usctrojancpa
Well-known member
about 2-3 weeks.Panda said:
How low can we go? 30 yr fixed at 3.75% with no fees...
- Thread starter ps99472
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irvinebullhousing
Well-known member
Thanks Panda, I suppose you are not using Provident then correct. Seem like this is the industry standard when getting a home loan nowaday. One thing that Provident did mentioned is that the loan will be sold to FannieMae so this is required from them. Everything is double check by each institution. Another thing is when I refi with Navy Fed Credit Union, I did not have to sign this documents. Navy Fed does not resale the loan to Fannie they own the life of the loan on their book.
Another point that the loan processing officer from Provident added is that Fannie Mae underwriting system is going thru a change and that will take effect Feb 9. This change will have a higher cost and the lender/broker will pass this on to the consumer as result in a slightly higher rate going forward?
SIGP and USCTrojan is this true or anyone that is expert in the subject matter can chime in.
Another point that the loan processing officer from Provident added is that Fannie Mae underwriting system is going thru a change and that will take effect Feb 9. This change will have a higher cost and the lender/broker will pass this on to the consumer as result in a slightly higher rate going forward?
SIGP and USCTrojan is this true or anyone that is expert in the subject matter can chime in.
Panda said:
sgip
Well-known member
The 4506-T depends on the loan's investor. Fannie, Freddie, Ginnie (VA/FHA), and even some private portfolio lenders will require the 4506-T to be executed. Some credit unions don't have it signed, but many CU's sell their loans to the Agencies. It's hit or miss.
Fannie isn't changing DU until March 17th, when the HARP Refinance V. 2.0 rolls out. This Loan Officer is likely talking about when Provident is going to be hitting customers with the higher Fannie / Freddie Guarantee fees mandated by Congress when they extended the payroll tax cut.
My .02c
Fannie isn't changing DU until March 17th, when the HARP Refinance V. 2.0 rolls out. This Loan Officer is likely talking about when Provident is going to be hitting customers with the higher Fannie / Freddie Guarantee fees mandated by Congress when they extended the payroll tax cut.
My .02c
The Motor Court Company
Well-known member
for new home constructions, any lenders other than Wells Fargo/BoA that can be used? don't want to be ripped off by these TBTF banks
TSW said:
sgip
Well-known member
You can but here's how it goes down:
Buyer - nice home, I'll take it. ;D
Seller - OK. Here's the $500,000 price PLUS $4,000 for your design center IF you use our in house lender.
IHL - Hi Mr. and Ms. Buyer. Today's rate is 4.750 for 1.0 point ??? :-X
Buyer - AYE CARAMBA! Not only are the design center prices redonkulous, but your rate is terrible. I'm calling someone else.
Other Lender - Hi Mr. and Ms. Buyer. Today's rate is 4.250 for -0- points. ;D
Buyer - I'll tell the IHL about the great deal I'm getting.
IHL - About that earlier quote of ours. Now we're at 4.25%, but I can't match the -0- points. You're getting a $4,000 design center credit which is like getting a 1.0 point credit, isnt' it? :-X
Seller - You're going to use an outside lender? They don't close on time. We don't know if they're any good, you'll have to sign all these waivers, and if you use them we'll yank your $4,000 credit in the design center.
The long and the short of it is this: Yes, you can use another lender. You may have to give up some concessions, most of which were phantom to begin with. Every purchase contract, just like every home that a builder builds, is going to be a bit different than the scenario above, but I'm sure this dialogue will sound pretty familiar with anyone whose purchased new construction recently. In the end, you will likely get a better loan, but the margin between the builders deal and what you can get on the outside once all of the bells and whistles are added up isn't that huge of a difference.
My .02c
Soylent Green Is People
Buyer - nice home, I'll take it. ;D
Seller - OK. Here's the $500,000 price PLUS $4,000 for your design center IF you use our in house lender.
IHL - Hi Mr. and Ms. Buyer. Today's rate is 4.750 for 1.0 point ??? :-X
Buyer - AYE CARAMBA! Not only are the design center prices redonkulous, but your rate is terrible. I'm calling someone else.
Other Lender - Hi Mr. and Ms. Buyer. Today's rate is 4.250 for -0- points. ;D
Buyer - I'll tell the IHL about the great deal I'm getting.
IHL - About that earlier quote of ours. Now we're at 4.25%, but I can't match the -0- points. You're getting a $4,000 design center credit which is like getting a 1.0 point credit, isnt' it? :-X
Seller - You're going to use an outside lender? They don't close on time. We don't know if they're any good, you'll have to sign all these waivers, and if you use them we'll yank your $4,000 credit in the design center.
The long and the short of it is this: Yes, you can use another lender. You may have to give up some concessions, most of which were phantom to begin with. Every purchase contract, just like every home that a builder builds, is going to be a bit different than the scenario above, but I'm sure this dialogue will sound pretty familiar with anyone whose purchased new construction recently. In the end, you will likely get a better loan, but the margin between the builders deal and what you can get on the outside once all of the bells and whistles are added up isn't that huge of a difference.
My .02c
Soylent Green Is People
rimrattler6
New member
Soylent Green Is People said:You can but here's how it goes down:
Buyer - nice home, I'll take it. ;D
Seller - OK. Here's the $500,000 price PLUS $4,000 for your design center IF you use our in house lender.
