Cash-Out Refi Metrics

Non-investing personal finance issues including insurance, credit, real estate, taxes, employment and legal issues such as trusts and wills
Post Reply
Topic Author
3funder
Posts: 1458
Joined: Sun Oct 15, 2017 9:35 pm

Cash-Out Refi Metrics

Post by 3funder »

Please let me know if these metrics look decent (I think they do):

Loan Type: Conventional
Term: 15 years
Cash Requested: $100,000
Remaining Balance on Current Mortgage: $39,000
Total Loan Amount: $139,000
Loan Costs: $3,400
Other Costs/Prepaids, etc: $2,700
Total Closing Cost: $6,100
Interest Rate: 3.0%
APR: 3.27%
TIP: 24.43%

Thanks in advance for your thoughts.
Workinprogress
Posts: 58
Joined: Wed Mar 06, 2019 9:25 pm

Re: Cash-Out Refi Metrics

Post by Workinprogress »

Hi there,

I am no judge of the current cost of lending, but... that seems like a great deal of money to pay to get $93,900 in your pocket. Nearly 6.5%

Do you have any other options?
softwaregeek
Posts: 566
Joined: Wed May 08, 2019 8:59 pm

Re: Cash-Out Refi Metrics

Post by softwaregeek »

To be fair, that's a one time cost. The real cost is amortized over the term of the agreement.
Independent George
Posts: 903
Joined: Wed Feb 17, 2016 12:13 pm
Location: Chicago, IL, USA

Re: Cash-Out Refi Metrics

Post by Independent George »

Mathematically, it looks good. Practically... what do you need the money for? $39k is so close to being paid off, I don't think I could stomach going back into debt no matter how low the interest rate is.
Tribonian
Posts: 155
Joined: Thu Dec 21, 2017 7:33 am

Re: Cash-Out Refi Metrics

Post by Tribonian »

3.0 seems high for a 15 year term. Lenderfi is offering me 2.375 plus a lender credit.
Post Reply