Refinance Mega Thread

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presto987
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Re: Refinance Mega Thread

Post by presto987 »

FAO89 wrote: Mon Nov 23, 2020 11:36 pm Tale of Two Loan Estimates: Which is Better?
Correct, LE #2 is a little better when considering A+B+C - lender credit.

You are right that E, F, G should be ignored for purposes of comparison. E are government charges that will wind up being the same, while F and G are things you would be paying regardless.
Calirefi2020
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Re: Refinance Mega Thread

Post by Calirefi2020 »

Pessimist55 wrote: Mon Nov 23, 2020 11:41 pm
Calirefi2020 wrote: Mon Nov 23, 2020 8:22 pm Quick question on HOA certification handling fee.. my current lender-Lenderfi did not charge this fee but my new LE with IM shows this charge..IM tells me it’s a 0 cost loan minus prepaid s and any potential HOA cert fees.. How common is this fee? Should I my pushback on my LO to cover this fees too?
This is part of closing costs. I told LF this and made them cover it for my no cost refi
I understand, however Lenderfi never even listed this fees in LE.. they listed bunch of other fees which they covered..Looks like this hoa fees is lender specific? I would like to know if IM paid HOA fees for others
Calirefi2020
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Re: Refinance Mega Thread

Post by Calirefi2020 »

BrandonBogle wrote: Thu Jun 18, 2020 8:52 pm
frankandbeans wrote: Thu Jun 18, 2020 8:46 pm LenderFi is the only place I'm aware of that includes it in their papers. It's not clear to me whether it's enforceable or how exactly they would enforce it. Any Bogleheads want to volunteer to find out? :D
In all likelihood (and remember, I do NOT have any personal experience here), they would include it in the fees listed with a payoff quote during those 6 months. Many lenders charge fees (usually not onerous though - my last one charged $20 for filing the satisfaction of mortgage) for whatever reason and include such in the payoff quote. I know another person mentioned she was very upset at her old lender for adding in hundreds of fees to pad their pockets. So I wouldn't be surprised if LenderFi would use such quotes to "enforce" the clawback.
Digging up this old thread.. I am in a similar boat, closed a loan with lenderfi a month ago and just started a new refin with IM due to rate drop. I cant find the clawback provision anywhere in Lenderfi's documentation. who can confirm these charges or lack there of? I don't want any surprises with big payoff charges when I get the new loan CD,thanks
houseofcheap
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Re: Refinance Mega Thread

Post by houseofcheap »

'Ponine wrote: Mon Nov 23, 2020 10:26 pm
houseofcheap wrote: Mon Nov 23, 2020 9:57 pm
'Ponine wrote: Mon Nov 23, 2020 9:53 pm Has anyone renegotiated to a lower rate or had a rate lock expires with Loan Cabin?
I locked a no cost (credit around 1k) with Loan cabin 60 days ago with a 60 day lock, which expired today. Current loan rates are 2.375 with a 60 day lock or 2.25 with a 30 day lock, both no cost. The person I'm working with said still need to pay the renegotaiton fee even though my lock expires because LC chose to extend it since the delay wasn't my fault.

(1) I called out how ridiculous this is since they shouldn't extend without my agreement when it is not in my benefit. How hard should I push on this? Obviously if market conditions had driven rates higher I'd be cool with that but why should I suffer for their delay? I would be saving monthly already if they closed when they should I should get the benefit of the market move. My loan officer isn't budging but I'm wondering if I should try to escalate. Wondering more about others experiences since I already know my pretty strong feelings about this.

(2) Anyone deal with a renegotiation fee with them and have a sense of the $$ we are talking about?

(3) Any ideas on how long they require loans to age before another refi?

Also any other lenders that could be as competitive? They have blown other lenders I've worked with out of the water so I feel stuck with them. I'll also be away for a couple months in mid-december and am worried timing would be tough if I started over at this point. Thanks so much for your thoughts.
They blew other lenders away with initial loan estimates or with service? Have you tried to get another loan company that can move a little faster to match or beat? Seems like you're close to the end so I doubt they'd want to lose you, but it does suck to have to pay fees even after a 60 day lock.
Sorry! My post wasn't clear. They blew others away in terms of rate - not service. My original lock was 2.65% no lender fees and credit toward closing (totally no cost with 3rd party fees covered would be 2.75 - I'm not sure which I will go with at this point may depend on how quickly they will let me refi again).

I don't have to pay to get the rate structure I locked but technically that lock expired. They are extending "as a courtesy" because the delay is not my fault but rates have dropped! I don't want to extend the current rate lock. I want today (or tomorrow's) rate structure which has improved to 2.375 (or 2.25 since I really only need a shorter lock period at this point)!

Thoughts?