IHL - Hi Mr. and Ms. Buyer. Today's rate is 4.750 for 1.0 point ??? :-X
Buyer - AYE CARAMBA! Not only are the design center prices redonkulous, but your rate is terrible. I'm calling someone else.
Other Lender - Hi Mr. and Ms. Buyer. Today's rate is 4.250 for -0- points. ;D
Buyer - I'll tell the IHL about the great deal I'm getting.
IHL - About that earlier quote of ours. Now we're at 4.25%, but I can't match the -0- points. You're getting a $4,000 design center credit which is like getting a 1.0 point credit, isnt' it? :-X
Seller - You're going to use an outside lender? They don't close on time. We don't know if they're any good, you'll have to sign all these waivers, and if you use them we'll yank your $4,000 credit in the design center.
The long and the short of it is this: Yes, you can use another lender. You may have to give up some concessions, most of which were phantom to begin with. Every purchase contract, just like every home that a builder builds, is going to be a bit different than the scenario above, but I'm sure this dialogue will sound pretty familiar with anyone whose purchased new construction recently. In the end, you will likely get a better loan, but the margin between the builders deal and what you can get on the outside once all of the bells and whistles are added up isn't that huge of a difference.
My .02c
Soylent Green Is People
For a second there, I thought you were talking about my cluster of a situation with BofA...ugh!
usctrojancpa
Well-known member
You nailed it just about word for word....the phrase "after talking to my manager" it optional as it sometimes gets thrown in before "now we're at....."Soylent Green Is People said:
irvinehomeowner
Well-known member
So one of the brokers I've been working on refi quotes with just used the "hurry before rates go up" thing on me.
He thinks rates will be 6% by end of year... I can't see that happening considering what the Fed said they wanted to do until 2014.
What do you guys think?
He thinks rates will be 6% by end of year... I can't see that happening considering what the Fed said they wanted to do until 2014.
What do you guys think?
usctrojancpa
Well-known member
Just remember who is telling you that rates are going to 6% by the end of the year, if he has a financial incentive to spin it then you he is trying to push you to refi NOW. You should have asked him what his justification was for rates going up 2% in 10 months is. I would argue that real estate prices will take a big hit if rates go up that high, that fast. It sounds very familiar to BUY NO OR BE PRICED OUT FOREVER. Sounds like you should be working with someone else.irvinehomeowner said:
irvinehomeowner
Well-known member
Sorry... I phrased that wrong... I should have wrote "What do you guys think of that?"... as in -- I couldn't believe he pulled that on me.
During an election year... I don't think rising interest rates is what the Prez wants anyways... I just thought it was funny that he said that.
During an election year... I don't think rising interest rates is what the Prez wants anyways... I just thought it was funny that he said that.
usctrojancpa
Well-known member
Not surprised here, there's a lot of mortgards out there too. You should bet him that rates won't go even past 5% this year.irvinehomeowner said:
irvinehomeowner
Well-known member
It depends... I actually think because we keep lowering our buy price range... we may still be able to afford a 2% rate increase (need to crunch the numbers for sure).qwerty said:
If it's not affordable... we get out. Disclaimer: The Mrs. may have a different answer altogether... depending on how much "love" we are talking here ("Hey dear... I... uh... found more money in my rainy day shopping fund").
irvinehomeowner
Well-known member
Not necessarily a better man... if the buy price was at the top of our range... we would have to walk because the lender wouldn't qualify us... heh.
It's not like the bubble days where the bank would massage the ratios for you.
It's not like the bubble days where the bank would massage the ratios for you.
sgip
Well-known member
1) Mortgage rates rise during election years just as often as they stay the same or decline. Elections have zero impact on mortgage rates relative to market forces.
2) "Hurry up...." puh-leez. As USCT said, mortgage rates would really have to go in the can to crest over 5%. With gas rising, so might inflation (bad for rates). $120 to fill up your tank each week will retard mortgage growth (good for rates), and Europe is still on fire (good for rates). Time, as the song goes, is on your side. Yes it is.
3) Gubmint intervention. With FHA MIP and MMI increasing on 4/1, this may decrease home sales in our area given the nature of buyers we're seeing out there. Fewer sales, might lead to price stability even with very limited inventory.... which in turn might mean more Gubmint intervention in housing.
It's going to be a wild ride in 2012, but higher rates and sales prices? Not from what my Magic 8 Ball is telling me.
My .02c
Soylent Green Is People
2) "Hurry up...." puh-leez. As USCT said, mortgage rates would really have to go in the can to crest over 5%. With gas rising, so might inflation (bad for rates). $120 to fill up your tank each week will retard mortgage growth (good for rates), and Europe is still on fire (good for rates). Time, as the song goes, is on your side. Yes it is.
3) Gubmint intervention. With FHA MIP and MMI increasing on 4/1, this may decrease home sales in our area given the nature of buyers we're seeing out there. Fewer sales, might lead to price stability even with very limited inventory.... which in turn might mean more Gubmint intervention in housing.
It's going to be a wild ride in 2012, but higher rates and sales prices? Not from what my Magic 8 Ball is telling me.
My .02c
Soylent Green Is People
WoodburyDad
New member
irvinehomeowner said:
The current policy of a low, non-existent interest rate environment will continue.
Everything possible will be done between now and November to get the President re-elected.
A tremendous amount of dollars are being pumped into banks both here and in Europe (via swaps).
Allowing the banks to clear the toxic waste from their balance sheets
It wouldn't surprise me to see rates drop even lower.