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

[sgip]

Sorry for misunderstanding. I thought the process was ongoing with another company.

The person being paid for the appraisal is the appraiser. It's a pass through from the appraiser to the lender to you. Since the appraiser did some work they are owed for that work performed. That's the clinical, high level view.

The real world, rubber meets the road view is that if the lender doesn't refund the appraisal, I'd take it up with the manager. If the manager won't, I'd take it up with Zillow in their review section, or Yelp! The income issue was lending 101 and should have been stopped at the gate before anyone ordered the appraisal.

With a review threat, that may be enough to move their footsteps in the right direction.

My .02c

 

[Irvinecommuter]

Hey...it may work out to your benefit.  Treasury yield are dropping quickly.  As I type this, it's at 2.36, down from a high of 3.04 in January, 2.7s in June, and 2.5s a month ago.

MGD has best performing Jumbo 30 years at 3.98, 30 year at 4.11%, FHA at 3.75, and 15 year at 3.26.  I think this is not factoring the drop in yield today.

GDP numbers come out tomorrow...hopefully it as expected and doesn't upset the market.

 

[irvinehomeowner]

It's ps9 time!

 

[ps99472]

3 TI members pm'd me today for referral contact.  Just checked zillow, Residential Wholesale Mortgage is at 2.625% with $5800 credit for a 5/1 ARM Jumbo, 55%LTV.  Should be able to get 2.5% with enought credit (~$2200) to close with no fees.  I should've waited, might be close to 2.375% no fees if I push hard.

 

[qwerty]

3 TI members pm'd me today for referral contact.  Just checked zillow, Residential Wholesale Mortgage is at 2.625% with $5800 credit for a 5/1 ARM Jumbo, 55%LTV.  Should be able to get 2.5% with enought credit (~$2200) to close with no fees.  I should've waited, might be close to 2.375% no fees if I push hard.

so i just checked zillow. and i get 2.625 for $1 lender fees + 3rd party fees not included. Do you actually call your contact? or is the info you listed straight off of the results page?

how bout the 55%LTV? are you just saying 55% LTV because those are the inputs you use? or is there some field im missing?

 

[Meggie]

3 TI members pm'd me today for referral contact.  Just checked zillow, Residential Wholesale Mortgage is at 2.625% with $5800 credit for a 5/1 ARM Jumbo, 55%LTV.  Should be able to get 2.5% with enought credit (~$2200) to close with no fees.  I should've waited, might be close to 2.375% no fees if I push hard.

so i just checked zillow. and i get 2.625 for $1 lender fees + 3rd party fees not included. Do you actually call your contact? or is the info you listed straight off of the results page?

how bout the 55%LTV? are you just saying 55% LTV because those are the inputs you use? or is there some field im missing?

I got the same result as you with 54% LTV.  Interested in how PS9 can get the killer deal.

 

[sgip]

Curious if anyone has had this discussion - the framework first....

If Lender A makes a 2.625% 5/1 ARM with $5,000 in rebate, the full rebate is closer to $6,500. A portion is kept by the originating lender and $500 or so to the person on the phone you're working with. That loan closes and is then sold off to Chase/Wells/Ocwen, etc.

Suddenly rates drop and Lender B now has a 5/1 ARM at 2.500. You refi and close within 60-90 days of your last refi.  More often than not there will be a clawback from the investor to Lender A for that YSP of $6,500.

Most people will just say "Who cares?!? It's my right to refi!", but the lender and the loan officer are now on the hook for that $6,500. Curious if anyone's been called about the early pay off, if there are any requests not to refinance within a specific time frame, or other pushbacks from the Lender A's out there who are taking it in the shorts when an early payoff happens.  OK to PM me if you don't want to post here.

 

[Irvinecommuter]

Curious if anyone has had this discussion - the framework first....

If Lender A makes a 2.625% 5/1 ARM with $5,000 in rebate, the full rebate is closer to $6,500. A portion is kept by the originating lender and $500 or so to the person on the phone you're working with. That loan closes and is then sold off to Chase/Wells/Ocwen, etc.

