For anyone who wants to simplify their process and avoid shopping around with many lenders, this LC/LD combo is the most expedient way to get the best deal or very close to the best deal.
rnselv1
Posts: 1
Joined: Mon Nov 02, 2020 2:43 pm

Re: Refinance Mega Thread

Post by rnselv1 »

yogesh wrote: Sun Nov 01, 2020 8:29 pm Update: LD is closing under a month including appraisal; great experience with online portal/IM/emails
10/1: Quote from LF, Better and LD
10/5: Locked LE with Loan Depot 2.375 30yr/fixed
10/8: Underwriter conditional approval
10/12: Appraisal
10/23: Closing disclosure signature
10/27: Final approval
11/2-11/5: Closing
Can u PM ur LD contact plz?
Trust_In_TylerDurden
Posts: 24
Joined: Tue Apr 16, 2019 5:57 pm

Re: Refinance Mega Thread

Post by Trust_In_TylerDurden »

Excellent process and summary @presto987 and thanks to others who commented. super duper useful structure.
====
new question and comments below:

two new question:
1) during the negotation process and reading the quote, are there *ANY* red flags or sneaky things that I should watch out for?
2) i am comparing A+B+C+E-LC ? and get Title done from Radian if lower. correct?

other comments and questions below:

Better - Similar to LD, most likely you'll be using them for price matching. But see if you can click through to them from Bankrate or Credit Karma, as you might actually get a good offer from them that way. You don't need to approach them last; you can start the process with them and just ask them to price match as you get better offers.

<< and Better.com price 'beating' or competive rate is only good for 1 day. is that right? i read this somewhere on this forum.

c) Depending on where in CA you live, $520k+ is not necessarily a jumbo. It may be considered a high balance conforming (super conforming). See this link: https://www.fhfa.gov/DataTools/Tools/Pa ... s-Map.aspx. If it's super conforming, then you can still work with these lenders. Still, in most cases your pricing will be better if you can get below $510k, except with IM, whose pricing is just as good for super conforming. So if you can get under $510k without too much trouble, that would probably help you, but it may not be necessary if you qualify for IM's advertised rates.

<< again, excellent point and analysis presto. so, this is what i found, you were right---its more like $765,600 for contra costa country in california.
and it still sounds like, pricing will be better if i can get below $510k except with IM. So if IM has the most competitive price, i don't have to pay off an amount to bring it under $510k. does that sound right?


[/quote]
Can't Wait
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Joined: Wed Oct 28, 2020 8:03 am

Re: Refinance Mega Thread

Post by Can't Wait »

Does anyone know who LoanDepot usually sells their loans to?
presto987
Posts: 368
Joined: Sun Aug 30, 2020 10:58 pm

Re: Refinance Mega Thread

Post by presto987 »

Trust_In_TylerDurden wrote: Mon Nov 02, 2020 6:58 pm 1) during the negotation process and reading the quote, are there *ANY* red flags or sneaky things that I should watch out for?
2) i am comparing A+B+C+E-LC ? and get Title done from Radian if lower. correct?
1) If you have an LE, I think you should be in good shape. Since it is standardized, that helps prevent sneaky things. Check the lock period, interest rate, costs in A/B/C, and lender credit.
2) I would ignore E, as lenders use different numbers for E, but ultimately they will all wind up at the same place. So just compare A+B+C-LC.

Regarding title costs, some of the lenders mentioned here have great negotiated title rates that you are not going to beat by finding your own company. For example, IM had title costs in C that were extremely low. LenderFi and LD had rates that were as low as the best rate quote I got from Radian. LC is now using Radian as their default company, so you don't have to do anything there.

So among the lenders we've been talking about, Better is the main one where you can save money by getting a quote from Radian. With the rest, you'll probably be good with the default option. Also note that Radian only works with certain lenders. This includes Better and LC, but my guess is that they don't work with the other lenders we're talking about (though you can ask).
Trust_In_TylerDurden wrote: Mon Nov 02, 2020 6:58 pm << and Better.com price 'beating' or competive rate is only good for 1 day. is that right? i read this somewhere on this forum.
If you send Better a competing LE to price match, they ask for it to be dated within 1 business day, since rates are constantly changing. But YMMV; they might still consider a price match even if you're not within 1 day, especially if rates have fallen during that timeframe :).

