How low can we go? 30 yr fixed at 3.75% with no fees...

[woodburyowner]

Has anyone closed with Loan Cabin recently?  I'm on day 75 with no updates on what is going on.

One of the unfortunate side effects of these large volume lenders. What rate are you supposed to be getting with them?

I'm getting 2.625 30 yr w/ $8400 lender credit, conventional, appraisal waiver, no lender fees, standard 3rd party costs.  I'll continue to wait it out as the deal is just too good...

Took exactly 6 months from lock date to fund date.  Got the locked rate of 2.625% 30 year w/ $8400 credit.  Sections A+B+C totaled $1025.  Lots of back and forth with them during the last 6 months.  I'd estimate at least 100 e-mails and phone calls.  If you're up for the challenge, I'd recommend going with them.  If you want an easy refi that closes within a reasonable timeframe, I wouldn't touch them with a 10 foot pole. 

 

[usctrojancpa]

Has anyone closed with Loan Cabin recently?  I'm on day 75 with no updates on what is going on.

One of the unfortunate side effects of these large volume lenders. What rate are you supposed to be getting with them?

I'm getting 2.625 30 yr w/ $8400 lender credit, conventional, appraisal waiver, no lender fees, standard 3rd party costs.  I'll continue to wait it out as the deal is just too good...

Took exactly 6 months from lock date to fund date.  Got the locked rate of 2.625% 30 year w/ $8400 credit.  Sections A+B+C totaled $1025.  Lots of back and forth with them during the last 6 months.  I'd estimate at least 100 e-mails and phone calls.  If you're up for the challenge, I'd recommend going with them.  If you want an easy refi that closes within a reasonable timeframe, I wouldn't touch them with a 10 foot pole. 

Wow, that?s a long grueling refi time period.  I?m going on 2 months as I applied at the end of Nov and hoping to close by mid Feb. My problem is that I?m getting probed Bc I?m
Self employed plus rentals plus trading income plus cash moving around and a new auto loan n auto loan payoff. 

 

[Cares]

Has anyone closed with Loan Cabin recently?  I'm on day 75 with no updates on what is going on.

One of the unfortunate side effects of these large volume lenders. What rate are you supposed to be getting with them?

I'm getting 2.625 30 yr w/ $8400 lender credit, conventional, appraisal waiver, no lender fees, standard 3rd party costs.  I'll continue to wait it out as the deal is just too good...

Took exactly 6 months from lock date to fund date.  Got the locked rate of 2.625% 30 year w/ $8400 credit.  Sections A+B+C totaled $1025.  Lots of back and forth with them during the last 6 months.  I'd estimate at least 100 e-mails and phone calls.  If you're up for the challenge, I'd recommend going with them.  If you want an easy refi that closes within a reasonable timeframe, I wouldn't touch them with a 10 foot pole. 

Wow, that?s a long grueling refi time period.  I?m going on 2 months as I applied at the end of Nov and hoping to close by mid Feb. My problem is that I?m getting probed Bc I?m
Self employed plus rentals plus trading income plus cash moving around and a new auto loan n auto loan payoff.

Your lender just needs stronger underwriters. We do self-employed doctors, real estate agents, complicated incomes including multiple investment properties, etc. all the time and we are funding 30 days or so.

I have a client that took about 45 days but him and his wife are both doctors with s-corp and they have 30 doors of investments.

 

[sgip]

Re @Woodburyowner post regarding a 6 month wait to refi - and to clarify I know nothing of the complete deal/scenario @Woodburyowner had. This primarily is a message about expenses and nothing more than that.

It's nice to have a low rate. It's nice to have a large credit. That said, let's look at a "what if" -  What if the refinancers original loan was $500,000 at 3.50% and was also about 2 years old, the monthly interest carry on it would be around $1,330 per payment. After a 6 month wait for the refinance to gel together, the interest paid during that time comes to $7,980 - pretty close to the lender credit that was offered in the OP. Had the credit been smaller, but the closing done in 30 days, a refinance customer would have come out ahead compared to what was posted earlier in this thread.

It's very difficult when you're that deep into the process to turn around and start with someone else, perhaps at a different rate, perhaps with a smaller credit. There are sometimes compelling reasons to stick it out. I get it.

If you pursue a refinance and it takes more than 45 days to get done, perhaps it's not quite the deal a customer was originally sold on. When shopping around, rate is one thing, costs would be the second biggie, but third is delivery - how fast can it get accomplished, and what happens if it doesn't close as promised?

I'd recommend refinance rate shoppers add that 3rd criteria into their decision process before committing to work with company A, B, or C.

My .02c

 

[woodburyowner]

Re @Woodburyowner post regarding a 6 month wait to refi - and to clarify I know nothing of the complete deal/scenario @Woodburyowner had. This primarily is a message about expenses and nothing more than that.

It's nice to have a low rate. It's nice to have a large credit. That said, let's look at a "what if" -  What if the refinancers original loan was $500,000 at 3.50% and was also about 2 years old, the monthly interest carry on it would be around $1,330 per payment. After a 6 month wait for the refinance to gel together, the interest paid during that time comes to $7,980 - pretty close to the lender credit that was offered in the OP. Had the credit been smaller, but the closing done in 30 days, a refinance customer would have come out ahead compared to what was posted earlier in this thread.