Suddenly rates drop and Lender B now has a 5/1 ARM at 2.500. You refi and close within 60-90 days of your last refi.  More often than not there will be a clawback from the investor to Lender A for that YSP of $6,500.

Most people will just say "Who cares?!? It's my right to refi!", but the lender and the loan officer are now on the hook for that $6,500. Curious if anyone's been called about the early pay off, if there are any requests not to refinance within a specific time frame, or other pushbacks from the Lender A's out there who are taking it in the shorts when an early payoff happens.  OK to PM me if you don't want to post here.

I have no idea but I don't understand why rebates would be lower.  Aren't the rebates there to incentivize the borrower and the agent to pick that lender over others?

 

[usctrojancpa]

I'm curious if anyone knows....what was the lowest rate at no points on the 5/1 ARM last year before rates popped?  2.25%?  2.125%?

 

[Irvinecommuter]

Apparently Russia just invaded Ukraine, which means more money flowing into US Treasuries.

 

[paperboyNC]

Curious if anyone has had this discussion - the framework first....

If Lender A makes a 2.625% 5/1 ARM with $5,000 in rebate, the full rebate is closer to $6,500. A portion is kept by the originating lender and $500 or so to the person on the phone you're working with. That loan closes and is then sold off to Chase/Wells/Ocwen, etc.

Suddenly rates drop and Lender B now has a 5/1 ARM at 2.500. You refi and close within 60-90 days of your last refi.  More often than not there will be a clawback from the investor to Lender A for that YSP of $6,500.

Most people will just say "Who cares?!? It's my right to refi!", but the lender and the loan officer are now on the hook for that $6,500. Curious if anyone's been called about the early pay off, if there are any requests not to refinance within a specific time frame, or other pushbacks from the Lender A's out there who are taking it in the shorts when an early payoff happens.  OK to PM me if you don't want to post here.

I have no idea but I don't understand why rebates would be lower.  Aren't the rebates there to incentivize the borrower and the agent to pick that lender over others?

I had a mortgage with an early payment penalty for the first X years.

 

[Irvinecommuter]

Curious if anyone has had this discussion - the framework first....

If Lender A makes a 2.625% 5/1 ARM with $5,000 in rebate, the full rebate is closer to $6,500. A portion is kept by the originating lender and $500 or so to the person on the phone you're working with. That loan closes and is then sold off to Chase/Wells/Ocwen, etc.

Suddenly rates drop and Lender B now has a 5/1 ARM at 2.500. You refi and close within 60-90 days of your last refi.  More often than not there will be a clawback from the investor to Lender A for that YSP of $6,500.

Most people will just say "Who cares?!? It's my right to refi!", but the lender and the loan officer are now on the hook for that $6,500. Curious if anyone's been called about the early pay off, if there are any requests not to refinance within a specific time frame, or other pushbacks from the Lender A's out there who are taking it in the shorts when an early payoff happens.  OK to PM me if you don't want to post here.

I have no idea but I don't understand why rebates would be lower.  Aren't the rebates there to incentivize the borrower and the agent to pick that lender over others?

I had a mortgage with an early payment penalty for the first X years.

Ahh...I misunderstood the scenario.  Thanks.

 

[ps99472]

3 TI members pm'd me today for referral contact.  Just checked zillow, Residential Wholesale Mortgage is at 2.625% with $5800 credit for a 5/1 ARM Jumbo, 55%LTV.  Should be able to get 2.5% with enought credit (~$2200) to close with no fees.  I should've waited, might be close to 2.375% no fees if I push hard.

so i just checked zillow. and i get 2.625 for $1 lender fees + 3rd party fees not included. Do you actually call your contact? or is the info you listed straight off of the results page?

how bout the 55%LTV? are you just saying 55% LTV because those are the inputs you use? or is there some field im missing?

I got the same result as you with 54% LTV.  Interested in how PS9 can get the killer deal.

