Refinance Mega Thread

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Qw1221wq
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Re: Refinance Mega Thread

Post by Qw1221wq »

seawolf21 wrote: Thu Jun 17, 2021 8:38 am
Renzi wrote: Wed Jun 16, 2021 8:38 pm Just finished shopping around and locked with Better, 2.875% 30yr 75% LTV. No points and $1,400 lender credit. TX so closing costs are around $3,000, netting $400-500 after the credit. Would have been $1,400-1,500 net, but pricing changed today and I didn't lock in time. Previous pricing was 2.75% with $300 credit, putting me about $700 away from no-cost, or 2.875% with $2,400 lender credit. Better's initial offer was the best I received even after shopping around (even without the credit), and if you call and speak to them to get the AMEX credit, the pricing is slightly better. I'm coming from a 3% rate and getting rid of PMI, no appraisal required.

My understanding is I can refi again and still claim the credit as long as the offer is valid. I refied with Better in Apr 20 and got the $2,500 amex credit then as well, so figured I would lock in the slight reduction and remove PMI now. Should have moved a bit quicker today though.
I seen similar as well. Last year, better's offer were uncompetitive without making use of price match guarantee. Their initial offers now are actually very competitive.
Jags4186 wrote: Thu Jun 17, 2021 8:17 am
Qw1221wq wrote: Thu Jun 17, 2021 8:03 am
Jags4186 wrote: Thu Jun 17, 2021 7:31 am
BrandonBogle wrote: Mon Jun 14, 2021 6:46 pm

A. $296k @ 29 years @ 2.875% = $140,956 interest
B. $296k @ 30 years @ 2.75% = $139,295 interest
C. $296k @ 29 years @ 2.75% (by paying over the monthly minimum) = $134,140 interest

A = $0 saved
B = $140,956 - $139,295 = $1,661 - $2,450 (closing costs) + $800 (reissue improvement) = $11 + $938 (lender credits) + $2k (Amex bonus) = $2,949 saved
C = $140,956 - $134,140 = $6,816 - $2,450 + $800 = $5,166 + $938 + $2k = $8,104 saved

Given those choices, I know which one I would pick!
Looks like I waited a little too long. I went from a $958 credit to needing to pay $1465 in points to get a 2.75% rate. We’ll see what happens over the next couple weeks. That $2000 AMEX credit isn’t going anywhere for a little while.
What is a reissue rate and how do we request it?
If you refinance within 12 months of the last loan closure they can provide title insurance at a cheaper rate called a reissue rate. It saves you about 50% off title insurance. You just have to ask.
I didn't see a state mentioned so just throwing it out there that whether there is a reissue rate depends on state.

FWIW - There was a big jump in 10 year treasury yield yesterday afternoon after the Federal Open Market Committee.
How about CA? That is the most consumer friendly state in the nation. Is there a list somewhere?
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BrandonBogle
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Re: Refinance Mega Thread

Post by BrandonBogle »

Qw1221wq wrote: Sat Jun 19, 2021 10:19 am How about CA? That is the most consumer friendly state in the nation. Is there a list somewhere?
If I recall correctly (and easily could be wrong), CA doesn’t offer a reissue rate per se, but it is customary for most of the providers to provide a discount to repeat customers.
LuckyOz
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Re: Refinance Mega Thread

Post by LuckyOz »

Which loan providers have self employed applicants had the most positive experience with (As well as any who gave a negative experience)?
CaptainCrunch
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Re: Refinance Mega Thread

Post by CaptainCrunch »

What's the easiest way to get a loan estimate for a rate match?

Currently in contract, scheduled to close in 2 weeks.
I would like to get a competitive rate quote from another bank, and use it for my current bank to match.

The usual route would be to send all the documents and do an actual application with credit check. Turn around is typically 2 days.
Any faster/more convenient way?
Familyman2012
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Re: Refinance Mega Thread

Post by Familyman2012 »

Meeting the notary this Friday.
15 year 1.875% no cost no escrow with better.com Refund check of $700. Plus Amex $2000. 4 refinance in 1 year. Went from 4.25 25 years to 1.875 15 years. Probably be my last refinance unless I can get a 1.75 no cost in 6 months so I can qualify for Amex again. But happy where we’re at after 1 year of hustling between lenders. All refinance was no cost and made money from it. It was worth the work and back and forth. I went from Owing $230k of interest to 48k of interest. Going to bed happy. Thanks to all
rsx747
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Re: Refinance Mega Thread

Post by rsx747 »

New to this so would appreciate any advice.

Doing a cash out refinance on a family owned home to buy out 50% ownership and add myself to the deed.
I am very credit worthy according to the lenders i shopped around.

Better.com provided me with:
Loan Amount 640K 30 year Fixed 3.375% Monthly P&I 2,829.42
22,668 closing costs : Includes $5,570 in Loan Costs + $19,852 in Other Costs - $2,754 in Lender Credits.

Rocket provided me with:
Loan Amount 640K 30 year Fixed 3.3% Monthly P&I 2,802.91
Did not get into closing costs yet because I was thinking about a higher rater for 6 months to get more credits on closing

I keep reading rates of high twos. I am being told that when i do the rate and term i will be able to get to that rate because it is less risky than a cash out. Is this true?

My situation is that I need a co-borrower who is already on title to maintain continuity of ownership however after 6 months I would do a rate and term to take them off the mortgage and just leave myself on it.