Thanks.
In my opinion, I think that at this point they are invested enough in your loan that they would be inclined to try to work with you and not risk losing you to another lender. You have the right to walk if you want, however distasteful it seems. Personally, I won’t be leaving any money on the table. If you don’t think they can close soon or will try to update your rate then I’d take your loan estimate to Better, LoanDepot, LoanFi, or Amerisave and see if they can match/beat. I think those I listed are closing within 30 days right now.
'Ponine
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Re: Refinance Mega Thread

Post by 'Ponine »

Thanks so much. Does seem like it makes sense to shop it around again and hopefully that would give some leverage. Last time i had a hard time with Amerisave actually locking - they wanted me to update my mortgage statement before I locked which I didn't want to deal with especially since their rate wasn't so competitive.
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BrandonBogle
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Re: Refinance Mega Thread

Post by BrandonBogle »

Calirefi2020 wrote: Tue Nov 24, 2020 4:47 am
BrandonBogle wrote: Thu Jun 18, 2020 8:52 pm
frankandbeans wrote: Thu Jun 18, 2020 8:46 pm LenderFi is the only place I'm aware of that includes it in their papers. It's not clear to me whether it's enforceable or how exactly they would enforce it. Any Bogleheads want to volunteer to find out? :D
In all likelihood (and remember, I do NOT have any personal experience here), they would include it in the fees listed with a payoff quote during those 6 months. Many lenders charge fees (usually not onerous though - my last one charged $20 for filing the satisfaction of mortgage) for whatever reason and include such in the payoff quote. I know another person mentioned she was very upset at her old lender for adding in hundreds of fees to pad their pockets. So I wouldn't be surprised if LenderFi would use such quotes to "enforce" the clawback.
Digging up this old thread.. I am in a similar boat, closed a loan with lenderfi a month ago and just started a new refin with IM due to rate drop. I cant find the clawback provision anywhere in Lenderfi's documentation. who can confirm these charges or lack there of? I don't want any surprises with big payoff charges when I get the new loan CD,thanks
You can order a payoff quote yourself vs. waiting for another lender to do it. Then you can see exactly what’s outlined in the quote.
houseofcheap
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Re: Refinance Mega Thread

Post by houseofcheap »

'Ponine wrote: Tue Nov 24, 2020 11:34 am Thanks so much. Does seem like it makes sense to shop it around again and hopefully that would give some leverage. Last time i had a hard time with Amerisave actually locking - they wanted me to update my mortgage statement before I locked which I didn't want to deal with especially since their rate wasn't so competitive.
From my experience Amerisave is trying to match and beat offers more. Also Better holds this philosophy. They will require the appraisal deposit but if it is waived you will get it returned. Loan Depot and LenderFi kind of depend on the loan officer you get but they can surely beat offers.
pmorgan2020
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Re: Refinance Mega Thread

Post by pmorgan2020 »

Can someone please let me know who is IM lender?
Calirefi2020
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Re: Refinance Mega Thread

Post by Calirefi2020 »

pmorgan2020 wrote: Tue Nov 24, 2020 2:18 pm Can someone please let me know who is IM lender?
Interactive Mortgage
criticalmass
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Re: Refinance Mega Thread

Post by criticalmass »

Calirefi2020 wrote: Tue Nov 24, 2020 2:20 pm
pmorgan2020 wrote: Tue Nov 24, 2020 2:18 pm Can someone please let me know who is IM lender?
Interactive Mortgage
Note that Interactive Mortgage only does business in AZ, CA, CO, and TN. If your property is in the other 47 states/DC, then you need to shop elsewhere.

Better has an address of Leesburg, Virginia but does not do mortgage business in Virginia. Go figure.
Dungaravan1
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Re: Refinance Mega Thread

Post by Dungaravan1 »

6 months later...

I refinanced today with Loan Depot after an original refinance with Northpointe in May. These are my first and second experiences with a re-fi - some general thoughts and context:

1. Moved from a 15-year @ 2.37% to a 15-year @ 1.99. I was contacted directly from Loan Depot -- some sort of "save" team
2. Loan value = $335K. LTV = 35%. FICO = 800+. State = MN.
3. Total loan costs were $272. Originally they were $772 but Loan Depot offered another $500 in Lender Credits at the 11th hour
4. The process took <20 days start to finish. Loan Depot's digital tools were light years ahead of Northpointe and made the process very, very easy -- Loan Depot verified my income through my employer which avoided the need to provide documentation (e.g., W2s, etc.)

Thanks for all the help and guidance.
pmorgan2020
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Re: Refinance Mega Thread

Post by pmorgan2020 »

criticalmass wrote: Tue Nov 24, 2020 3:26 pm
Calirefi2020 wrote: Tue Nov 24, 2020 2:20 pm
pmorgan2020 wrote: Tue Nov 24, 2020 2:18 pm Can someone please let me know who is IM lender?
Interactive Mortgage
Note that Interactive Mortgage only does business in AZ, CA, CO, and TN. If your property is in the other 47 states/DC, then you need to shop elsewhere.

