Closing Cost & Interest Rate

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wb

New member
Hi new homeowners, can anyone share info about closing cost & interest rate?  Thank you very much!
 
4.5% on high balance super conforming 30 year fixed. (45 day lock)
325 appraisal
1995 origination fee
125 for CA title
30 messenger fees
62 sub escrow fees
-4875 discount points (credit)

others will vary on house price.

This closed on Sept 3.
 
got a quote of 4.375% w/ 0 pts, not sure if it is a good rate.
I noticed the two big item in the estimated closing cost sheet are closing/escrow $2000 and title insurance policy $2500. are these reasonable? Thanks.
 
wb said:
got a quote of 4.375% w/ 0 pts, not sure if it is a good rate.
I noticed the two big item in the estimated closing cost sheet are closing/escrow $2000 and title insurance policy $2500. are these reasonable? Thanks.
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The escrow and title insurance policies are usually an estimate so they pad it a little so you won't get upset later.  If you are buying a new construction, the the escrow company has been set for you already.

For my new construction (Sonoma), I am going with same title insurance company as the escrow company, as they will give me a discount.
 
The sales office told me that we are paying for our own title insurance policy because it is new construction.  But what I heard was that the seller would
buy a title insurance for the buyer (to ensure they are selling you a property with clean title) and the buyer needs to buy a title insurance for the lender.
but it seems like I am paying both policies.  Is this the norm for new construction? Thanks.
 
The rate would depend on loan amount really. If it is below 417k, then that is a terrible rate.

I used Amerisave.com as a starting point as they have very aggressive pricing and their prices are net of all their fees. Other people say "zero points" and then add origination fees. Then take the Amerisave quote and shop it around to get a better deal. I was surprised how many people will "match" or beat competitors rates ala purchasing a car.

I did exactly that and got an even better deal from someone else.
 
Went to Santa Cruz this past weekend and the lender (BoA) had some papers which broke down some costs for Plan 3 at the base price of 722k.  They had the estimated closing cost on there and it was just under 10k.  Being a first time home buyer, I'm surprised how much these fees are. 
 
edhne said:
4.5% on high balance super conforming 30 year fixed. (45 day lock)
325 appraisal
1995 origination fee
125 for CA title
30 messenger fees
62 sub escrow fees
-4875 discount points (credit)

others will vary on house price.

This closed on Sept 3.
Click to expand...

Did this include title?  Was it for a SFR or a detached condo? I'm currently trying to refi my Coronado but the best I get is 4.625% for $3000 including title/title ins....
 
It was SFR and did not include title. I don't know what your LTV, credit and such are. But my title was about 2k for a purchase.

4.625 seems high if LTV is >80% and credit is above 720. did you plug in your assumptions at amerisave and see what it spit out?
 
There has been quite a reversal in rates since Monday what with the Fed essentially saying they are going to print more benjamins to keep the "recovery" on track. Any sort of rate quote you got last week is likely .125% lower across the board.

Another poster has had a similar issue with detached condo's being hit with a loan level price adjuster of .75% to fee. I can assure you that if your property is a detached condo, the LLPA is waived. Whomever you are speaking with about a refinance should review Fannie Mae's current LLPA documentation on Site (AKA Detached) condos to ensure the right price is given.

My .02c

Soylent Green Is People
 
Patrick Star said:
sgip said:
There has been quite a reversal in rates since Monday what with the Fed essentially saying they are going to print more benjamins to keep the "recovery" on track. Any sort of rate quote you got last week is likely .125% lower across the board.
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I locked 4.250% (w/1 pt) today on $650k.  Would have been 4.375% if I locked on Friday.  Patience is a virtue.
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Congrats on your home purchase. Did you end up buying in Irvine or Porter Ranch/Valley?
 
PS did you buy a place. Congratulations!!!!

I'm seeing 4.375% or 4.5% for no fee of any kind at a few places. no point/fees/or closing for <417K.