Is it better to take a higher rate to get more off on closing considering I would be doing the rate and term in 6 months?
vv19
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Re: Refinance Mega Thread

Post by vv19 »

Didn't know Amex card holders are getting credit with better.com

I am closing with them on Tue - signed the CD today. Is it too late to get the credit?
mceagle555
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Re: Refinance Mega Thread

Post by mceagle555 »

jay22 wrote: Thu Jun 24, 2021 2:43 pm Didn't know Amex card holders are getting credit with better.com

I am closing with them on Tue - signed the CD today. Is it too late to get the credit?
Not too late. Call your loan processor and get them to add the task to your portal (BEFORE YOU CLOSE).
christoph_kohl
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Re: Refinance Mega Thread

Post by christoph_kohl »

Slightly disappointed that Radian Title Services no longer work with Better Mortgage Corporation.
Were there any other nationwide "boglehead-approved" Title Companies out there?

I'm in Texas (if someone has a Texas-specific Title company to recommend).
christoph_kohl
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Re: Refinance Mega Thread

Post by christoph_kohl »

Thought this might be a good resource for anyone checking 30-year fixed-rate mortgage rates.

(not a direct measurement, but I figure its somewhat related)
https://singlefamily.fanniemae.com/impo ... year-fixed
raixx017
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Re: Refinance Mega Thread

Post by raixx017 »

Familyman2012 wrote: Tue Jun 22, 2021 6:57 pm Meeting the notary this Friday.
15 year 1.875% no cost no escrow with better.com Refund check of $700. Plus Amex $2000. 4 refinance in 1 year. Went from 4.25 25 years to 1.875 15 years. Probably be my last refinance unless I can get a 1.75 no cost in 6 months so I can qualify for Amex again. But happy where we’re at after 1 year of hustling between lenders. All refinance was no cost and made money from it. It was worth the work and back and forth. I went from Owing $230k of interest to 48k of interest. Going to bed happy. Thanks to all
That's a great deal. Congrats !
Do you mind sharing LTV ? Also, did you have to do a lot of shopping and rate matching?
Inframan4712
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Re: Refinance Mega Thread

Post by Inframan4712 »

BrandonBogle wrote: Sat Jun 05, 2021 11:46 am
Inframan4712 wrote: Sat Jun 05, 2021 11:15 am Thanks for the reply. I already addressed this in a post just a couple after my first. The difference is $3500 out of $389,000 paid in principal and interest. Not worth the hassle of a refinance. Probably not worth it at all given inflation and the marginal loss of the tax deduction difference. And yes I do benefit from itemizing.

Have you actually done this with all of your refinances? How much will you really have saved over your 15 or 30 year horizon vs just taking one refinance at an attractive rate and starting the clock?

The important thing I want to stress is that the break even point is not what the websites tell you. It’s not the simple calculation of closing costs divided by monthly payment savings. Because your current rate is effectively lower than when you started because you have paid some of the interest. If you refinance and don’t shorten the term you haven’t accomplished much and you may lose money.
$3,500 is nothing to sneeze about, but each of us needs to determine how much work/frustrating we are willing to deal for it.

Personally, I would do it since I know Better’s process well and typically after about three or four hours of work, I’m just waiting for closing. But I’m a cookie-cutter customer with a W2 and plenty of taxable and tax-advantaged assets to throw at qualifications. I also don’t list everything. I list one or two big accounts and ignore the rest to avoid needing to send more statements. Also, three of my five Better refis have been with the same loan office, and two with the same processor.

For each of my refis, I’ve walked away with thousands. The profit from them paid for my solar system (10 kW), new gutters, and this one will pay some of my new windows being installed in August.
After initial hesitancy, I've decided to move forward with Better now that I can get the Amex credit. I've completed all my Better tasks, including Amex verification, so I'm good there.

I tried to read recent pages of this mega-thread, but need to ask a couple questions.

1. Can you recommend a title company? My current loan was a refinance over 12 months ago. I'm in South Carolina.
2. What's the best way to get Better to match another rate? Here are my numbers:


$330k loan, 2.25%, 15-year 75% LTV

A. Origination - $0
B. $614
C. $1078 (various Title fees that I Can Shop For)
D. TOTAL LOAN COSTS (A + B + C) $1,692
E. $25
I. TOTAL OTHER COSTS (E + F + G + H) $3,145 (prepaids, escrow)

So, $1692-$2000 (amex credit) = $308 profit

I'll have (obviously) a lower payment going forward. I'll continue to make the same (higher) payment that I am now, and pay off the loan that much faster, as was suggested here.
Familyman2012
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Re: Refinance Mega Thread

Post by Familyman2012 »

raixx017 wrote: Thu Jun 24, 2021 11:10 pm
Familyman2012 wrote: Tue Jun 22, 2021 6:57 pm Meeting the notary this Friday.
15 year 1.875% no cost no escrow with better.com Refund check of $700. Plus Amex $2000. 4 refinance in 1 year. Went from 4.25 25 years to 1.875 15 years. Probably be my last refinance unless I can get a 1.75 no cost in 6 months so I can qualify for Amex again. But happy where we’re at after 1 year of hustling between lenders. All refinance was no cost and made money from it. It was worth the work and back and forth. I went from Owing $230k of interest to 48k of interest. Going to bed happy. Thanks to all
That's a great deal. Congrats !
Do you mind sharing LTV ? Also, did you have to do a lot of shopping and rate matching?
My LTV is around 53%, This refi was actually my easiest one. Just had to match once. My other refi’s I had to go back and forth multiple times with lots of emails. I’m sure I could’ve gotten more lender credit if I put in more effort. But I was happy with what I got on top of Amex.
tunerunner
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Re: Refinance Mega Thread