Better has an address of Leesburg, Virginia but does not do mortgage business in Virginia. Go figure.
Thank You calirefi2020 and criticallmass
sj2000
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Re: Refinance Mega Thread

Post by sj2000 »

sj2000 wrote: Sat Nov 21, 2020 4:01 pm Current mortgage is 4%. Based on this thread, got a quote from Better, Credible, LenderFI and Ally (current relationship.

Better and LenderFI were identical essentially the same offer. 2.8% 30 year and 2.6% 15 year fixed. Closing costs are in the $2k range after lender credit. Buying no points.

1. What do you think about rates? Mortgage balance is $218k and credit is ~ 815.

2. Since offers are about the same, how do I got about trying to get lower closing costs? Just call and ask them to waive appraisal, up lender credit, etc.? I assume they won’t since don’t have a competing offer?

Thanks!
Update. Based upon previous responses, I have been working with Better, LenderFI, LoanCabin and Ally. Better and LenderFI have been the most responsive and competitive. Better was very proactive in reaching out to me to understand what I wanted and what questions I had.

Went ahead and locked 2.5% 15 year fixed today with Better. Lender credit of ~ $1900 to offset A: $0, B: $614 and C: $1208. Better's customer service, willingness to compete for business, and technology platform have been excellent. The process for signing disclosures and uploading documentation was streamlined and intuitive. LenderFI's platform felt antiquated and they never called to follow up, but they sure did send a lot of emails. Hopefully the underwriting process and closing goes as well with Better. Thanks for the feedback/insight Bogleheads. I feel good about the results! :sharebeer
VCC
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Re: Refinance Mega Thread

Post by VCC »

FHFA announced the new conforming loan limits today for 2021 that range from 548,250 - 822,375. If you're close to the jumbo vs. conforming 2020 loan amount border & you're scheduled to close in mid December or later your lender may be able to change the loan amount if it makes sense for you. It usually takes a few weeks for the loans to be delivered to Fannie Mae/ Freddie Mac after closing, & the deivery date is the one that counts, not the closing or disbursement date.
Pessimist55
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Re: Refinance Mega Thread

Post by Pessimist55 »

Calirefi2020 wrote: Tue Nov 24, 2020 4:18 am
Pessimist55 wrote: Mon Nov 23, 2020 11:41 pm
Calirefi2020 wrote: Mon Nov 23, 2020 8:22 pm Quick question on HOA certification handling fee.. my current lender-Lenderfi did not charge this fee but my new LE with IM shows this charge..IM tells me it’s a 0 cost loan minus prepaid s and any potential HOA cert fees.. How common is this fee? Should I my pushback on my LO to cover this fees too?
This is part of closing costs. I told LF this and made them cover it for my no cost refi
I understand, however Lenderfi never even listed this fees in LE.. they listed bunch of other fees which they covered..Looks like this hoa fees is lender specific? I would like to know if IM paid HOA fees for others
I did my refi w LF And had them include it and reimburse it
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batpot
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Post by batpot »

In process w/ Semper @2.375 with about $1600 in closing.

Had not heard from them, and got another LE from Zillow Home Loans for 2.5% with a $1900 credit (a $4200 credit less closing costs).

Apparently the hang up with Semper is the current lender is dragging their feet getting a pay off estimate out.
I'm torn now about which way to go, but the math says the higher rate with a credit makes more sense.

Rates have been stable today...when is that 0.5% fee supposed to kick in, anyway?
pmorgan2020
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Re: Refinance Mega Thread

Post by pmorgan2020 »

Heard the lenders are already baking the 0.5% fee into the refinance. My current lender already provided a pay off estimate,if I decide to backoff from my current refinance can I still reinstate the relationship with my current lender and continue with the old terms?
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batpot
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Re: Refinance Mega Thread

Post by batpot »

pmorgan2020 wrote: Wed Nov 25, 2020 10:53 am Heard the lenders are already baking the 0.5% fee into the refinance.
Not from what I've seen. Rates took a dive in November, and I haven't seen that step function increase whatsoever.
pmorgan2020 wrote: Wed Nov 25, 2020 10:53 am My current lender already provided a pay off estimate,if I decide to backoff from my current refinance can I still reinstate the relationship with my current lender and continue with the old terms?
I'm sorry, why?
Goal33
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Re: Refinance Mega Thread

Post by Goal33 »

batpot wrote: Wed Nov 25, 2020 10:36 am In process w/ Semper @2.375 with about $1600 in closing.

