HLS. You said rates are down now compared to early May before the spike, but when I check certain rates websites like bankrate.com it shows them to be still higher and close to the May spike.
I have a question for you. If someone were to buy a $700k home with 5% down and has an over 700 fico and family income is over $150k. What is the rate they can get today? I am asusming a 80/15/5 loan. Is this rate something they could have recieved in early May prior to the spike? It still seems to be at least 1/2% higher. If that buyer decides to buydown points how much would a point cost? How much can buying down $20k of points get you?
The reason I ask is that some builders/lenders will give you an incentive to buydown $20k in points. Yet even with the buydown the rate is equivalent to what some bank websites claim without buying down any points. The builder/lender seem to jack up the rate, then claim that $20k bought you down almost 1% but in reality it is just getting you down to a rate you can get from anywhere.
If you’d like to take this offline. Please email me at [email protected]