Post by tunerunner »

8 years into 3.125% 30-year. Making extra payments I am making would have loan paid off in about 14-15 years. Looking at 15-year refi rates I would buy get me 2.75% with $157 credit, just over $1k closing, waived appraisal and with the $2k amex credit, seems like a no brainer? About 115k left on current mortgage, LTV is 41%
Inframan4712
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Re: Refinance Mega Thread

Post by Inframan4712 »

mceagle555 wrote: Fri Jun 11, 2021 1:32 pm
Krautz wrote: Fri Jun 11, 2021 11:32 am Hello Everyone!

Been following these boards for a few months now, learning as much as I can. Yesterday Mr Kraut & I attempted to get a refinance with Better & while approved, they are refusing to adjust their APR to the one they promoted on bankrate.com, even when submitting a screenshot.

Our LO initially told us that they cannot match because we chose a 60 day close. We did not, there was nothing in application process allowing us to choose how long to close. This was fine on their end.

Then we were told that their system set the 60 day time period because we have a HELOC (zero balance, never used) that we are keeping. We were told this delays processing because of subordination rules.

Then we were told their pricing team would review our better APR off bankrates site. We just received this email reply:
“The pricing team let me know that we do not match advertised APR on bankrate because it takes into account different considerations than the specific numbers we have on file from you. They can only match points, and because the 2.375% is being offered with credits in the portal they will not be able to make any adjustments.”

I have seen other members post they have success with Better matching their rates on Bankrate. Did we just get unlucky with our Better LO? Any advice on how to proceed?

Thank you in advance for replies! This is my first post, please accept my apologies if my post is ill written or formatted.
Mrs.K
I think you correctly identified that the HELOC is what is causing the issues. There are a WIDE variety of factors that affect the rate you can get, the main ones being credit score, zip code, amount of loan, etc...

Better does a great job matching their OWN rate on Bankrate.com (I had them do it 3 days ago.)

Is there a reason you need the HELOC with a $0 open? Why not close it and then go through with your refi?
How did you get them to match their own rate on Bankrate? I just tried by sending an email to my processor and they refused. They said they would TRY to match a competitor rate.
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simplesimon
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Re: Refinance Mega Thread

Post by simplesimon »

tunerunner wrote: Fri Jun 25, 2021 12:11 pm 8 years into 3.125% 30-year. Making extra payments I am making would have loan paid off in about 14-15 years. Looking at 15-year refi rates I would buy get me 2.75% with $157 credit, just over $1k closing, waived appraisal and with the $2k amex credit, seems like a no brainer? About 115k left on current mortgage, LTV is 41%
I believe 2.75% on a 15-year fixed right now is considered high.
vv19
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Re: Refinance Mega Thread

Post by vv19 »

tunerunner wrote: Fri Jun 25, 2021 12:11 pm 8 years into 3.125% 30-year. Making extra payments I am making would have loan paid off in about 14-15 years. Looking at 15-year refi rates I would buy get me 2.75% with $157 credit, just over $1k closing, waived appraisal and with the $2k amex credit, seems like a no brainer? About 115k left on current mortgage, LTV is 41%
Pretty sure you can do better. I got 2.75% at 30 years fixed with enough credit to cover all closing costs including appraisal.
tunerunner
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Re: Refinance Mega Thread

Post by tunerunner »

jay22 wrote: Fri Jun 25, 2021 12:28 pm
tunerunner wrote: Fri Jun 25, 2021 12:11 pm 8 years into 3.125% 30-year. Making extra payments I am making would have loan paid off in about 14-15 years. Looking at 15-year refi rates I would buy get me 2.75% with $157 credit, just over $1k closing, waived appraisal and with the $2k amex credit, seems like a no brainer? About 115k left on current mortgage, LTV is 41%
Pretty sure you can do better. I got 2.75% at 30 years fixed with enough credit to cover all closing costs including appraisal.
Thanks. It does seem a little high. Some people on SD said their rates went down after a hard pull with Better. Wonder if that would be the case for me if I went forward...

Does Better wiggle on the rates at all if I pushed back?
vv19
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Re: Refinance Mega Thread

Post by vv19 »

tunerunner wrote: Fri Jun 25, 2021 12:34 pm
jay22 wrote: Fri Jun 25, 2021 12:28 pm
tunerunner wrote: Fri Jun 25, 2021 12:11 pm 8 years into 3.125% 30-year. Making extra payments I am making would have loan paid off in about 14-15 years. Looking at 15-year refi rates I would buy get me 2.75% with $157 credit, just over $1k closing, waived appraisal and with the $2k amex credit, seems like a no brainer? About 115k left on current mortgage, LTV is 41%
Pretty sure you can do better. I got 2.75% at 30 years fixed with enough credit to cover all closing costs including appraisal.
Thanks. It does seem a little high. Some people on SD said their rates went down after a hard pull with Better. Wonder if that would be the case for me if I went forward...

