Mortgage Refi Dilemma

jimbob_racing wrote: The problem that I found with my FHA loan is that my mortgage insure goes from $50is per month to $100ish per month. I've never missed a payment in the six years that I've had the loan, never been late. Hate to get boned like that for the life of the loan.

I don't know FHA stuff in particular, but generally mortgage insurance ends once you get 20% equity into the loan. So it would only be required for the first couple years, and then disappear. Especially if you double your principal payments from the start when that's cheap.

bludroptop wrote:

jimbob_racing wrote: The problem that I found with my FHA loan is that my mortgage insure goes from $50is per month to $100ish per month.

New streamline rules just took effect - lower monthly MIP as well. YMMV - not trying to sell anything here.

Thanks. I'll look into it again!

Yes FHA MIP rate has increased dramatically, except on the new Streamline you get a discount.

But if your FHA loan is old then the extra cost of the new MIP could offset any savings. As always do the math, it ain't rocket science.

Thanks guys. I feel like I have a better grasp on it now.

Double thanks, y'all had me start running numbers again and it looks like we'd be ahead on the 15 year this time. Good info!

Now if I could just get the GD mortgage company to call me back

poopshovel wrote: Now if I could just get the GD mortgage company to call me back

I hear if you stop making payments for a few months they actually answer the phone.

poopshovel wrote: Now if I could just get the GD mortgage company to call me back

If it's one of the Too Big To Fail Banks getting them to call you back could take a month or more and their underwriting times are taking 2-4 months. Processing times are on top of that.

Due to the influx of business and the seriously diminished capacities of all lenders in the industry we've seen a very sudden tightening of underwriting in the past 2 weeks. They can't even rehire experienced people because they are too far out of touch with all the new rules.

Anything different seems to be getting cast off when 3 weeks ago they were begging and were taking the time to look for ways to approve people. Now they seem to be looking for excuses to turn them down. Takes a lot more work on the part of the originator.

Yeah, BOA bought our existing loan. I called them a few months ago about a refi.............they said they would call us back in 60-90 days.

z31maniac wrote: Yeah, BOA bought our existing loan. I called them a few months ago about a refi.............they said they would call us back in 60-90 days.

That is normal for them. Count on months to get the loan done once you get started.

But why bother with them at all? Go where you want and refi it.

We did a "Close @ home" with Wells Fargo a few years back. My wife called up, said that we were considering refinancing, and they dropped our interest rate by 1.125%. No cost to us, same principal balance, we just had to have a notary sign the paperwork and mail it back in the pre-paid FedEx envelope.

carguy123 wrote:

z31maniac wrote: Yeah, BOA bought our existing loan. I called them a few months ago about a refi.............they said they would call us back in 60-90 days.

That is normal for them. Count on months to get the loan done once you get started. But why bother with them at all? Go where you want and refi it.

We did, appraisal was jacked. I had just called them to see what they would say. I told them not to bother.

I closed in 34 days from the GFE to the closing table through a broker and quicken loans. Would have been quicker, but the underwriter stalled us for about a week wanting some paperwork that was impossible to provide. After a week of him saying "I need X" and me saying "There is no X, what can I do to make that OK?" and going round in circles, I finally said "There is no X. I've got 40% equity, way more income than I need for the amount, and the best credit scores you've seen all month. Either approve the loan or let me know you aren't going to so I can move on to someone who will." He approved the loan.

dj06482 wrote: We did a "Close @ home" with Wells Fargo a few years back. My wife called up, said that we were considering refinancing, and they dropped our interest rate by 1.125%. No cost to us, same principal balance, we just had to have a notary sign the paperwork and mail it back in the pre-paid FedEx envelope.

I tried that with W/F and they wouldn't budge at all. Ended up going to a mortgage broker.