Don't you have to subtract the new monthly interest (ie. 2.625%) from your old interest rate (ie. 3.50%).  It's about $350 a month savings on a $500k loan.  So the opportunity cost would be $1750 assuming the other lender closed in 1 month.

 

[sgip]

The savings are greater with a faster close.

In this example (not yours specifically) 6 months at $1,330 could have been 1 month at $1,330 with $500 month saved sooner if closed earlier with another company. Costs might have been different, as might the rate. There 10,000 variables here. The primary ideas are 1 - rate, 2 - costs/credit, and 3 - delivery. The longer the delivery and the carry costs associated, the less value there is in the lender credit. 

Longer turn times also mean the outside chance of NEVER closing - rare, but there are some companies that will not extend rates or collapse entirely before the deal is done.

My .02c

 

[ChiKid24]

Heads up that rates are coming back to the prior lows. If you missed it before, take another look. I closed with Lenderfi in August on a 30-yr at 2.75% for zero cost (credit to cover closing fees). They ask you to hold the loan for six months but offer a no cost redo if rates are 0.25% or more lower. Im coming up on that so called my loan officer there last week and was able to lock at 2.375%. Loan is just over $710k, so super conforming. Expect to close within a month.

 

[Cares]

Rates have gotten worse the last 2 days in a row. While they were headed back to prior lows they reversed direction. Mortgage bonds are below the 25 and 100 day moving average.

 

[usctrojancpa]

My refi loans got final approval on Friday and I am signing loan docs Thursday morning so closing on all 3 early next week.

 

[iacrenter]

My broker emailed me to refinance down to 1.99%, 15 year fixed, for a high conforming loan. He was going to charge $2000 and roll it into the loan. I'm currently @ 2.25% in a 15 year. Does this sound good?

 

[usctrojancpa]

My broker emailed me to refinance down to 1.99%, 15 year fixed, for a high conforming loan. He was going to charge $2000 and roll it into the loan. I'm currently @ 2.25% in a 15 year. Does this sound good?

Calculate the breakeven in terms of # of months.  If it's less than 36 months go for it (especially if you know you won't be selling anytime soon).

 

[Cares]

My broker emailed me to refinance down to 1.99%, 15 year fixed, for a high conforming loan. He was going to charge $2000 and roll it into the loan. I'm currently @ 2.25% in a 15 year. Does this sound good?

What is your loan amount? If you use $700k as a loan amount then your monthly savings are $84 which is about 24 months to breakeven.

How long have you been in your current loan though? If you are many years into it then resetting your loan might result in higher total interest paid.

New loan interest paid over 15 years: $110,240.90

If you are 3 years into your current loan: $82,106.60
If you are 2 years into your current loan: $95,624.16
If you are 1 year into your current loan: $110,064.40

 

[Cares]

You hate to see it. MBS down 56 bps today. That's A LOT for one day. Between Friday and today's pounding, I expect interest rates to be 0.25% higher on average.

 

[GenericIrvineResident]

Heads up that rates are coming back to the prior lows. If you missed it before, take another look. I closed with Lenderfi in August on a 30-yr at 2.75% for zero cost (credit to cover closing fees). They ask you to hold the loan for six months but offer a no cost redo if rates are 0.25% or more lower. Im coming up on that so called my loan officer there last week and was able to lock at 2.375%. Loan is just over $710k, so super conforming. Expect to close within a month.

2.375 for a 710k loan is pretty great. What's the monthly payments look like on that sized loan? $4k?


Was that the option where you pay 10k or so upfront to get that rate? I was given two options 2.5% at little to no closing costs and something like 2.375 if I put up 10k upfront. My loan size is a lot lower than 710 though.

 

[sgip]

Any AM rate and fee one might have heard of this morning is going to be significantly different this afternoon. Lock'em if you got 'em

SGIP

 

[Cares]

Yep, basically if you're quoted on rate you best ask the lender to lock it before any afternoon repricing happens.

 

[usctrojancpa]

I wonder if buyers will start pulling back a bit once rates cross 3% because I know the refi business will dry up quickly.

 

[Cares]

Certainly with supply/demand and price elasticity and sensitivity, buyers will slow down. Prices will stabilize and come back down a bit.

 

[usctrojancpa]

Certainly with supply/demand and price elasticity and sensitivity, buyers will slow down. Prices will stabilize and come back down a bit.

The market needs to slow down, it's crazy right now. I'd have a few buyers that went to the sidelines not because rates have moved up but because they have gotten buyer fatigue by getting constantly outbid.

 

[Cares]

Certainly with supply/demand and price elasticity and sensitivity, buyers will slow down. Prices will stabilize and come back down a bit.

The market needs to slow down, it's crazy right now. I'd have a few buyers that went to the sidelines not because rates have moved up but because they have gotten buyer fatigue by getting constantly outbid.

You know just this weekend my buyers put in a $1.2M offer for a $1.1M house thinking we would get a counter. Sellers accepted another offer without countering any offers. It's been quite ridiculous for buyers and honestly for myself I'm getting fatigued as well.