Does Better wiggle on the rates at all if I pushed back?
Better did increase my credit after I showed them a better offer from a competitor - you should definitely shop around and ask them to match the best offer you get.
avidracer
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Re: Refinance Mega Thread

Post by avidracer »

Familyman2012 wrote: Tue Jun 22, 2021 6:57 pm Meeting the notary this Friday.
15 year 1.875% no cost no escrow with better.com Refund check of $700. Plus Amex $2000. 4 refinance in 1 year. Went from 4.25 25 years to 1.875 15 years. Probably be my last refinance unless I can get a 1.75 no cost in 6 months so I can qualify for Amex again. But happy where we’re at after 1 year of hustling between lenders. All refinance was no cost and made money from it. It was worth the work and back and forth. I went from Owing $230k of interest to 48k of interest. Going to bed happy. Thanks to all
If you dont mind me asking, which state is this? I was trying to move from a 20yr fixed @ 2.375 to a 15 year term. The rate you mentioned is enticing. Better is only offering me this rate with over 4K in points in CA :?
fanmail
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Re: Refinance Mega Thread

Post by fanmail »

Did I refi last summer thanks to this amazing thread at 2.875% thru better. I am again looking at using better and their amex statement credit. Right now I have an offer from them at ~$700 cost to me at close before the amex 2k credit on a 2.78% refi. My monthly payment shrinks a little, and I get ~$1,300 to do it. Seems like something I should lock up next week.
HTFreak
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Re: Refinance Mega Thread

Post by HTFreak »

I refinanced about 2 months ago.
I was on a 319k loan at 4.25% and I got a refinance deal with LenderFi for 2.75%.
I just paid off in one lump sum the amount of 50k on the principle of the loan this week.

Did I do myself a huge disservice by paying off 50k of the principle now
compared to before the refinance?

Would I have been able to get a better refinance % interest rate if I had paid
off 50k of the principle BEFORE the refinance with LenderFi?
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BrandonBogle
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Re: Refinance Mega Thread

Post by BrandonBogle »

fanmail wrote: Fri Jun 25, 2021 2:12 pm Did I refi last summer thanks to this amazing thread at 2.875% thru better. I am again looking at using better and their amex statement credit. Right now I have an offer from them at ~$700 cost to me at close before the amex 2k credit on a 2.78% refi. My monthly payment shrinks a little, and I get ~$1,300 to do it. Seems like something I should lock up next week.
If your term is not changing and this is not a cash-out refi, expect for them to come back and say this doesn’t meet the net tangible benefit requirements.

Don’t let that dissuade you though. Proceed and Better may offer the 1/8 % lower at the same points you are offered now. Worst case scenario, they force you to take the 1/8 as currently available on your rate sheet. Doesn’t hurt to try.
Familyman2012
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Re: Refinance Mega Thread

Post by Familyman2012 »

avidracer wrote: Fri Jun 25, 2021 1:57 pm
Familyman2012 wrote: Tue Jun 22, 2021 6:57 pm Meeting the notary this Friday.
15 year 1.875% no cost no escrow with better.com Refund check of $700. Plus Amex $2000. 4 refinance in 1 year. Went from 4.25 25 years to 1.875 15 years. Probably be my last refinance unless I can get a 1.75 no cost in 6 months so I can qualify for Amex again. But happy where we’re at after 1 year of hustling between lenders. All refinance was no cost and made money from it. It was worth the work and back and forth. I went from Owing $230k of interest to 48k of interest. Going to bed happy. Thanks to all
If you dont mind me asking, which state is this? I was trying to move from a 20yr fixed @ 2.375 to a 15 year term. The rate you mentioned is enticing. Better is only offering me this rate with over 4K in points in CA :?
I’m in CA also. I also had a 20year/2.375
I started of by going to bankrate.com and getting rates off the website. I screen shot my info I typed and the rate it provided me. I sent it to better to beat their initial offer. Then I sent it to interactive mortgage in CA to match better’s offer.Then i sent interactive loan estimate back to better. Which they beat and gave me credit. Came out to no cost plus extra back to me. Plus the Amex $2000. Good luck my friend, it’s worth the work.
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grogu
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Post by grogu »

christoph_kohl wrote: Thu Jun 24, 2021 10:31 pm Slightly disappointed that Radian Title Services no longer work with Better Mortgage Corporation.
Were there any other nationwide "boglehead-approved" Title Companies out there?

I'm in Texas (if someone has a Texas-specific Title company to recommend).
Not in TX, but for a previous refi several months ago, I had shopped around for title costs and found Radian to be the cheapest. I'm doing another refi with Better (different lender) now. Better initially gave me a pretty high estimate for their title costs. I told them I wanted to use my own company (was prepared to name Radian, have them reject it, and then move on to some Plan B options that were slightly higher than Radian). It turns out that once Better priced things out and gave me an updated estimate, their title costs dropped significantly--to within just a few dollars of what Radian had quoted me. So you may end up with a decent deal with their company (Better Settlement Services), even if you only mention you're planning on using a third-party.
avidracer
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Re: Refinance Mega Thread

Post by avidracer »

