Mortgage refi rates

[carmenere]

We bought last March and our lender reached out to us last week offering a 30 yr at 3.375 or 15 yr at 2.875 (potentially lower once they pull our credit). We’re debating whether the 30 or 15 makes more sense for us right now and hoping it will go lower.

[tacom]

Wow some of the rates here are insane!

Can I have advice? Below are the options our broker laid out for us yesterday. We purchased 11 mo ago and are not at 75% LTV yet, but maybe approaching. I’m thinking option 1. Most relevant info is my husband has minimal job security and we would likely have to leave the area to follow his career (and sell quickly) if he lost his job. If he keeps his job, I’d like to stay in our home for 10ish years.

———

1) 3.75% is coming with a $3,000 credit. The third party fees on a refinance add up to roughly $3,000 to $3,300. monthly savings is $339.78 or 100k+ over the remaining life of the loan.

2) 3.625% Does not have a credit, so we would be wrapping the costs into the loan amount. monthly savings would be $380.56. break even between option 1 and 2 is 3 years and 4 months.

[elcjet]

Well I locked two days ago at 3.5% for a 30-yr jumbo, no cost. I'm saving $500/month so I decided not to get too greedy and play this for too long!

[noodleoo]

Mar 3, 2020 20:34:29 GMT -5 madisen said:

I like starting with bankrate.com

I don’t have to put personal info in to be able to get quotes on my own scenario regarding - loan amount, refi type, estimated value, occupancy, state, and credit score.

Random question:  I put in my info to bankrate and it gave me a list of rates.  One local bank has a rate listed at 2.50%!  (for a 15 year fixed refi, no points) That's awesome!  But there is no link to apply and when I went to banks website directly, their rate is listed at 3.00%.  Do I need to apply and see what rate they give me?  I'm not sure if its worth the effort if it isn't the rate that bankrate showed.

I also emailed 2 mortgage brokers so we will see what happens!

[farmvillelover]

Mar 4, 2020 14:04:40 GMT -5 noodleoo said:

Mar 3, 2020 20:34:29 GMT -5 madisen said:

I like starting with bankrate.com

I don’t have to put personal info in to be able to get quotes on my own scenario regarding - loan amount, refi type, estimated value, occupancy, state, and credit score.

Random question:  I put in my info to bankrate and it gave me a list of rates.  One local bank has a rate listed at 2.50%!  (for a 15 year fixed refi, no points) That's awesome!  But there is no link to apply and when I went to banks website directly, their rate is listed at 3.00%.  Do I need to apply and see what rate they give me?  I'm not sure if its worth the effort if it isn't the rate that bankrate showed.

I also emailed 2 mortgage brokers so we will see what happens!

PM you

[madisen]

Mar 4, 2020 14:04:40 GMT -5 noodleoo said:

Mar 3, 2020 20:34:29 GMT -5 madisen said:

I like starting with bankrate.com

I don’t have to put personal info in to be able to get quotes on my own scenario regarding - loan amount, refi type, estimated value, occupancy, state, and credit score.

Random question:  I put in my info to bankrate and it gave me a list of rates.  One local bank has a rate listed at 2.50%!  (for a 15 year fixed refi, no points) That's awesome!  But there is no link to apply and when I went to banks website directly, their rate is listed at 3.00%.  Do I need to apply and see what rate they give me?  I'm not sure if its worth the effort if it isn't the rate that bankrate showed.

I also emailed 2 mortgage brokers so we will see what happens!

Yes, you would need to contact the lender and have them quote you specific to your scenario. Quoting rates online are heavily regulated and are not specific to your scenario. Rather than posting best case scenario rates that could be considered a bait and switch, a lot of lenders go with more of an average scenario. Lenders are not allowed to quote a rate that would not be available for the scenario.

[madisen]

Mar 4, 2020 8:10:37 GMT -5 tacom said:

Wow some of the rates here are insane!

Can I have advice? Below are the options our broker laid out for us yesterday. We purchased 11 mo ago and are not at 75% LTV yet, but maybe approaching. I’m thinking option 1. Most relevant info is my husband has minimal job security and we would likely have to leave the area to follow his career (and sell quickly) if he lost his job. If he keeps his job, I’d like to stay in our home for 10ish years.

———

1) 3.75% is coming with a $3,000 credit. The third party fees on a refinance add up to roughly $3,000 to $3,300. monthly savings is $339.78 or 100k+ over the remaining life of the loan.

2) 3.625% Does not have a credit, so we would be wrapping the costs into the loan amount. monthly savings would be $380.56. break even between option 1 and 2 is 3 years and 4 months.

I think this just depends on if you will be staying long enough to recoup the difference or not, but you do not know that for sure. So I suggest to go with the option that is more palatable to you today regarding out of pocket costs.

[awkwardpenguin]

Best I’ve found for a 30 year jumbo in my area is 3.25% fixed from our current lender. I haven’t been quoted even close to that online.

I anticipate rates will drop a bit more, I’m going to wait a bit. We’re at 3.625% now, so not bad if I mistime this.