Had not heard from them, and got another LE from Zillow Home Loans for 2.5% with a $1900 credit (a $4200 credit less closing costs).

Apparently the hang up with Semper is the current lender is dragging their feet getting a pay off estimate out.
I'm torn now about which way to go, but the math says the higher rate with a credit makes more sense.

Rates have been stable today...when is that 0.5% fee supposed to kick in, anyway?
Yes, or ask the current to go up .125 and provide a credit.
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BrandonBogle
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Post by BrandonBogle »

batpot wrote: Wed Nov 25, 2020 10:57 am
pmorgan2020 wrote: Wed Nov 25, 2020 10:53 am Heard the lenders are already baking the 0.5% fee into the refinance.
Not from what I've seen. Rates took a dive in November, and I haven't seen that step function increase whatsoever.
The rate doesn’t get impacted by the fee. The cost to get the rate is. For instance, if a lender said 2.75% at 0 points and 2.5% at 0.5 points, the 2.5% would now be 1 point. The offered rates continue to move with the market and with 100% certainty if the fee wasn’t around, people would get either larger credits or a lower rate for the same smaller credit they are getting today (applying the cost to “buying down” the rate).
pmorgan2020
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Re: Refinance Mega Thread

Post by pmorgan2020 »

batpot wrote: Wed Nov 25, 2020 10:57 am
pmorgan2020 wrote: Wed Nov 25, 2020 10:53 am Heard the lenders are already baking the 0.5% fee into the refinance.
Not from what I've seen. Rates took a dive in November, and I haven't seen that step function increase whatsoever.
pmorgan2020 wrote: Wed Nov 25, 2020 10:53 am My current lender already provided a pay off estimate,if I decide to backoff from my current refinance can I still reinstate the relationship with my current lender and continue with the old terms?
I'm sorry, why?
This is my first refinance and did not get a chance to shop around much,my current rate is floating and I hope the rate doesn't move north from here,
if it does I am better off with my old lender.
houseofcheap
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Re: Refinance Mega Thread

Post by houseofcheap »

Curious...what’s the consensus on shopping around on best rates having lenders beat each other’s offer? At what point is asking for counteroffers frowned upon?
Minty
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Post by Minty »

houseofcheap wrote: Wed Nov 25, 2020 12:51 pm Curious...what’s the consensus on shopping around on best rates having lenders beat each other’s offer? At what point is asking for counteroffers frowned upon?
Shopping offers is often the only way to get the lowest rate. My view is always shop, unless you are certain you have the best deal in hand already.
Core Four w/ nominal bonds & TIPS. Refi Rampage: Purchase: 3.875% 30 -> R1 3% 20 -> R2 2.375% 15 -> R3 1.99% 15
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BrandonBogle
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Post by BrandonBogle »

houseofcheap wrote: Wed Nov 25, 2020 12:51 pm Curious...what’s the consensus on shopping around on best rates having lenders beat each other’s offer? At what point is asking for counteroffers frowned upon?
For me, once I accept and sign the closing disclosures and have the mandatory 3 day wait until closing, I stop shopping around.
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batpot
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Post by batpot »

BrandonBogle wrote: Wed Nov 25, 2020 11:32 am
batpot wrote: Wed Nov 25, 2020 10:57 am
pmorgan2020 wrote: Wed Nov 25, 2020 10:53 am Heard the lenders are already baking the 0.5% fee into the refinance.
Not from what I've seen. Rates took a dive in November, and I haven't seen that step function increase whatsoever.
The rate doesn’t get impacted by the fee. The cost to get the rate is. For instance, if a lender said 2.75% at 0 points and 2.5% at 0.5 points, the 2.5% would now be 1 point. The offered rates continue to move with the market and with 100% certainty if the fee wasn’t around, people would get either larger credits or a lower rate for the same smaller credit they are getting today (applying the cost to “buying down” the rate).
6 of 1...
if all I'm looking at is a 0 fee rates, it just means the rate went up.

But I will concede that I don't know for a fact that the rate hike that occurred when the fee was announced in mid August, and the drop that occurred when it was delayed a couple weeks later, are directly correlated to the fee. It could have just been a hell of a coincidence.
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Cobra Commander
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Re: Refinance Mega Thread

Post by Cobra Commander »

houseofcheap wrote: Wed Nov 25, 2020 12:51 pm Curious...what’s the consensus on shopping around on best rates having lenders beat each other’s offer? At what point is asking for counteroffers frowned upon?
The problem I found when I was doing this back in July was that lenders wanted a LE dated within the past day but it often took a day for a lender to get back to me with an updated quote. Perhaps they were intentionally dragging their feet so as not to have to price match, I don't know. LenderFi provided me with a very competitive offer upfront though so I went with them.
pmorgan2020
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Re: Refinance Mega Thread

Post by pmorgan2020 »

Hello,
I have three options first option is 2.5 on 30 year with $3000 in costs ,second one is 2.62 with $1500 credit third option is 2.75 with $3000 credit.Somewhat confused which one to choose.....if the rates are heading north from here ,Iam considering to go with 2.5 with $3000 fees ,I will appreciate any other inputs.