Did the search at around 2pm today.  I notice RWM removes the listing towards the end of day.  I had the search saved in my zillow app.  My loan search parameters are set to:

Irvine
FICO 760+
amount financed at 55% LTV (i.e. $550,000/$1,000,000)
Primary residence
No cash out
Single family
Income $200,000+
Monthly debt $7000

And sort the results by 'Lender Fees'

If you're at the zillow desktop site instead of app/smartphone/tablet, make sure you check 'no fee no points' which is in the 'Filter' drop down box in the upper right after you do your search.

 

[O Hills]

3 TI members pm'd me today for referral contact.  Just checked zillow, Residential Wholesale Mortgage is at 2.625% with $5800 credit for a 5/1 ARM Jumbo, 55%LTV.  Should be able to get 2.5% with enought credit (~$2200) to close with no fees.  I should've waited, might be close to 2.375% no fees if I push hard.

Your SN has somehow become synonymous with 5/1. 
Thanks for the info.

 

[sgip]

Lowest 5/1 -0- cost was 2.125% during the last swing. Most lenders do not price loans below their margin. Since most margins today are 2.25%, my guess is that's the next possible low point.

Every so often in our servicing portfolio I've seen 3/1 ARM's that closed at 1.8% rate. They had to have locked at the bottom and had some kind of banking relationship benefit to get below the ARM margin.

My .02c

 

[qwerty]

loan funded today. I am now officially part of 5/1 ARM club. 

thanks to everyone for showing me the light.

 

[irvinehomeowner]

thanks to everyone for showing me the light.

It's really ps9 hadoken'ing you the light:

(gonna repost that picture whenever I have a chance)

 

[ps99472]

those that refi'd a couple months ago, remember your payment "free" 2 month holiday is now over.  still Chase for me, so easy to setup auto payment on the 15th every month. 

 

[lnc]

How about a near 0%, 0.125% 15 year mortgage? 

If this type of loan catches on, it could be a game changer.

New 15-Year Mortgage May Open Homeownership Door For More Buyers

The 30-year mortgage is the foundation of the real estate market largely because it makes housing more affordable. But the truth is, it's a lousy loan for building actual ownership or equity in your home during the first 5 or 7 years, which caused big trouble when housing crashed.

But there's something new that's getting a lot of attention. It's called the Wealth Building Home Loan because it helps people own more of their house more quickly. A pilot project is already up and running to offer this new type of affordable 15-year loan to thousands of homeowners.

Kimberly Wright of Memphis, Tenn., just closed on one of those 15-year loans, with an interest rate that's close to zero. It's just 0.125 percent - as in about one-tenth of one percent.  With a near zero percent interest rate, nearly all of her monthly $650 payment will go to pay off her principal, quickly building an ownership stake in her house.

http://www.npr.org/2014/10/03/35352...e-may-open-homeownership-door-for-more-buyers

More Link to related story:  http://www.latimes.com/business/realestate/la-fi-lew-20141005-story.html

 

[usctrojancpa]

How about a near 0%, 0.125% 15 year mortgage? 

If this type of loan catches on, it could be a game changer.

New 15-Year Mortgage May Open Homeownership Door For More Buyers

The 30-year mortgage is the foundation of the real estate market largely because it makes housing more affordable. But the truth is, it's a lousy loan for building actual ownership or equity in your home during the first 5 or 7 years, which caused big trouble when housing crashed.

But there's something new that's getting a lot of attention. It's called the Wealth Building Home Loan because it helps people own more of their house more quickly. A pilot project is already up and running to offer this new type of affordable 15-year loan to thousands of homeowners.

Kimberly Wright of Memphis, Tenn., just closed on one of those 15-year loans, with an interest rate that's close to zero. It's just 0.125 percent - as in about one-tenth of one percent.  With a near zero percent interest rate, nearly all of her monthly $650 payment will go to pay off her principal, quickly building an ownership stake in her house.

http://www.npr.org/2014/10/03/35352...e-may-open-homeownership-door-for-more-buyers

So you pay 5-6pts up-front and get a .125% rate for 15 years, huh?  Interesting.