Patrick Star said:
sgip said:
There has been quite a reversal in rates since Monday what with the Fed essentially saying they are going to print more benjamins to keep the "recovery" on track. Any sort of rate quote you got last week is likely .125% lower across the board.
Click to expand...

I locked 4.250% (w/1 pt) today on $650k.  Would have been 4.375% if I locked on Friday.  Patience is a virtue.
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Patrick Star said:
edhne said:
Ya 4.25 seems high at 1pt if >= 80 LTV on 650 loan.
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So what is a good rate, as you see it?  I note that each of your comments says everyone else's rate "seems a bit high" --- so what is the right rate?  What was yours, I didn't catch that in your earlier posts?

Regardless, I'm very happy with 4.25%.  I was also happy with 4.375%. So I'm more happy now. And since I have to close in 30 days and don't have time to f*&k around on Amerisave all day and then call every lender in the book --- half of which will give me empty promises, I'm even happier to lock there.  I tend to be skeptical --- lenders can advertise all kinds of great deals.  But until it is actually locked, that's all speculation to me.  And since I'm a busy guy, I just have to go with my gut if it feels like a good deal.  And 4.250% feels good to Patrick Star today.
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Congrats on the upcoming purchase CK.  Are you gonna be staying in the Irvine area with us or will you be leaving us for LA County?  A 4.25% rate is fabulous. 

My buyer who will be closing this Friday got a rate of 4.00% at 1pt but that was for a mortgage of less than $417k (he caught the low point of rates towards the end of last month).  I believe the rate for a loan above $417k was around 4.125% with about 1pt at that time.
 
Just heard from a lender. A 60 day lock with zero points on a super-conforming mortgage is 4.375.  That's with the builders boa lender too.
 
nytransplant said:
Just heard from a lender. A 60 day lock with zero points on a super-conforming mortgage is 4.375.  That's with the builders boa lender too.
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A touch high, those builder lenders are just being lazy because they are working with a somewhat captive audience.  Turn the tables on them and shop the rate with a few other lenders.  If they are hungry enough for your business, they'll at least match the best offer you get from another lender.
 
nytransplant said:
Just heard from a lender. A 60 day lock with zero points on a super-conforming mortgage is 4.375.  That's with the builders boa lender too.
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This is the rate I got quoted for by one of our very own.... I'm hoping we get locked in today......
 
USCTrojanCPA said:
Patrick Star said:
edhne said:
Ya 4.25 seems high at 1pt if >= 80 LTV on 650 loan.
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So what is a good rate, as you see it?  I note that each of your comments says everyone else's rate "seems a bit high" --- so what is the right rate?  What was yours, I didn't catch that in your earlier posts?

Regardless, I'm very happy with 4.25%.  I was also happy with 4.375%. So I'm more happy now. And since I have to close in 30 days and don't have time to f*&k around on Amerisave all day and then call every lender in the book --- half of which will give me empty promises, I'm even happier to lock there.  I tend to be skeptical --- lenders can advertise all kinds of great deals.  But until it is actually locked, that's all speculation to me.  And since I'm a busy guy, I just have to go with my gut if it feels like a good deal.  And 4.250% feels good to Patrick Star today.
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First, I think the rate is great. I probably misworded my reply. How can a 4.25% rate be anything but great. What I thought was a bit high was the points needed to achieve that rate. If you don't have time to shop around, simply take the Amerisave quote which is 4.250 with all pts/origination fee of $1,160 for the loan you described (again, assuming 80LTV and great score, no impounds). I would consider that a solid deal. They will lock very quickly for you but if you don't trust Amerisave, then I guess the $5400 extra (assuming no origination fees for your loan) is well worth the time and confidence of it closing.

As for each of my comments saying something about someone else rates? I don't recall mentioning anything about anyone else's rates in my first two posts...I just shared how I got my loan and the costs. In my earlier posts, I posted the exact details of my loan which I locked in first week of August.
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