Familyman2012 wrote: Fri Jun 25, 2021 3:23 pm
avidracer wrote: Fri Jun 25, 2021 1:57 pm
Familyman2012 wrote: Tue Jun 22, 2021 6:57 pm Meeting the notary this Friday.
15 year 1.875% no cost no escrow with better.com Refund check of $700. Plus Amex $2000. 4 refinance in 1 year. Went from 4.25 25 years to 1.875 15 years. Probably be my last refinance unless I can get a 1.75 no cost in 6 months so I can qualify for Amex again. But happy where we’re at after 1 year of hustling between lenders. All refinance was no cost and made money from it. It was worth the work and back and forth. I went from Owing $230k of interest to 48k of interest. Going to bed happy. Thanks to all
If you dont mind me asking, which state is this? I was trying to move from a 20yr fixed @ 2.375 to a 15 year term. The rate you mentioned is enticing. Better is only offering me this rate with over 4K in points in CA :?
I’m in CA also. I also had a 20year/2.375
I started of by going to bankrate.com and getting rates off the website. I screen shot my info I typed and the rate it provided me. I sent it to better to beat their initial offer. Then I sent it to interactive mortgage in CA to match better’s offer.Then i sent interactive loan estimate back to better. Which they beat and gave me credit. Came out to no cost plus extra back to me. Plus the Amex $2000. Good luck my friend, it’s worth the work.
Thanks for the input. Much appreciated!!
fanmail
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Post by fanmail »

BrandonBogle wrote: Fri Jun 25, 2021 3:01 pm
fanmail wrote: Fri Jun 25, 2021 2:12 pm Did I refi last summer thanks to this amazing thread at 2.875% thru better. I am again looking at using better and their amex statement credit. Right now I have an offer from them at ~$700 cost to me at close before the amex 2k credit on a 2.78% refi. My monthly payment shrinks a little, and I get ~$1,300 to do it. Seems like something I should lock up next week.
If your term is not changing and this is not a cash-out refi, expect for them to come back and say this doesn’t meet the net tangible benefit requirements.

Don’t let that dissuade you though. Proceed and Better may offer the 1/8 % lower at the same points you are offered now. Worst case scenario, they force you to take the 1/8 as currently available on your rate sheet. Doesn’t hurt to try.
Good to know, thanks.
Familyman2012
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Re: Refinance Mega Thread

Post by Familyman2012 »

avidracer wrote: Fri Jun 25, 2021 5:50 pm
Familyman2012 wrote: Fri Jun 25, 2021 3:23 pm
avidracer wrote: Fri Jun 25, 2021 1:57 pm
Familyman2012 wrote: Tue Jun 22, 2021 6:57 pm Meeting the notary this Friday.
15 year 1.875% no cost no escrow with better.com Refund check of $700. Plus Amex $2000. 4 refinance in 1 year. Went from 4.25 25 years to 1.875 15 years. Probably be my last refinance unless I can get a 1.75 no cost in 6 months so I can qualify for Amex again. But happy where we’re at after 1 year of hustling between lenders. All refinance was no cost and made money from it. It was worth the work and back and forth. I went from Owing $230k of interest to 48k of interest. Going to bed happy. Thanks to all
If you dont mind me asking, which state is this? I was trying to move from a 20yr fixed @ 2.375 to a 15 year term. The rate you mentioned is enticing. Better is only offering me this rate with over 4K in points in CA :?
I’m in CA also. I also had a 20year/2.375
I started of by going to bankrate.com and getting rates off the website. I screen shot my info I typed and the rate it provided me. I sent it to better to beat their initial offer. Then I sent it to interactive mortgage in CA to match better’s offer.Then i sent interactive loan estimate back to better. Which they beat and gave me credit. Came out to no cost plus extra back to me. Plus the Amex $2000. Good luck my friend, it’s worth the work.
Thanks for the input. Much appreciated!!
I’m not sure what your loan amount and property value is. But bankrate.com has better.com points lower today than yesterday. Go take a look
tommy85
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Re: Refinance Mega Thread

Post by tommy85 »

What are some of the companies that are offering the best rates? Last time I refinanced, I took Lenderfi's LE and asked Better to match it. The initial rate Better had offered was much higher and I am seeing the same pattern now.

Thanks in advance
Mr. Market is Bipolar.
joet
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Re: Refinance Mega Thread

Post by joet »

I am currently in year 6 of a 30 year fixed rate mortgage @ 3.75% w/ Wells Fargo. (Currently $1415 a month, including escrow.)

I am also in year 7 of a 10 year draw period w/ a $25k HELOC. Currently owe 15k on this loan. (About $100 a month at the moment.)

Have explored refinancing w/ current lender, who presented me w/ a refi rate of 3.125%, with the following fees:

Total Loan Costs (A,B,C): $5260

There are then $4206 in "prepaids" (F)
And (G) an Initial Escrow at Closing of $3407.

Total Closing Costs (J) of about 13k.


Another lender AIMLOAN presented me w/ the following offer: 30 yrs fixed at 2.375%.

This would include the existing mortgage (160K) and 15k on the HELOC. The costs associated w/ this loan seem significant.
Total Loan Costs (A,B,C): $7490

Don't see ourselves moving for next 5-10 years. And not really in a position to pay a lot of upfront costs to refinance.

This morning I completed a better.com application. The only offer w/ no points was at a rate of 3.5%.

Thanks for taking a look. A teacher, so I haven't had room to breath this year with hybrid teaching and now that school has stopped, I've finally had a chance to sit down and fill out some applications. Thinking I may have missed my opportunity for a better deal.
millionsofpennies
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Re: Refinance Mega Thread

Post by millionsofpennies »

I refi'ed last year in California (closed June/July 2020) going from 30yr 3.625% to 30r 2.875% with no closing costs for 320K loan.