Thanks
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batpot
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Post by batpot »

Cobra Commander wrote: Wed Nov 25, 2020 2:24 pm
houseofcheap wrote: Wed Nov 25, 2020 12:51 pm Curious...what’s the consensus on shopping around on best rates having lenders beat each other’s offer? At what point is asking for counteroffers frowned upon?
The problem I found when I was doing this back in July was that lenders wanted a LE dated within the past day but it often took a day for a lender to get back to me with an updated quote. Perhaps they were intentionally dragging their feet so as not to have to price match, I don't know. LenderFi provided me with a very competitive offer upfront though so I went with them.
This matches my experience.
Most of them will give you the best rate they can at any given moment, and it changes periodically throughout the day. They have freeze periods where the rates change, and can't lock you until the new period is opened.
Many on here have had success getting lenders to match, but those lenders never seem to be the lowest in the first place, so I don't bother with the haggle.

You do have to get your credit pulled, and submit all of your information before you can see what the actual closing costs are going to be for any given lender, though.
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batpot
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Post by batpot »

pmorgan2020 wrote: Wed Nov 25, 2020 3:35 pm Hello,
I have three options first option is 2.5 on 30 year with $3000 in costs ,second one is 2.62 with $1500 credit third option is 2.75 with $3000 credit.Somewhat confused which one to choose.....if the rates are heading north from here ,Iam considering to go with 2.5 with $3000 fees ,I will appreciate any other inputs.

Thanks
Use an online mortgage payment calc to see what the monthly difference is by adding the cost to the loan amount (e.g. if your loan is 100k, you'd do 103k at 2.5%, or 97k at 2.75).
Which one has the lowest monthly payment at that point?
And how long are you going to live in the house? Say there's a $30/mo difference between the highest rate and lowest rate, that's a $6k swing that = 200 months just to break even, assuming no additional principal payments.

Alternatively, conventional wisdom here has been take the lowest rate you can find w/ a credit.
pmorgan2020
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Post by pmorgan2020 »

Thank You!! this is helpful.
DVA79
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Post by DVA79 »

I locked a 20 year refinance this week. Part C of loan estimate is “Services You Can Shop For”. The total is $765.

Is this a good price? Is is worth shopping? I live in IL if that matters.

C. Services You Can Shop For $765

TITLE - CLOSING PROTECTION FEE - LENDER $25
TITLE - CLOSING PROTECTION LETTER - BUYER $50
TITLE - ELECTRONIC FILING FEE $10
TITLE - LENDER'S TITLE POLICY $300
TITLE - SETTLEMENT FEE $300
TITLE - WIRE FEE $80
pmorgan2020
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Post by pmorgan2020 »

Title costing me $2000+ here in NJ for refinance.You may want google “reissue title” it can potentially get you a lower rate.
sippyCUP
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Post by sippyCUP »

houseofcheap wrote: Wed Nov 25, 2020 12:51 pm Curious...what’s the consensus on shopping around on best rates having lenders beat each other’s offer? At what point is asking for counteroffers frowned upon?
Ended up going from a "good" to "outstanding" deal over the past 2 mo by negotiating religiously... saved $4500. I had to walk away from the initial lender with whom I had signed an "intent to proceed" form. Not how I usually do business, but to save $4500, sure. If you end up doing this, make sure there isn't a "liquidated damages" clause when you signed the intent to proceed. My landlord friend told me this would allow them to collect various money they might have already spent on the loan process, e.g. appraisal and such.

How to negotiate with loan officers. I tend towards email. "Hi, attached is a Loan Estimate from Lender A. Can your company beat this?"

A lot of loan officers out there are applying rookie "pressure" sales tactics. Keep your cool, don't rush, think things through.
sippyCUP
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Post by sippyCUP »

DVA79 wrote: Wed Nov 25, 2020 5:58 pm I locked a 20 year refinance this week. Part C of loan estimate is “Services You Can Shop For”. The total is $765.

Is this a good price? Is is worth shopping? I live in IL if that matters.

C. Services You Can Shop For $765

TITLE - CLOSING PROTECTION FEE - LENDER $25
TITLE - CLOSING PROTECTION LETTER - BUYER $50
TITLE - ELECTRONIC FILING FEE $10
TITLE - LENDER'S TITLE POLICY $300
TITLE - SETTLEMENT FEE $300
TITLE - WIRE FEE $80
In my experience (working on 3rd loan in 3 years), that is competitive. I'm paying $1000 next week for my title services and I'm good with it. Tried shopping locally, nothing better.