ETA: farmvillelover, thanks for mentioning Navy Federal. Their rates look crazy low and we’re eligible for membership.

[farmvillelover]

Mar 5, 2020 22:30:21 GMT -5 awkwardpenguin said:

Best I’ve found for a 30 year jumbo in my area is 3.25% fixed from our current lender. I haven’t been quoted even close to that online.

I anticipate rates will drop a bit more, I’m going to wait a bit. We’re at 3.625% now, so not bad if I mistime this.

ETA: farmvillelover, thanks for mentioning Navy Federal. Their rates look crazy low and we’re eligible for membership.

I’d def follow up then bc we were quoted 2.75 for a 30 year with no points for navy fed. But of course there’s the origination fee for a refi which isn’t as high as a funding fee on a purchase.

[madisen]

Mar 6, 2020 9:55:24 GMT -5 farmvillelover said:

Mar 5, 2020 22:30:21 GMT -5 awkwardpenguin said:

Best I’ve found for a 30 year jumbo in my area is 3.25% fixed from our current lender. I haven’t been quoted even close to that online.

I anticipate rates will drop a bit more, I’m going to wait a bit. We’re at 3.625% now, so not bad if I mistime this.

ETA: farmvillelover , thanks for mentioning Navy Federal. Their rates look crazy low and we’re eligible for membership.

I’d def follow up then bc we were quoted 2.75 for a 30 year with no points for navy fed. But of course there’s the origination fee for a refi which isn’t as high as a funding fee on a purchase.

Does Navy Fed have a different origination fee for a refi vs a purchase? I'm not sure what a funding fee is.

ETA: Unless you're talking about VA or FHA specific loans. 

[RockNVoll]

Mar 6, 2020 9:55:24 GMT -5 farmvillelover said:

Mar 5, 2020 22:30:21 GMT -5 awkwardpenguin said:

Best I’ve found for a 30 year jumbo in my area is 3.25% fixed from our current lender. I haven’t been quoted even close to that online.

I anticipate rates will drop a bit more, I’m going to wait a bit. We’re at 3.625% now, so not bad if I mistime this.

ETA: farmvillelover , thanks for mentioning Navy Federal. Their rates look crazy low and we’re eligible for membership.

I’d def follow up then bc we were quoted 2.75 for a 30 year with no points for navy fed. But of course there’s the origination fee for a refi which isn’t as high as a funding fee on a purchase.

You're making me so sad that we don't quality for Navy Fed membership.

[mlkgls]

Are interest rates heavily affected by location? I’ve purchased two homes in my lifetime and I don’t think I realized this if true. I’m looking at the refinance rates displayed for my area (TX) and I’m not seeing rates anywhere near that low. At all.

[allhis]

We were at 3.25 for 15 yr term so figured wasn’t worth it, but was able to lock at 2.5 for another 15 yr today, $1500 in closing costs. We will keep our payment the same and end up saving $24,000+

[Mushe]

Mar 6, 2020 15:51:09 GMT -5 allhis said:

We were at 3.25 for 15 yr term so figured wasn’t worth it, but was able to lock at 2.5 for another 15 yr today, $1500 in closing costs. We will keep our payment the same and end up saving $24,000+

That’s awesome! Would you share where? Or is it easy to find that rate? Lol. We are at 3.375 and my husband doesn’t want to bother.

[allhis]

Mar 6, 2020 16:33:55 GMT -5 Mushe said:

Mar 6, 2020 15:51:09 GMT -5 allhis said:

We were at 3.25 for 15 yr term so figured wasn’t worth it, but was able to lock at 2.5 for another 15 yr today, $1500 in closing costs. We will keep our payment the same and end up saving $24,000+

That’s awesome! Would you share where? Or is it easy to find that rate? Lol. We are at 3.375 and my husband doesn’t want to bother.

I’m in Iowa, the bank we used is a small local one but I think it’s the going rate in the state at least from what I’ve heard? We have a bigger bank (Green State, formally University of Iowa Credit Union) that is also offering that rate with even lower closing, we are just loyal to our home town

[madisen]

Mar 6, 2020 15:15:36 GMT -5 mlkgls said:

Are interest rates heavily affected by location? I’ve purchased two homes in my lifetime and I don’t think I realized this if true. I’m looking at the refinance rates displayed for my area (TX) and I’m not seeing rates anywhere near that low. At all.

Location counts for knowing what the loan amount limits are, who's licensed or offers in that state, and the all around value of the loan due to servicing premiums. Servicing premiums are part of the all in value of the loan due to escrow rules and property taxes. The value is usually baked into the rate/costs a consumer would see.

[farmvillelover]

Mar 6, 2020 11:01:34 GMT -5 madisen said:

Mar 6, 2020 9:55:24 GMT -5 farmvillelover said:

I’d def follow up then bc we were quoted 2.75 for a 30 year with no points for navy fed. But of course there’s the origination fee for a refi which isn’t as high as a funding fee on a purchase.

Does Navy Fed have a different origination fee for a refi vs a purchase? I'm not sure what a funding fee is.

