Dollar down?

[moneymaker]

When stocks drop, gold goes down, and money is cheaper rate wise. Just wish I had the nerve to refi, it was hard enough the first time. I’m non recourse and can maybe get 1 point knocked off, but probably not without points. I wish I hadn’t paid points the first time to get sub 5%. Anybody out there refi’ing an FHA loan? P.S> Somebody I know just defaulted on their mortgage, he seemed kinda relieved about the whole thing.

[briansd1]

I don’t think you need to worry about recourse when refinancing, even if you want to keep the option to default.

A lender that completes a nonjudicial foreclosure sale is also deemed to have elected its remedies and may not seek a deficiency judgment against the borrower.

Introduction to California’s one-action and antideficiency rules

[moneymaker]

—There are also some further limitations under California law on whether a lender can get a deficiency when foreclosing on a home mortgage. Specifically, Cal. Code of Civil Procedure Section 580b provides that no deficiency judgment is allowed under a deed of trust or mortgage given to the seller to secure payment of the
balance of the purchase price of that real property, or under a deed of trust or mortgage on a dwelling for not more than four families given to a lender to secure repayment of a loan which was in fact used to pay all or part of the purchase price of that dwelling occupied, entirely or in part, by the
purchaser. Note that if a 1 – 4 family dwelling has been refinanced, however, then a deficiency judgment may be sought.—Wow things can really get complicated fast when one has a cosigner and a second mortgage,I don’t have either although I’ve been a cosigner in the past. Didn’t realize all the implications of it at the time,but everything turned out good as the original borrower(my brother)refinanced.Very informative site briansd1.

[temeculaguy]

I just signed docs tonight. My scenario is unique, so your results may vary. I originally bought with 5% down FHA 6% no points, then about a year later refi’d for 5% with no points, still FHA. My reasoning at the time was I needed my cash because my trashed repo needed me to put cash into it to make it livable and I was scared about the coming apocolypse due to the many wing nut posters here talking about spam and ammo.

Well despite all the prognostications of the wasteland and overbuilt Temecula that I was buying in, the opposite occured. We churned through the inventory and the bubble purchases folded before the moratoriums and the prices have risen slowly since. So much so that despite putting 5% down about 2 1/2 years ago and about the equivalent of another 5-10% in repairs, my appraisal came in showing I had 30% equity. So my refi was conventional and a no points 4 3/8 but I got out of the PMI and a pro rated MIP refund. I figure the the drop in payment is between 15 and 20% (mostly because of the PMI), effectively the difference between a 30 and a 15 year loan. If I make the same payment as I had been making the refi can effectively bring me close to a 15 year loan. At a minimum, I shaved 10 years off my mortgage. I’m lucky with respects to the increase in value and because I have a childhood friend in the loan biz, but I didn’t do anything anyone else couldn’t do. In fact i could have gotten a better rate, but I always choose the cheapest option, in fact I’m getting a bunch of money back because of the bloated escrow account, the higher than market rate, skipping a payment and the MIP rebate. I’m against paying points, always have been, life is too fluid. Now I don’t have a view of T.J. mind you, but I digress.

Now I have to go get some ice for my arm, it’s sore from patting myself on the back.

P.S., it’s still non recourse

[CA renter]

Spam…try it fried, with eggs. Add some green onions if you’d like.

Can’t help you with the ammo, but this will help you whittle down your stockpile of Spam. 😉

[Coronita]

Money is about to get cheaper. Take a look at todays 15 and 30… Ridiculously low….At this point, folks with a lot of equity, it might really make sense to do a cash out refinance and do “something else” with that wad of cash.

15 years conforming are below 3% by some lenders. Unfrickinbelievable. One *should* be able to better than 3% right?

[scaredyclassic]

Difference between conforming and nonconforming looks much larger than last year. Nonconforming not so cheap.

Thinking about putting 25000 to buy the balance down to conforming to get about .7 percent lower today. Is that reasonable?

Maybe wait a bit? I won’t feel bad if I miss out on .7 percent.

[paramount]

[quote=temeculaguy]My reasoning at the time was I needed my cash because my trashed repo needed me to put cash into it to make it livable and I was scared about the coming apocolypse due to the many wing nut posters here talking about spam and ammo.

Well despite all the prognostications of the wasteland and overbuilt Temecula that I was buying in, the opposite occurred. [/quote]

TG: I really want to be on-board with you and your Pollyanna view of Temecula – as you know I’m fairly heavily ‘invested’ in Temecula.

But what I see is continued financial devastation and dare I say falling demographics. Foreclosures galore, businesses struggling.

I was shocked to learn Pat and Oscar’s shut down Friday in Temecula.

I’m not suggesting it’s that much better in other areas, I’ll just be happy if Temecula holds steady at this point.

[scaredyclassic]

Most eateries I go to seem crowded in temecula

[temeculaguy]

I’m not sure the Pat and Oscars closing is a local barometer. They closed their Carlsbad and El Cajon locations as well, even read their carmel valley location is closed. I found some articles and those may have been the only ones that weren’t franchised and part of a Chapter 7 by the corporation. But places come and go for a variety of reasons, however I’ve seen more places open than I’ve seen close so maybe that’s why I have a rosy view. I also think that Carlsbad has a bright future, yet for whatever reason, places close there as well.

http://www.nctimes.com/business/article_ccb766d4-dcaf-5dfc-ad1a-5954b21fdb7a.html

http://temecula.patch.com/articles/pat-oscars-closes-amidst-layoffs

I’ll bet something else goes in, they have a great location, could use a bigger parking lot though. I really think there is more to the story as far as the company goes, because of all the times I’ve been there, you have trouble finding a parking spot and even though it’s huge inside, sometimes getting a table is a problem.

[paramount]

[quote=temeculaguy] I really think there is more to the story as far as the company goes, because of all the times I’ve been there, you have trouble finding a parking spot and even though it’s huge inside, sometimes getting a table is a problem.[/quote]

Probably, the DW and I were discussing the fact that Pat and Oscar’s (Temecula) was often crowded. And we were regulars.

[carlsbadworker]

Pat & Oscar’s filed for bankruptcy:

http://www.nctimes.com/business/fb33a04b-8f0d-5f06-93d6-24285e2c206d.html

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