You might call a local title services co or two, just to ask for as estimate. Don't get drug into the whole process with another title services co, make it clear you just want a quick estimate from them before proceeding with them.

"Can you beat a total of $765 in fees?" would be the operative question, stated politely. They are all busy right now BTW.
pmorgan2020
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Post by pmorgan2020 »

Are there any advantages in timing a refinance? refinancing end of month vs beginning of a month for example
houseofcheap
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Post by houseofcheap »

DVA79 wrote: Wed Nov 25, 2020 5:58 pm I locked a 20 year refinance this week. Part C of loan estimate is “Services You Can Shop For”. The total is $765.

Is this a good price? Is is worth shopping? I live in IL if that matters.

C. Services You Can Shop For $765

TITLE - CLOSING PROTECTION FEE - LENDER $25
TITLE - CLOSING PROTECTION LETTER - BUYER $50
TITLE - ELECTRONIC FILING FEE $10
TITLE - LENDER'S TITLE POLICY $300
TITLE - SETTLEMENT FEE $300
TITLE - WIRE FEE $80

I also shopped title services. Went from an estimated $1400 on the Loan estimate to ~$800 with Radian Title services. So I'd say yours isn't bad.
houseofcheap
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Post by houseofcheap »

Can anyone help explain to me why I have so many prepaids in my loan estimate?

F. Prepaids
12 months of homeowners insurance
12 months of property taxes

G. Initial Escrow
2 months of homeowners insurance
2 months of property taxes

My taxes were just paid this month for the year from the current lender. Is there any reason they are having me prepay a full year other than to boost the total loan amount?
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BrandonBogle
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Post by BrandonBogle »

houseofcheap wrote: Wed Nov 25, 2020 10:08 pm My taxes were just paid this month for the year from the current lender. Is there any reason they are having me prepay a full year other than to boost the total loan amount?
Yes. The means they use to validate the tax payment for 2020 has been done didn’t reflect the payment when the loan estimate/closing disclosure was generated/prepared. Easy to rectify by them rerunning the check and/or you supplying proof of payment. If you are early in the process (not ready to close yet), this likely is their default near the end of the year and when things are checked for your closing disclosures, the Section F taxes will be dropped.
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Re: Refinance Mega Thread

Post by RobotsRock »

RobotsRock wrote: Fri Nov 06, 2020 10:02 pm Locked today with LenderFi in VA after using LoanCabin screenshot to shop around.

2.5% rate/APR for 30-year with $2600 lender credit to offset all closing costs (A+B+C=$1k, D=$1.6k, ~$450k balance, 65% LTV).

Best I could manage vs my goal at 2.375 in VA since LoanCabin not licensed in VA to get the 2.25% 0 point rate, and another lender was 2.5% at 0 points or 2.75% with a similar lender credit to cover closing costs.
Just wanted to post that my loan funded today.

11/6 - Applied and Locked Verbally
11/9 - Rate Lock Disclosure Received and Signed
11/12 - Moved to Processor
11/13 - Pre-Closing Closing Disclosure Signed
11/17 - Ready to Schedule Closing
11/19 - Closing
11/25 - Loan Funded (was supposed to be 11/24)

Less than 2 weeks between application and closing ain't bad at all. Probably helped that I literally responded to every data request within an hour if not minutes.
houseofcheap
Posts: 35
Joined: Mon Nov 16, 2020 11:11 pm

Re: Refinance Mega Thread

Post by houseofcheap »

RobotsRock wrote: Thu Nov 26, 2020 12:18 am
RobotsRock wrote: Fri Nov 06, 2020 10:02 pm Locked today with LenderFi in VA after using LoanCabin screenshot to shop around.

2.5% rate/APR for 30-year with $2600 lender credit to offset all closing costs (A+B+C=$1k, D=$1.6k, ~$450k balance, 65% LTV).

Best I could manage vs my goal at 2.375 in VA since LoanCabin not licensed in VA to get the 2.25% 0 point rate, and another lender was 2.5% at 0 points or 2.75% with a similar lender credit to cover closing costs.
Just wanted to post that my loan funded today.