Once they price match, I'm not sure how long you have to lock your rate, but I think it is 2-3 days. Once you lock, you can still ask for more price matches if you get improved LEs later in the process. With Better, you can ask for a price match at any point in the process and any number of times. There is no guarantee they will grant the match, but this is one of the nice aspects of working with Better.
Trust_In_TylerDurden wrote: Mon Nov 02, 2020 6:58 pm << again, excellent point and analysis presto. so, this is what i found, you were right---its more like $765,600 for contra costa country in california.
and it still sounds like, pricing will be better if i can get below $510k except with IM. So if IM has the most competitive price, i don't have to pay off an amount to bring it under $510k. does that sound right?
Correct. Some lenders (like IM) may not differentiate if you are conforming or superconforming. But generally it seems that you'll get better pricing if you're conforming.
RyanJud76
Posts: 24
Joined: Tue Aug 04, 2020 8:00 pm

Re: Refinance Mega Thread

Post by RyanJud76 »

I've got a general refinance question. I am looking to refinance my current mortgage with a cash-out refinance to help fund a home remodeling project. I live in Columbus, OH and our lender (Union Savings Bank) has local branches here in Columbus where my loan officer works out of and my closing was at one of the branches. I'm looking to contact a few of the lenders recommended in this thread (LenderFi, Loan Depot, and Better to name a few). Trying to get a general sense of how the closing process will ultimately work if we ultimately chose to refinance with one of these companies that is licensed to lend in Ohio, but don't have a local presence? I'm assuming they will use a local title company that will handle the closing and we'd meet somewhere (maybe our home) to complete the closing documents? Does this process seem accurate? Thanks in advance.
justsomeguy2018
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Joined: Wed Oct 03, 2018 8:11 pm

Re: Refinance Mega Thread

Post by justsomeguy2018 »

I completed my refi (closing is done) for 2.75%, no-cost ($800 credit actually), 30-yr fixed with LenderFi (started in mid-Sept). Is that good or should I have waited for lower rates?

Also does anyone know if LenderFi will be selling my loan soon and/or if they charge a fee to make additional principal payments? My old mortgagee charged a $5 convenience fee if you wanted to make additional principal payments online. :confused
zrzhu111
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Joined: Sun Sep 01, 2013 6:03 pm

Re: Refinance Mega Thread

Post by zrzhu111 »

I remember it was mentioned it's better to sign the final disclosure on Monday/Tuesday. I just spoke to a processor from Network Capital and was told they would send the final disclosure to me on 11/4, Wednesday and we can sign the documents with a notary Saturday. Should we delay sign the documents with notary till Monday or Saturday is the same as Monday? Thanks.
orangejelloh
Posts: 46
Joined: Fri Nov 11, 2016 11:02 am

Re: Refinance Mega Thread

Post by orangejelloh »

Going through my first refinance now and trying to understand how my last payment to my current lender will work.

We normally autopay our mortgage on the 7th (so our payment due 11/1 this month will get withdrawn 11/7.. more likely 11/9 this month). It looks like our refinance may close in the next 1-2 weeks.
Is there an advantage to sending our payment now instead of waiting? Will that help avoid issues with calculating the payoff amount?
If we will close before 11/15 can I not pay the 11/1 payment? Is that preferable since the principal will go into the loan with a lower rate? Or will I need to make this payment even if we close within the grace period since I owe the current lender their interest?

Thank you!
bgh11
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Joined: Wed Aug 05, 2020 4:58 am

Re: Refinance Mega Thread

Post by bgh11 »

zrzhu111 wrote: Mon Nov 02, 2020 9:56 pm I remember it was mentioned it's better to sign the final disclosure on Monday/Tuesday. I just spoke to a processor from Network Capital and was told they would send the final disclosure to me on 11/4, Wednesday and we can sign the documents with a notary Saturday. Should we delay sign the documents with notary till Monday or Saturday is the same as Monday? Thanks.
When is the disbursement date if you signed on Sat? I prefer to not get disbursed on Thur or Fri, funds sit in escrow over the weekend getting charged by new and old lenders.
bluebolt
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Joined: Sat Jan 14, 2017 9:01 am

Re: Refinance Mega Thread

Post by bluebolt »

RyanJud76 wrote: Mon Nov 02, 2020 9:39 pm I've got a general refinance question. I am looking to refinance my current mortgage with a cash-out refinance to help fund a home remodeling project. I live in Columbus, OH and our lender (Union Savings Bank) has local branches here in Columbus where my loan officer works out of and my closing was at one of the branches. I'm looking to contact a few of the lenders recommended in this thread (LenderFi, Loan Depot, and Better to name a few). Trying to get a general sense of how the closing process will ultimately work if we ultimately chose to refinance with one of these companies that is licensed to lend in Ohio, but don't have a local presence? I'm assuming they will use a local title company that will handle the closing and we'd meet somewhere (maybe our home) to complete the closing documents? Does this process seem accurate? Thanks in advance.
Yes, that's correct.
newguy123
Posts: 107
Joined: Tue Oct 13, 2020 8:44 am

Re: Refinance Mega Thread

Post by newguy123 »

Almost locked into 2.75 at 19 dollar ,but waited a few days and got a better deal , 300k cash out - 2.875 with 3300 lender credit (cost more in long term than the 2.75, but I am not keeping the loan for longer than 5-6 years)
Would I rather relax and make money or make money and relax ?
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