ETA: Unless you're talking about VA or FHA specific loans. 

I could be wrong, but I thought he said the VA refi with no cash out did not have the full 1% origination fee (I call it funding fee).

Mar 6, 2020 11:26:07 GMT -5 RockNVoll said:

Mar 6, 2020 9:55:24 GMT -5 farmvillelover said:

I’d def follow up then bc we were quoted 2.75 for a 30 year with no points for navy fed. But of course there’s the origination fee for a refi which isn’t as high as a funding fee on a purchase.

You're making me so sad that we don't quality for Navy Fed membership.

Don't feel too bad, bc I think that was for a VA loan.

[farfalla2011]

You guys have me wanting to look into another refi even though we just did one last summer (4.75 down to 3.75). Navy Federal's rates sound amazing and we can qualify for a VA loan plus I'm already a member. A mortgage in the 2s sounds amazing!

[RockNVoll]

Mar 8, 2020 10:54:24 GMT -5 farfalla2011 said:

You guys have me wanting to look into another refi even though we just did one last summer (4.75 down to 3.75). Navy Federal's rates sound amazing and we can qualify for a VA loan plus I'm already a member. A mortgage in the 2s sounds amazing!

We refi'ed about six months ago and are doing it again now. If the math works, it works.

[shaynaatl]

I know LenderFi has been very popular, but their webpage says they are no longer taking new applications.

[noodleoo]

Fuck, I screwed up. In trying to contact several lenders for quotes last week, we waited too long and now no one will call me back. They are all too busy to start new refis I guess. I'm so annoyed at myself. By trying to save small change I missed out on a huge savings. I guess we will just have to try again in a few weeks.

ETA: Nevermind, one of them finally called! Locked in 2.75%! YAY!!!

[madisen]

Mar 10, 2020 13:58:00 GMT -5 Cappy said:

Mar 6, 2020 9:55:24 GMT -5 farmvillelover said:

I’d def follow up then bc we were quoted 2.75 for a 30 year with no points for navy fed. But of course there’s the origination fee for a refi which isn’t as high as a funding fee on a purchase.

Does Navy Federal require to you escrow taxes and insurance? We have enough equity our current lender does not require it so I sometimes worry other places are not flexible on this. We are NFCU members and I'd love to refi to a shorter term. We bought in January 2019 (4.87), refi'd in August 2019 (3.87) and it would be nutty to refi again but I'd like to get down to a 15-20 year if the figures work.

Some states restrict lenders from requiring escrow accounts for taxes and insurance depending on the loan type, LTV, and credit quality of the borrower.

Navy Federal would have to play by the same rules as other lenders.

[lauren170]

I locked in 3.0% on a 30 year fixed today, with $3300 in closing costs. We were already at 3.5%, but our monthly payments will go down by $400. I hope this was a good move?

We will use the extra $400 to pay off debt for now, and hopefully in a few year, towards principal on the mortgage.

[mrsfarmer]

We locked a 15 year at 2.375% on Monday!

[aprilsails]

DH just got the ball rolling today and it looks as though we are going to go for it. We can get a 25 yr mortgage with a 5 yr fixed rate of 3.25. We currently have 3.95 from last June so the math works out that a $3,400 penalty will net us $12,000 or so.

Unfortunately between this, DH dumping his tax return into the market, and buying more blinds for the new house our spending account will be depleted again. I am coming to the conclusion that I will never have decent furniture or decor for the new house. FWP obviously.

[dr.girlfriend]

Mar 11, 2020 13:45:35 GMT -5 mrsfarmer said:

We locked a 15 year at 2.375% on Monday!

Whoa, I got 2.75 back in 2012 and this is the first rate I've seen lower than that!

[shaynaatl]

Looks like there was a huge increase in rates yesterday  Wells Fargo 30 yr Jumbo is now at 3.625% (typically has been at 3.25-3.375).
Reading that lenders are raising rates in order to curb volume. Hopefully this is just temporary.

[imojoebunny]

Mar 12, 2020 10:50:11 GMT -5 shaynaatl said:

Looks like there was a huge increase in rates yesterday  Wells Fargo 30 yr Jumbo is now at 3.625% (typically has been at 3.25-3.375).
Reading that lenders are raising rates in order to curb volume. Hopefully this is just temporary.

Thank you for posting this.  Reading about the toddler range rates people were posting about, I was starting to feel bad about the 3.25% on a 30 year we closed on today (not a jumbo), but now, I am glad we got it done.  It saves us 1% a year, in any case.  I feel like rates in Atlanta are often a bit more than some of the ones I see people posting on here sometimes.  The lowest we have ever had, which was the lowest the mortgage broker had ever seen, at the time, was a 15 year, on our last house, at 2.75%.  

[dietcoke]

3/9 we were quoted 2.75 for 15 years. By the time I got my shiz together we locked in at 3.1 on 3/13. I’m Annoyed by my delay and the increase but we are still down from 4.275 from our original 2017 mortgage rate.

[atarianna]

I checked rates today just out of curiously and saw even VA loans at 4.125%. Holy hell I cannot believe the HUGE change.