11/6 - Applied and Locked Verbally
11/9 - Rate Lock Disclosure Received and Signed
11/12 - Moved to Processor
11/13 - Pre-Closing Closing Disclosure Signed
11/17 - Ready to Schedule Closing
11/19 - Closing
11/25 - Loan Funded (was supposed to be 11/24)

Less than 2 weeks between application and closing ain't bad at all. Probably helped that I literally responded to every data request within an hour if not minutes.
You got them to match a screenshot from loan cabin and not an official loan estimate? I'm jealous...2 weeks and still no response from Loan Cabin.
RobotsRock
Posts: 5
Joined: Tue Sep 15, 2020 10:14 pm

Re: Refinance Mega Thread

Post by RobotsRock »

houseofcheap wrote: Thu Nov 26, 2020 12:32 am
RobotsRock wrote: Thu Nov 26, 2020 12:18 am
RobotsRock wrote: Fri Nov 06, 2020 10:02 pm Locked today with LenderFi in VA after using LoanCabin screenshot to shop around.

2.5% rate/APR for 30-year with $2600 lender credit to offset all closing costs (A+B+C=$1k, D=$1.6k, ~$450k balance, 65% LTV).

Best I could manage vs my goal at 2.375 in VA since LoanCabin not licensed in VA to get the 2.25% 0 point rate, and another lender was 2.5% at 0 points or 2.75% with a similar lender credit to cover closing costs.
Just wanted to post that my loan funded today.

11/6 - Applied and Locked Verbally
11/9 - Rate Lock Disclosure Received and Signed
11/12 - Moved to Processor
11/13 - Pre-Closing Closing Disclosure Signed
11/17 - Ready to Schedule Closing
11/19 - Closing
11/25 - Loan Funded (was supposed to be 11/24)

Less than 2 weeks between application and closing ain't bad at all. Probably helped that I literally responded to every data request within an hour if not minutes.
You got them to match a screenshot from loan cabin and not an official loan estimate? I'm jealous...2 weeks and still no response from Loan Cabin.
Not really a match. More of a bargaining tool when I asked about their rate guarantee program before agreeing to a hard pull.
pmorgan2020
Posts: 62
Joined: Sun Nov 22, 2020 3:26 pm

Re: Refinance Mega Thread

Post by pmorgan2020 »

My closing date for refinance is within three days, is it a good idea to negotiate rate with lender using this bargaining tool(loan cabin screenshot)?
manatee2005
Posts: 1476
Joined: Wed Dec 18, 2019 9:17 pm

Re: Refinance Mega Thread

Post by manatee2005 »

houseofcheap wrote: Thu Nov 26, 2020 12:32 am
RobotsRock wrote: Thu Nov 26, 2020 12:18 am
RobotsRock wrote: Fri Nov 06, 2020 10:02 pm Locked today with LenderFi in VA after using LoanCabin screenshot to shop around.

2.5% rate/APR for 30-year with $2600 lender credit to offset all closing costs (A+B+C=$1k, D=$1.6k, ~$450k balance, 65% LTV).

Best I could manage vs my goal at 2.375 in VA since LoanCabin not licensed in VA to get the 2.25% 0 point rate, and another lender was 2.5% at 0 points or 2.75% with a similar lender credit to cover closing costs.
Just wanted to post that my loan funded today.

11/6 - Applied and Locked Verbally
11/9 - Rate Lock Disclosure Received and Signed
11/12 - Moved to Processor
11/13 - Pre-Closing Closing Disclosure Signed
11/17 - Ready to Schedule Closing
11/19 - Closing
11/25 - Loan Funded (was supposed to be 11/24)

Less than 2 weeks between application and closing ain't bad at all. Probably helped that I literally responded to every data request within an hour if not minutes.
You got them to match a screenshot from loan cabin and not an official loan estimate? I'm jealous...2 weeks and still no response from Loan Cabin.
Don't hold your breath for loan cabin, i'm waiting for 6 months lol
Jbanks1280
Posts: 8
Joined: Thu Nov 26, 2020 7:28 am

Re: Refinance Mega Thread

Post by Jbanks1280 »

Is it better mortgage or better lending everyone is using?
houseofcheap
Posts: 35
Joined: Mon Nov 16, 2020 11:11 pm

Re: Refinance Mega Thread

Post by houseofcheap »

Jbanks1280 wrote: Thu Nov 26, 2020 7:31 am Is it better mortgage or better lending everyone is using?
Better mortgage
Jbanks1280
Posts: 8
Joined: Thu Nov 26, 2020 7:28 am

Re: Refinance Mega Thread

Post by Jbanks1280 »

I have a credit union giving me 2.85 where I’m adding 4 K to my 280K loan to cover closing and a few months escrow. I know these guys are reliable and I could lock in now. Should I do that and refinance after with an online lender.

Loan depot currently is giving me 2.5 but I’m weary of being able to close in time. What happens if I lock in my rate but it takes them 61 days to close? I’m also nervous about the stimulus & the dec 1 fees impacting my ability to get me a good deal.

