Refinance

rodney eppes said:
I started my loan app on 8/25, with my mortgage holder, Fifth Third. Was told due to the back log, expect closing mid November. Last email/update, I heard from them was a month ago. This past week, I've sent Two emails to the last person that was "supposedly" handling my loan. No replies! Guess I need to threaten to back out!
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Unfortunately, due to the volume they're doing right now...not sure you'll get a lot of traction with that. They win all around. Less work on them to process your refi and they keep you at a higher rate (the $ they make on your higher rate will likely outweighs the closing costs they'll make to process the refi). Hope I'm wrong for you though.

I've gone about it by asking for them to lower the rate and reduce my closing costs as it's costing me an add'l $300+/month by keeping me in my current mortgage and they promised me they'd have it done in 90 days. Even with that, I don't have a lot of leverage. What am I going to do...cancel and start over? They know better than that unfortunately.
 
rcalexander105 said:
Unfortunately, due to the volume they're doing right now...not sure you'll get a lot of traction with that. They win all around. Less work on them to process your refi and they keep you at a higher rate (the $ they make on your higher rate will likely outweighs the closing costs they'll make to process the refi). Hope I'm wrong for you though.

I've gone about it by asking for them to lower the rate and reduce my closing costs as it's costing me an add'l $300+/month by keeping me in my current mortgage and they promised me they'd have it done in 90 days. Even with that, I don't have a lot of leverage. What am I going to do...cancel and start over? They know better than that unfortunately.
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Yes, just a quick check last night, & saw I did put down $395, for the process. There's probably some legal crap too. Monday, I'll get hold of the Manager!
 
Jody Treadway said:
We are qualified for 2.125 at 30 years, $500 out of pocket at closing. Dropped our payment 32%
Still have some paperwork to submit, but we're somewhat locked in.
Pretty amazing really
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Holy shit thats awesome
 
Jody Treadway said:
We are qualified for 2.125 at 30 years, $500 out of pocket at closing. Dropped our payment 32%
Still have some paperwork to submit, but we're somewhat locked in.
Pretty amazing really
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So did you find a different lender or??? To me it seemed like you were getting reverse psychology-ized...'it's not a good idea for you', because they would be making even less on you. These refi's are basically free money right now, and seems like anything with a pulse and credit score over 750 should be able to get sub-3% and nothing out of pocket. You're saving that 1.25% and could do whatever the hell you wanted with your new lower payments. Pay principal faster or dabble in the market.

Jody Treadway said:
I'm admittedly not a spreadsheet/numbers cruncher kind of guy. But when someone who can make $$$ of of me says it's not worth it to him or me, intend to listen.
He essentially mimicked what was said: since we're on track to pay off so early with so much additional to principal, it would be a wash financially. If we were shooting for 3 years or so, maybe. But then the fees/closing costs/etc make it unattractive.
This is through a lender I've financed 4 houses with FWIW.
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UTfball68 said:
So did you find a different lender or??? To me it seemed like you were getting reverse psychology-ized...'it's not a good idea for you', because they would be making even less on you. These refi's are basically free money right now, and seems like anything with a pulse and credit score over 750 should be able to get sub-3% and nothing out of pocket. You're saving that 1.25% and could do whatever the hell you wanted with your new lower payments. Pay principal faster or dabble in the market.
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Whole different lender. Called someone a close friend recently used and suggested.
 
Jody Treadway said:
Whole different lender. Called someone a close friend recently used and suggested.
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Gotcha...similar deal happened for me. Same guy I've financed everything through from my first home to the one I'm in now and everything in between. He was able to drop my rate, but wanted like $6-7k out of pocket after buying points and closing fees. A member here put me in contact with another lender, matched the rate with nothing out of pocket. Could have been at or below 2.5% if I wanted to front cash, but I have no idea where I'll be in 3-5 years. Now my feelings are kinda hurt, because I have 10 years worth of deals and about a dozen properties done with 'my guy'...competition is king, I suppose.
 
Jody Treadway said:
We are qualified for 2.125 at 30 years, $500 out of pocket at closing. Dropped our payment 32%
Still have some paperwork to submit, but we're somewhat locked in.
Pretty amazing really
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You win sir, you win.

Our of pocket at closing, but is your new loan amount going to be a couple grand more than current? Thats how they sneak that crap in!
 
DSM Turbos said:
You win sir, you win.

Our of pocket at closing, but is your new loan amount going to be a couple grand more than current? Thats how they sneak that crap in!
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This is what I learned. When I inquired about zero out of pocket at close, they said, "Absolutely! we'll just add it to the loan."
Did some math... um, no, thanks. Cheaper to just pay up now.
 
DSM Turbos said:
You win sir, you win.

Our of pocket at closing, but is your new loan amount going to be a couple grand more than current? Thats how they sneak that crap in!
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Yes, to a point.
But since we plan to stick to our additional monthly payment addition, it won't materialize enough to matter.
But should we need to fall back on the lower payment for whatever reason, we're still in good shape.
Obviously, they're gonna get ya one way or another.
 
Jody Treadway said:
We are qualified for 2.125 at 30 years, $500 out of pocket at closing. Dropped our payment 32%
Still have some paperwork to submit, but we're somewhat locked in.
Pretty amazing really
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Daaayyymmmnnnn

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@77GreenMachine get them digits son!
 
Jody Treadway said:
Yes, to a point.
But since we plan to stick to our additional monthly payment addition, it won't materialize enough to matter.
But should we need to fall back on the lower payment for whatever reason, we're still in good shape.
Obviously, they're gonna get ya one way or another.
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Very nice, I know paying off the house is nice, but at almost 2% is there any point!
 
Now that I finally have refinance #2 of 2020 completed, maybe its time to start quoting refinance #3 :lol:
 
rodney eppes said:
No! You get the yearly tax interest write off, & you Hope to reinvest the extra money that earns Way more!
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Interest tax write off is essentially gone now with new tax code.

Also...remember all the write off means is you dont pay income tax on the INTEREST only you paid the bank. You dont get to deduct that amount from your tax burden only the tax paid on that amount.

Tax deduction is NEVER the reason to pay interest. never.
 
Ron said:
Interest tax write off is essentially gone now with new tax code.

Also...remember all the write off means is you dont pay income tax on the INTEREST only you paid the bank. You dont get to deduct that amount from your tax burden only the tax paid on that amount.

Tax deduction is NEVER the reason to pay interest. never.
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Preach! Now if it were a credit and not a deduction, well that may factor in... may.
 
BigClay said:
Preach! Now if it were a credit and not a deduction, well that may factor in... may.
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If you assume that you are in a 40% tax bracket.
AND you get to deduct the interest.
The effect is saying Id rather pay $10k to the bank to prevent paying $4k to the government.

I cant believe how well the banks have sold the populace on this myth.
 
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