Mortgage rates are at rock bottom

[mustangboy]

I leave all the specifics up to my wife but we are getting ready to refi again and I believe the rate was somewhere around 3.8% and that is just keeping with the 13yrs we have left. This is I think the 4th time in 8yrs that we have refinaced. Anyone looking to save some money ought to check it out rates most like won't ever get much lower.

[cstreu1026]

Wright Patt Credit Union is offering 3.75 on 10 and 15 year mortgages and and 4.375 on 30 year mortgages. http://www.mycumortgagehomeloans.com/rates.asp?siteId=540F06FF-D3B1-44FD-8285-6C9FFD0ACD47

If they offered the same sort of closing cost as Union Savings Bank ($299 + recording fees) we'd be all over that. Unfortunately the closing costs are probably as much as we would save.

[ADaughen]

I am hoping they will stay down until the end of November. My wife and I bought our first house five years ago on a fixed rate (7.75% which was decent at the time). We pay a huge penalty for refinancing before five years is up, though. >_<

I was looking at ~4.5% back in April for a 20-25 year. If I can get a ~3.8%, I think I could definitely go 20 years. :bigthumb

[mustangboy]

Since we don't ever plan on moving I believe it calculated up to save us another $15k to refi. If remember when we dropped from 30yr to 20 it saved us approx 100k.

[cstreu1026]

Well I just ran the numbers and if we refi in to the 10 year with an APR of 4.299% over our current 15 year loan (assuming we carry both to full term) we will save roughly $10,000 in interest and our payment will go up about $100. I think I can live with that, but I wonder if I should wait to see how this turns out? http://finance.yahoo.com/news/Fed-worried-about-recovery-apf-2353655020.html?x=0

[RACEME]

I know alot of people have had good experience with Guardian saving bank on REFI. They are only $250 to do it. They also have all of their repo's on their website with prices.

[Jeff88coupe]

We refi'ed our house with Guardian about 18m ago....went to a 15 yr at I think 4.25% from a 30yr....our monthly payment only went up like $80 a month.

[Walter]

Park Hills bank has 4.25 on a 30yr fixed.

[relaxednoma]

wow looks like we need to refinance. we are at a 6.25

[ibstrokin]

Thanks to this thread I started doing some checking, looks like I can shorten my term by 8 yrs for only $74/mo extra.

[DeckerEnt]

I just refied mine in Feb. Got to wait till feb next year. Hope the intrest rates don't go up too much by then.

[Gearhead]

We just refinanced last week at 4.25%, with around $290 in closing costs. Knocked about $150.00 off our monthly payment.
Guardian / Union Savings Bank has probably the best deal going as far as fees and closing costs.

[cstreu1026]

I just got off the phone with USB and they are at 4.125% for 10/15 year loans.

[ADaughen]

I just got off the phone with USB and they are at 4.125% for 10/15 year loans.


Damn, I think I could swing a 15 year 4% loan. It is a few dollars over what I am paying for a 30 year at 7.75%. :eek:

Mortgage Repayment Summary
$974.07.................................... $175,333.21
Monthly Payment........................Total of 180 Payments

$41,504.04................................Jul, 2025
Total Interest Paid......................Pay-off Date

$22,500.00................................$1,329.1 7
Total Tax Paid............................Total PMI Paid

Monthly PMI...............................Jan, 2013
29 Monthly PMI Payments.............PMI Pay-off Date
of $45.83 Each



Speculators are saying it might go down to 3% soon, but expects it to go up to ~5% next year as buying catches up. *crosses fingers*

10 years would be awesome, but it looks like 3% isn't low enough to make it feasible.

[ADaughen]

http://articles.moneycentral.msn.com/Banking/HomeFinancing/article.aspx?post=1791982


Rates for 15-year mortgages dropped to 3.92%, the lowest rate on record and down from 3.95% last week.

WIN (?)

Wife is setting up appointments to get our ball rolling.

[mustangboy]

We just locked in this morning for 3.75%. We stayed with our current length which is around 13.5yrs but if we just keep paying what we are now it should knock another 2-3 yrs off the length of the loan. You guys should seriously look at a 10/15 or 20 yr loan over the 30yr. You would be amazed at actually how close it would be to your 30yr payment but will save you around 100k over the life of the loan. I'm sorry but if I can save myself $100k by paying a few more dollars a month on a lot shorter term it is a no brainer

[cstreu1026]

I ran through the numbers again and by going to the 10 year loan at the lower rate i will be paying about $100 more a month. Iif I add that $100 to my existing payment and skip the closing cost on a new loan then I still pay it off in 10 years and the interest saved is almost the same. I think I am going to wait it out and see if they drop more.

[ADaughen]

We just locked in this morning for 3.75%. We stayed with our current length which is around 13.5yrs but if we just keep paying what we are now it should knock another 2-3 yrs off the length of the loan. You guys should seriously look at a 10/15 or 20 yr loan over the 30yr. You would be amazed at actually how close it would be to your 30yr payment but will save you around 100k over the life of the loan. I'm sorry but if I can save myself $100k by paying a few more dollars a month on a lot shorter term it is a no brainer


Congrats on the rate.

Payments on a 10 year looked like it was too high at 4%.

15 years would be a little less than what we currently pay on a 30 year. However, we could still pay our usual rate and pay it off sooner.

