Mortgage Rates continue to drop!!!

[loveysbydesign]

We have an FHA loan with Citibank that's biweekly at 6%. We have 23 years left on our 30 year mortgage. We'd like to refi and take cash out to get new windows and such. Is it a good time to do that or should we just refinance. And if we re-fi do we stay with FHA or get a normal mortgage???
AHHHHH...so many questions my head is spinning!

 

[princessmorgan]

What banks are offering no fee refinances?

Wells Fargo is offering no fee refinances if you are currently with them, but the rates are a little higher. So it's not really no cost. It just cost you later on. There are other companies too that do it, but with a higher rate unless you add points. If they require points, then aren't you just buying down the rate anyway?

 

[mom of princessx2]

Wells Fargo is offering no fee refinances if you are currently with them, but the rates are a little higher. So it's not really no cost. It just cost you later on. There are other companies too that do it, but with a higher rate unless you add points. If they require points, then aren't you just buying down the rate anyway?

I do not completely agree with that. If I am paying 6.125% and Wells Fargo is going to reduce it to 5.125% at no cost I do not feel it will cost me later on. All it will do is save me $200 per month which I can spend elsewhere to help the economy or save to help my retirement or even pay the extra on my mortgage.

Now, can I pay closing or points and get a lower rate? Certainly, but am I content with a no cost reduction of 1%? Absolutely

 

[minnie1928]

We have an FHA loan with Citibank that's biweekly at 6%. We have 23 years left on our 30 year mortgage. We'd like to refi and take cash out to get new windows and such. Is it a good time to do that or should we just refinance. And if we re-fi do we stay with FHA or get a normal mortgage???
AHHHHH...so many questions my head is spinning!

I would call and ask a loan officer your questions. I just peeked at Citibank's website and their rates aren't as low as others, so you might want to shop around. Try Wells Fargo or TD Bank North, they seem to be competitive.

 

[minnie1928]

I'm still on hold !

Actually, at the time I called it was getting close to 5pm and it looked like they stuck to their 5pm cutoff, so I hung up after 5. I'm going to try again today.

I finally got a call back from TD North. They are listing 4.75 on their website with 0 points. After speaking with them we realized that we don't qualify for that rate since our mortgage is higher than the traditional conforming loan limits that they are adhering to. FWIW, she said that they do not sell their loans and that was the reason that they couldn't adhere to the higher COL conforming loan limits (which I fall into).

For anyone with a mortgage of less than $417,000 in the northeast, this could be a very good deal.

 

[left210]

I finally got a call back from TD North. They are listing 4.75 on their website with 0 points. After speaking with them we realized that we don't qualify for that rate since our mortgage is higher than the traditional conforming loan limits that they are adhering to. FWIW, she said that they do not sell their loans and that was the reason that they couldn't adhere to the higher COL conforming loan limits (which I fall into).

For anyone with a mortgage of less than $417,000 in the northeast, this could be a very good deal.

Did they mention cost of fees?

 

[minnie1928]

Did they mention cost of fees?

If you go to their website and key in your basic loan information (this is not applying for the loan) they will show you the monthly payment and an estimate of costs.

http://tdbanknorth.mortgagewebcenter.com/CheckRates/SearchCriteria.asp?PID=22

 

[left210]

Thanks - I called TD North and they do not write loans in my state (IN). I am still waiting on Wells Fargo to call me back. Just be careful and check all fees to everyone. I had Countrywide quote me $6500 in closing costs and my local bank PNC quote me $2100 for the same loan and same rate. I am still trying to get a lower rate so that is why I am waiting to hear back from Wells Fargo but may just end up going with PNC.

 

[forgop]

In my situation, it doesn't do me any good to refinance. I'm in a 30 year fixed at 5.75% that was due to mature in 2032, but made a HUGE payment from an inheritance that took it down under $100k. Even dropping to 4.75 on a 15 year and figuring the same monthly payment under each scenario (I intend to pay $1500/month with the extra amount going to principle), my payoff only improves by 1 month. There's another inheritance looming that would be more than enough to pay it off, so I'd be paying $2k+ in closing costs to extend the existing term. I just wanna get my house and student loans paid off...

 

[jlima]

DH & I are buying a bigger home! The guy at B of A asked if I wanted to lock in yesterday at 4.875 with one point. I said I'd get back to him. I think I can do better.

Today the B of A guy said 4.75. Stay tuned! Don't have to lock in until 7 days before we close.

 

[momsavealot]

I finally got a call back from TD North. They are listing 4.75 on their website with 0 points. After speaking with them we realized that we don't qualify for that rate since our mortgage is higher than the traditional conforming loan limits that they are adhering to. FWIW, she said that they do not sell their loans and that was the reason that they couldn't adhere to the higher COL conforming loan limits (which I fall into).

For anyone with a mortgage of less than $417,000 in the northeast, this could be a very good deal.

Is this the old Commerce bank?

 

[JoanneNC]

I just talked to Wells Fargo. They quoted a rate of 4.75% for 30 year fixed. No points. Does anyone know if there is such a thing as a real no cost refinance? It seems that when you don't have to pay any fees, they either give you higher rate or roll your fees into the mortgage.

umm- when I looked at the website for Wells Fargo 4.875% fixed for 15 years BUT the fine print says 1 point fee in the rates

 

[MKCP5]

If you go to their website and key in your basic loan information (this is not applying for the loan) they will show you the monthly payment and an estimate of costs.

http://tdbanknorth.mortgagewebcenter.com/CheckRates/SearchCriteria.asp?PID=22

It is a better deal than what we have, but you still have to pay closing costs. Does anyone know of anyone who is offering no closing costs also?

I am clueless to all of this. We only bought about 18 mo ago and with the change in the econonmy don't know about values and refi and how it all works.

 

[minnie1928]

Is this the old Commerce bank?

Yep, sure is!

 

[minnie1928]

It is a better deal than what we have, but you still have to pay closing costs. Does anyone know of anyone who is offering no closing costs also?

I am clueless to all of this. We only bought about 18 mo ago and with the change in the econonmy don't know about values and refi and how it all works.

I don't think you'll easily find a true "no cost" refi (unless you're currently with Wells Fargo, then you might). If you have the equity, you might be able to roll your closing costs into the mortgage.

 

[princessmorgan]

umm- when I looked at the website for Wells Fargo 4.875% fixed for 15 years BUT the fine print says 1 point fee in the rates

I don't know if the rate is different for 15 year mortgages. This is just what the guy I talked to said. Also we'd have to pay some closing costs. I know the rate is different for a no cost refinance.

 

[kellia]

We have a 30 yr fix mortgage through Wells Fargo. Looks like we could save a little bit by refinancing. Problem is, we live in Michigan, so our home value has dropped so much, I doubt we have any equity. Think they would still let us lower it if they already own the loan anyway?

 

[momsavealot]

With respect to Wells Fargo, be careful, the rates that you see include one point, which is 1% of the loan amount you're seeking.
TD Bank's website has the same rate with no points. However, when we called today, they gave us a different (higher) rate than the website.
And we can't get thru to Wells Fargo today - they are so swamped that their phone lines can't handle it - very frustrating. We are already Wells Fargo customers but we want to increase the principle amount to pay off some cc debt so I don't think we qualify for their fee free refinancing.
Any other banks out there with good rates and no/low fees ?

 

[sk8jdgca]

Not to make you feel bad but up here in Canada, people who took a variable rate as sitting as low as 2.65%

 

[jmpellet]

There's a great website I use to run all the numbers: www.figurewiz.com