Please advise.
bholm83
Posts: 63
Joined: Sat Jun 01, 2019 12:48 pm

Re: Refinance Mega Thread

Post by bholm83 »

Jbanks1280 wrote: Thu Nov 26, 2020 2:13 pm I have a credit union giving me 2.85 where I’m adding 4 K to my 280K loan to cover closing and a few months escrow. I know these guys are reliable and I could lock in now. Should I do that and refinance after with an online lender.

Loan depot currently is giving me 2.5 but I’m weary of being able to close in time. What happens if I lock in my rate but it takes them 61 days to close? I’m also nervous about the stimulus & the dec 1 fees impacting my ability to get me a good deal.

Please advise.
I'm locking in at 2.75 with the majority of closing costs covered ($3700). I was told by my seller/builder I couldn't change lenders this late in the game (I close on Dec. 29) because online lenders can't guarantee they can close on time. I'm using caliber home loans which is the preferred lender of my builder so there shouldn't be any issues closing.

I was quoted at 2.5 from Amerisave a week ago with $2000 lower closing costs than Caliber. Bummed I didn't take action earlier but from what I understand as soon as I can close this 2.75 loan, i can just shop again and refinance into a lower rate (assuming rates stay low and it makes financial sense).

Keep in my mind too, depending on how much you are taking out to loan, and how long you plan to live in the house, paying a slightly higher rate might make financial sense. For me the difference is about $30 a month. I would have to own my home for over 10 years before I would the lower rate I was quoted at would make more sense.
pmorgan2020
Posts: 62
Joined: Sun Nov 22, 2020 3:26 pm

Re: Refinance Mega Thread

Post by pmorgan2020 »

bholm83 wrote: Thu Nov 26, 2020 2:28 pm
Jbanks1280 wrote: Thu Nov 26, 2020 2:13 pm I have a credit union giving me 2.85 where I’m adding 4 K to my 280K loan to cover closing and a few months escrow. I know these guys are reliable and I could lock in now. Should I do that and refinance after with an online lender.

Loan depot currently is giving me 2.5 but I’m weary of being able to close in time. What happens if I lock in my rate but it takes them 61 days to close? I’m also nervous about the stimulus & the dec 1 fees impacting my ability to get me a good deal.

Please advise.
I'm locking in at 2.75 with the majority of closing costs covered ($3700). I was told by my seller/builder I couldn't change lenders this late in the game (I close on Dec. 29) because online lenders can't guarantee they can close on time. I'm using caliber home loans which is the preferred lender of my builder so there shouldn't be any issues closing.

I was quoted at 2.5 from Amerisave a week ago with $2000 lower closing costs than Caliber. Bummed I didn't take action earlier but from what I understand as soon as I can close this 2.75 loan, i can just shop again and refinance into a lower rate (assuming rates stay low and it makes financial sense).

Keep in my mind too, depending on how much you are taking out to loan, and how long you plan to live in the house, paying a slightly higher rate might make financial sense. For me the difference is about $30 a month. I would have to own my home for over 10 years before I would the lower rate I was quoted at would make more sense.
Good thinking but I am curious if we should account for split wise savings instead of combined P + I savings. I noticed the split wise far more than combined P + I as we will be more principal and less in interest each month and that seems to amplify the savings far more than I anticipated.

For example on a 500k loan balance
@2.75 rate monthly payments are $2041
P = 895
I = 1146

@2.5 rate monthly payments are $1975
P = 934
I = 1042

Monthly payment difference is $66

Principal payment difference is $39
Interest payment difference is $104


What are the actual savings in this case
$66 or $143 (39 + 104) ?
robobub
Posts: 10
Joined: Thu Nov 26, 2020 4:56 pm

Re: Refinance Mega Thread

Post by robobub »

pmorgan2020 wrote: Thu Nov 26, 2020 3:22 pm
Good thinking but I am curious if we should account for split wise savings instead of combined P + I savings. I noticed the split wise far more than combined P + I as we will be more principal and less in interest each month and that seems to amplify the savings far more than I anticipated.

For example on a 500k loan balance
@2.75 rate monthly payments are $2041
P = 895
I = 1146

@2.5 rate monthly payments are $1975
P = 934
I = 1042

Monthly payment difference is $66

Principal payment difference is $39
Interest payment difference is $104


What are the actual savings in this case
$66 or $143 (39 + 104) ?
The actual savings is $66. In your calculation of the second loan, it should be (-39 + 104) = -65 (or presumably -66 with the cents included). This makes sense: with a lower interest rate, more of your payments will be going towards principle.
robobub
Posts: 10
Joined: Thu Nov 26, 2020 4:56 pm

Re: Refinance Mega Thread

Post by robobub »

pmorgan2020 wrote: Wed Nov 25, 2020 7:01 pm Are there any advantages in timing a refinance? refinancing end of month vs beginning of a month for example
No, this is accounted for in the payoff statement, which adds interest down to the exact date of closing the loan.
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