My credit score is 845 according to Discover (credit karma shows 826).

I didn't have an AMEX for the better.com AMEX offer last year, but I'm tempted to apply for an AMEX now, and just see if i can get 2.75% 30 year no closing costs with better.com.

Do you think it is worth the hassle to refi again for 2.75% (or lower if possible with competing offers? don't know how realistic that is at this point) if i can get the $2K bonus? (https://better.com/with/amex)
tj
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Re: Refinance Mega Thread

Post by tj »

I'm about to close on a purchase, 30 year 3.125% for a condo. $210k of debt.

How long do I need to wait to refinance without screwing over the Loan Officer?

WIll I even be able to get a better rate with no-cost refi?
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BrandonBogle
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Re: Refinance Mega Thread

Post by BrandonBogle »

joet wrote: Tue Jun 29, 2021 11:48 am Have explored refinancing w/ current lender, who presented me w/ a refi rate of 3.125%, with the following fees:

Total Loan Costs (A,B,C): $5260

Another lender AIMLOAN presented me w/ the following offer: 30 yrs fixed at 2.375%.

This would include the existing mortgage (160K) and 15k on the HELOC. The costs associated w/ this loan seem significant.
Total Loan Costs (A,B,C): $7490

Don't see ourselves moving for next 5-10 years. And not really in a position to pay a lot of upfront costs to refinance.

This morning I completed a better.com application. The only offer w/ no points was at a rate of 3.5%.
Ignore the WF offer. Ask Aimloan what the costs are for 2.625 or 2.75%. Send the existing Aimloan offer to Better and see what they offer (be sure to check the updated rate table online so you can see the costs for all rates).

Don’t forget Section E costs. In NC, I pay $64. In FL, that would be hundreds - thousands. In NY, that would be tens of thousands. So E can be a big cost too.
tj wrote: Tue Jun 29, 2021 12:45 pm I'm about to close on a purchase, 30 year 3.125% for a condo. $210k of debt.

How long do I need to wait to refinance without screwing over the Loan Officer?

WIll I even be able to get a better rate with no-cost refi?
6 payments
tj
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Re: Refinance Mega Thread

Post by tj »

BrandonBogle wrote: Tue Jun 29, 2021 1:07 pm
tj wrote: Tue Jun 29, 2021 12:45 pm I'm about to close on a purchase, 30 year 3.125% for a condo. $210k of debt.

How long do I need to wait to refinance without screwing over the Loan Officer?

WIll I even be able to get a better rate with no-cost refi?
6 payments
Need to wait six calendar months, or can make six months worth of scheduled payments right away?
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BrandonBogle
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Re: Refinance Mega Thread

Post by BrandonBogle »

tj wrote: Tue Jun 29, 2021 1:46 pm
BrandonBogle wrote: Tue Jun 29, 2021 1:07 pm
tj wrote: Tue Jun 29, 2021 12:45 pm I'm about to close on a purchase, 30 year 3.125% for a condo. $210k of debt.

How long do I need to wait to refinance without screwing over the Loan Officer?

WIll I even be able to get a better rate with no-cost refi?
6 payments
Need to wait six calendar months, or can make six months worth of scheduled payments right away?
6 months from the 1st business day of the month after you close. So if you close 6/30, that would be 6 months after July 1st. If you close July 5th, that means 6 months after August 1. These are generalizations. The exact date depends on when the loan is sold to an investor by the lender, but that should ballpark it.
28fe6
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Re: Refinance Mega Thread

Post by 28fe6 »

Inspired by this thread, I went to Better and plugged in my numbers. Now I'm getting calls from people already...

Anyway, I'm struggling to decide if it's worth doing. I closed 1 year ago and I'm currently at about 70% LTV ($425k house, owe 300k) 30-year fixed for 2.875. The main reason for refi would be to cash out 50k or so for home improvements...I was forced to put more down on this house than I wanted to, and want to free up some cash. However, based on the numbers I'm seeing from Better, I can't match my current rate at the new LTV, so I would be going to a 3.125% rate or something like that. How can I do the math on what this 50k cash-out is costing me? It's confusing because it's like I'm changing the interest rate on the entire $350k 30-year loan by cashing out the 50k, but I don't know how to understand how much the 50k itself is costing me, and if it would be worth it vs. doing a HELOC for the 50k or something.
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BrandonBogle
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Re: Refinance Mega Thread

Post by BrandonBogle »

28fe6 wrote: Tue Jun 29, 2021 2:04 pm Inspired by this thread, I went to Better and plugged in my numbers. Now I'm getting calls from people already...

Anyway, I'm struggling to decide if it's worth doing. I closed 1 year ago and I'm currently at about 70% LTV ($425k house, owe 300k) 30-year fixed for 2.875. The main reason for refi would be to cash out 50k or so for home improvements...I was forced to put more down on this house than I wanted to, and want to free up some cash. However, based on the numbers I'm seeing from Better, I can't match my current rate at the new LTV, so I would be going to a 3.125% rate or something like that. How can I do the math on what this 50k cash-out is costing me? It's confusing because it's like I'm changing the interest rate on the entire $350k 30-year loan by cashing out the 50k, but I don't know how to understand how much the 50k itself is costing me, and if it would be worth it vs. doing a HELOC for the 50k or something.
In your case, I would see what the cost of refinancing with cash out to the same 2.875% rate is. If you cannot come out ahead or at least broke-even with any credits (including the Amex promo if you qualify), then I would either see if another lender offers a better deal or just use a HELOC on $50k. It should be easy to get just under prime rate at no cost.