Before the rates dropped last time we were really just hoping for a 25 year. It would be awesome to be free and clear at 44. More money for powdercoating. :lol:

[ibstrokin]

Well I spoke to my mortgage company and got them to do a 4%/15 yr. Which is better than my 23yrs remaining @ 6%. Thanks for the motivation guys.

[mustangboy]

No problem, thats why I started the thread. I think most people just assume that they can only afford a 30yr note but really with the rate savings alot of times a 20 yr is very very close to the same payment and you will save a massive amount of cash in the end.

[Dirtyd0g]

The problem is the banks are stingy about who they will loan to right now.
I have had several friends have problems, even after prequalification.
I wanted to refinance mine but because I am self employed my mortgage company will not loan money to me. I think they are really hoping to foreclose on my house, that is why I make sure they are paid first. I owe 48,000 on this place with 7 years left on the loan.
Alan

[cstreu1026]

I'm bringing this back to the top because rates are back down again. I just checked and the 10 year loan I have been eyeing is down to 3.375%. If things go as planned we should be debt free in a little over 6 years!

If you have been thinking about refinancing (or even buying a new home) it might be time to get things rolling.

[Timido]

I think ours is at 3.7 15 year. We saved a ton in interest

[bascom123]

WPCU is %3.375 10fr/fixed and about $1800 closing costs

USB in dayton is %4.00 10yr/fixed $349 closing costs

With WPCU if i shave 3 years off my loan and pay 130 per month more i save $17K over the 10 years in interest even with the refinance rolled into the loan.

[cstreu1026]

Yeah unfortunately USB offers the same rate for a 10 year as they do for a 15. WPCU is offering a special for doing a refi on a first mortgage only that is 3.25% with $899 closing costs.

[ADaughen]

I was foolish early on in home ownership, and pulled a second mortgage to pay for some needed repairs. The total of both is worth more than the *current* appraised amount. I still can't get refi'd. :(


OTOH, I have been happy with USB and WPCU with my other banking needs.

[cstreu1026]

That sucks. I am anxious to get the appraisal done on the house because we have done a bunch of work in the last year.

[RIXXX93GT]

Hope your appraisal comes out better than my last one Cameron. With all the houses being sold on short sells their was no good comps for the appraisal. Therefore mine was evaluated the same as all the foreclosure sales. Cost me 400 for the appraisal to boot.

[cstreu1026]

I'm curious what they will used for comps because Xenia isn't exactly filled with homes like ours.

[beefcake]

I'm waiting for them to go really good. I'm at 5.0% now on an FHA, so, i can just steamline, no appraisal needed, but i think they need to be at least 3.75 to be worth it

[ADaughen]

I'm curious what they will used for comps because Xenia isn't exactly filled with homes like ours.


There is always something to comp it to. Square footage, size of lot, etc. In your case, they just don't take 3 houses in each direction like my cookie cutter. ;)


You might check zillow.com for "comps" in your area.

[skeptiq]

I'm waiting for them to go really good. I'm at 5.0% now on an FHA, so, i can just steamline, no appraisal needed, but i think they need to be at least 3.75 to be worth it

I just went throught the streamline process and it was really easy... I dropped over 1.5% and since we aren't struggling, the wife and I decided to keep paying the same we were on the old loan, and that should cut about 8 years off the loan. We also decided to take our tax returns and apply them to house and that extra payment each year will cut another 2-3 years off the loan.

I used quicken loans and the whole process took less than two weeks from initial contact to close.

[cstreu1026]

There is always something to comp it to. Square footage, size of lot, etc. In your case, they just don't take 3 houses in each direction like my cookie cutter. ;)


You might check zillow.com for "comps" in your area.

If my memory is correct I think they used a house in Xenia Township but in Beavercreek School District for a comp last time. I don't agree with that but it does work out favorably for us.

[cstreu1026]

I'm waiting for them to go really good. I'm at 5.0% now on an FHA, so, i can just steamline, no appraisal needed, but i think they need to be at least 3.75 to be worth it

5.0% on a 30 year or 15 year? The general rule of thumb is a that a refi is worth it if the rate difference is 1% or more.

[cstreu1026]

I just checked out Zillow and they are a little behind the times. They don't even show the last 30 or 40 homes that were built in our neighborhood.

[ADaughen]

That sucks. I am anxious to get the appraisal done on the house because we have done a bunch of work in the last year.


Tell me about it. I was locked in six years ago when 7.x% on a 30 year was "good". Dropping to 4%, I could afford to knock 5-10 years off my loan.


We did a new 30yr roof, new upgraded windows, 1/2 bath update, new siding and insulation, and a bunch of small things that needed done; the appraiser didn't care. :rolleyes: The only plus is we didn't "lose" money doing the upgrades. We just didn't gain any equity, either. :mad:

The house was originally appraised at $128k, we paid $118k (good deal at the time, both neighbors sold for $135k+. Another neighbor was trying to flip their house for $185k and it didn't have the space ours has. They ended up selling for ~$145k after the market tanked.


We still have 3/4 of the downstairs to re-floor and the dining room and kitchen to do. If the economy picked up, I could get some more done, but then the APR would go up.

[BlazinEagle]

I refinanced in feb as well and saved 150 a month and 5 years in payments. I now add $50 extra a month ($100 in savings) to the payment and it should save me another 7 years at the end of 25 years. It is nice to actually have $30000 in equity in my house that is only 5 years old.

[BlazinEagle]

My appraiser didn't give 2 shits what I had done to the house at the time. Hopefully next time he will becuase I just got a loan to finish my basement.