As for doing the match, pick a reasonable time for the $50k to compare apples-to-apples and punch in a $50k mortgage for that term. You can also do the same for your current principle, adjusted to have the same payment amount you have today, to see how much that increase in interest would cost you on the existing balance. IMO, the math probably won’t work out if you have to increase your rate.
28fe6
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Re: Refinance Mega Thread

Post by 28fe6 »

Using the Better rate table, the only way to get the same 2.875 rate with the 50k cashout is to pay something like $4000 in points. That amounts to paying $4000 up front to borrow 50k at 2.875% for 30 years, with a total interest alone (on the $50k) of $24,680.65, so total interest+points would be about $28.6k. Playing with an amortization calculator, I find the total interest on a $50k mortgage at 3.25% is 28,337.14, so from a total-interest point of view, doing this cash-out refi would be about the same as borrowing the 50k separately for 30 years at a fixed 3.25%. That's really not bad, but I don't know if I need to jump at it right now.

When Better shows the rate table with $4000 in points, is that including the closing costs, or do I need to pay $4000 in points plus closing costs? If the latter, it gets even worse. I guess it would be more attractive if rates had actually dropped since a year ago, but I don't think they have.

It's infuriating, but I can't find a way to go back and remove the $50k cashout. I want to see the rate table for a straight refi, but I guess I have to call somebody to go back and change the cashout amount.
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BrandonBogle
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Re: Refinance Mega Thread

Post by BrandonBogle »

28fe6 wrote: Tue Jun 29, 2021 4:30 pm Using the Better rate table, the only way to get the same 2.875 rate with the 50k cashout is to pay something like $4000 in points. That amounts to paying $4000 up front to borrow 50k at 2.875% for 30 years, with a total interest alone (on the $50k) of $24,680.65, so total interest+points would be about $28.6k. Playing with an amortization calculator, I find the total interest on a $50k mortgage at 3.25% is 28,337.14, so from a total-interest point of view, doing this cash-out refi would be about the same as borrowing the 50k separately for 30 years at a fixed 3.25%. That's really not bad, but I don't know if I need to jump at it right now.

When Better shows the rate table with $4000 in points, is that including the closing costs, or do I need to pay $4000 in points plus closing costs? If the latter, it gets even worse. I guess it would be more attractive if rates had actually dropped since a year ago, but I don't think they have.

It's infuriating, but I can't find a way to go back and remove the $50k cashout. I want to see the rate table for a straight refi, but I guess I have to call somebody to go back and change the cashout amount.
Those are listing just Section A points, not the closing costs. You will need the loan officer to change it from a cash out to a rate-and-term refi before you can see how their offers look.

However, if you have only started the process and not locked a rate (which I assume you haven’t since you can still see your rate tables), see what happens on Bankrate.com when you punch in the same details. If they list better pricing from Better for any rate that is available on your rate table, take a screenshot and send it to your loan officer to match their own advertised price.

Keep in mind that if you choose a higher rate, don’t forget that the rate applies to the entire loan amount, so you should also include the increased interest on the current principle amount as a cost to do the refi. That’s why I say that unless you get better pricing, you are unlikely to find this worthwhile.
fanmail
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Re: Refinance Mega Thread

Post by fanmail »

I would recommend interfirst mortgage as well to anyone. Their rates are competitive.
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BrandonBogle
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Re: Refinance Mega Thread

Post by BrandonBogle »

fanmail wrote: Tue Jun 29, 2021 6:04 pm I would recommend interfirst mortgage as well to anyone. Their rates are competitive.
They cover about half of all states. Nice.
http://www.interfirst.com/licensing-and ... e-licenses
Coachrhino11
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Re: Refinance Mega Thread

Post by Coachrhino11 »

Familyman2012 wrote: Tue Jun 22, 2021 6:57 pm Meeting the notary this Friday.
15 year 1.875% no cost no escrow with better.com Refund check of $700. Plus Amex $2000. 4 refinance in 1 year. Went from 4.25 25 years to 1.875 15 years. Probably be my last refinance unless I can get a 1.75 no cost in 6 months so I can qualify for Amex again. But happy where we’re at after 1 year of hustling between lenders. All refinance was no cost and made money from it. It was worth the work and back and forth. I went from Owing $230k of interest to 48k of interest. Going to bed happy. Thanks to all
We refinanced back in like December at 2.5 at 15 year fix and was happy but I want this! We used Lenderfi last time. Just went through Better and looked at everything and to get 2% for 15 year fix would be like 6k minus 2k AE credit unless I'm missing something. We have great credit.
Familyman2012
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Re: Refinance Mega Thread

Post by Familyman2012 »

Coachrhino11 wrote: Tue Jun 29, 2021 11:09 pm
Familyman2012 wrote: Tue Jun 22, 2021 6:57 pm Meeting the notary this Friday.
15 year 1.875% no cost no escrow with better.com Refund check of $700. Plus Amex $2000. 4 refinance in 1 year. Went from 4.25 25 years to 1.875 15 years. Probably be my last refinance unless I can get a 1.75 no cost in 6 months so I can qualify for Amex again. But happy where we’re at after 1 year of hustling between lenders. All refinance was no cost and made money from it. It was worth the work and back and forth. I went from Owing $230k of interest to 48k of interest. Going to bed happy. Thanks to all
We refinanced back in like December at 2.5 at 15 year fix and was happy but I want this! We used Lenderfi last time. Just went through Better and looked at everything and to get 2% for 15 year fix would be like 6k minus 2k AE credit unless I'm missing something. We have great credit.
I’ve seen 2.0 at no cost at better. I did have to hustle alittle to get it to a no cost.

What state are you in? What is your Loan amount and property value?
Coachrhino11
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Re: Refinance Mega Thread

Post by Coachrhino11 »

Familyman2012 wrote: Tue Jun 29, 2021 11:22 pm
Coachrhino11 wrote: Tue Jun 29, 2021 11:09 pm
Familyman2012 wrote: Tue Jun 22, 2021 6:57 pm Meeting the notary this Friday.
15 year 1.875% no cost no escrow with better.com Refund check of $700. Plus Amex $2000. 4 refinance in 1 year. Went from 4.25 25 years to 1.875 15 years. Probably be my last refinance unless I can get a 1.75 no cost in 6 months so I can qualify for Amex again. But happy where we’re at after 1 year of hustling between lenders. All refinance was no cost and made money from it. It was worth the work and back and forth. I went from Owing $230k of interest to 48k of interest. Going to bed happy. Thanks to all
We refinanced back in like December at 2.5 at 15 year fix and was happy but I want this! We used Lenderfi last time. Just went through Better and looked at everything and to get 2% for 15 year fix would be like 6k minus 2k AE credit unless I'm missing something. We have great credit.
I’ve seen 2.0 at no cost at better. I did have to hustle alittle to get it to a no cost.

What state are you in? What is your Loan amount and property value?
TX, We owe 181k, value over 500k
Coachrhino11
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Re: Refinance Mega Thread

Post by Coachrhino11 »

Unless I'm missing something, I have to pay 3-4k points
avidracer
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Re: Refinance Mega Thread

Post by avidracer »

[/quote]

I’m in CA also. I also had a 20year/2.375
I started of by going to bankrate.com and getting rates off the website. I screen shot my info I typed and the rate it provided me. I sent it to better to beat their initial offer. Then I sent it to interactive mortgage in CA to match better’s offer.Then i sent interactive loan estimate back to better. Which they beat and gave me credit. Came out to no cost plus extra back to me. Plus the Amex $2000. Good luck my friend, it’s worth the work.
[/quote]


Thanks to your inputs, I tried something very similar with through another lender and was able to get better come close to 1.875 with minimal cost from borrower (me) :sharebeer
Familyman2012
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Re: Refinance Mega Thread

Post by Familyman2012 »

Coachrhino11 wrote: Tue Jun 29, 2021 11:39 pm Unless I'm missing something, I have to pay 3-4k points
I believe you mortgage is low. You usually get better rate with a higher loan amount. But go to bankrate.com click on refinance
I enter a Dallas zip code. With your amount you mention. It’s giving me 1.75 with $3,356 in points and 2.0 with $934.
Take screenshots of your input and the rate you see. Send it to your better loan officer to match. This is what I did. He matched it. Then I took the new loan estimate to another company and they matched that. Which I brought it back to better and they gave me a no cost loan.
Familyman2012
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Re: Refinance Mega Thread

Post by Familyman2012 »

avidracer wrote: Wed Jun 30, 2021 12:09 am
I’m in CA also. I also had a 20year/2.375
I started of by going to bankrate.com and getting rates off the website. I screen shot my info I typed and the rate it provided me. I sent it to better to beat their initial offer. Then I sent it to interactive mortgage in CA to match better’s offer.Then i sent interactive loan estimate back to better. Which they beat and gave me credit. Came out to no cost plus extra back to me. Plus the Amex $2000. Good luck my friend, it’s worth the work.
[/quote]


Thanks to your inputs, I tried something very similar with through another lender and was able to get better come close to 1.875 with minimal cost from borrower (me) :sharebeer
[/quote]

Awesome glad it worked out for you my friend
DrGrnTum
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Re: Refinance Mega Thread

Post by DrGrnTum »

This may be an interest to some people.
Here is another promotion Amex is offering through Rocket Mortgage.
2k for a conforming mortgage refi.
6k for a jumbo mortgage.

https://www.americanexpress.com/en-us/l ... -mortgage/
Coachrhino11
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Re: Refinance Mega Thread

Post by Coachrhino11 »

Familyman2012 wrote: Wed Jun 30, 2021 12:19 am
Coachrhino11 wrote: Tue Jun 29, 2021 11:39 pm Unless I'm missing something, I have to pay 3-4k points
I believe you mortgage is low. You usually get better rate with a higher loan amount. But go to bankrate.com click on refinance
I enter a Dallas zip code. With your amount you mention. It’s giving me 1.75 with $3,356 in points and 2.0 with $934.
Take screenshots of your input and the rate you see. Send it to your better loan officer to match. This is what I did. He matched it. Then I took the new loan estimate to another company and they matched that. Which I brought it back to better and they gave me a no cost loan.
Thank you. Just looked with Austin zip code and for 15 year fix, 1.75% $3175 upfront costs. Pretty sure they have other fees on top of the points that will add on an additional 2k+. Convince me it's worth it. Our goal is not to take 15 years to pay off mortgage regardless of rate.
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