I’ve locked in a refinance (again) @ 3.375%

[(former)FormerSanDiegan]

[quote=Aecetia]Flu,

Good for you and I hope your health improves 100%. Do you think it will go below 3%? [/quote]

I certainly hope his health doesn’t go below 3%.

[Coronita]

[quote=Aecetia]Flu,

Good for you and I hope your health improves 100%. Do you think it will go below 3%? That would be lower than the 1950’s I believe.[/quote]

I really don’t know….But I don’t think realistically I can save much more from a refinance.
I did a rough calculation on how much more I could save, and it’s pretty much hitting the floor.

@3.375%, monthly is 2814 and total would be $506,479.79
@3.000%, monthly is 2742 and total would be $493,489.64
@2.500%, monthly is 2647 and total wound be $476,487.57

So unless rates plummet below 2%, I think I’ve hit the near bottom on my savings. And i reallly don’t want rates to go below 2 because if that happens, you know our economy really is in trouble.

I think I’m probably early and wouldn’t be surprised if I waited 2-3 months and see a 3 1/8% no fee/no cost, but I really don’t have time to deal with this in 2-3 months. I’m usually off in my timing about about 1-2 months being too early. So use that as a frame of reference.

The other thing I was thinking about was refinancing into a 30year, taking cash out , and turning this into a rental. It’s almost doable, with a sub 4% 30 year fixed. However, at this point, I don’t know what my health is going to look like in a few years, and I’d rather have my primary paid off, in case I need to work less or need to not work at all and live off of interest/dividend/etc. So essentially I chickened out and kept with the 15, with the intent to pay it off in 10 or less. I’ll be making the same payments on my current loan to my new loan…

[Coronita]

[quote=Aecetia]Flu,

Good for you and I hope your health improves 100%. Do you think it will go below 3%? That would be lower than the 1950’s I believe.[/quote]

I really don’t know….But I don’t think realistically I can save much more from a refinance.
I did a rough calculation on how much more I could save, and it’s pretty much hitting the floor.

@3.375%, monthly is 2814 and total would be $506,479.79
@3.000%, monthly is 2742 and total would be $493,489.64
@2.500%, monthly is 2647 and total wound be $476,487.57

So unless rates plummet below 2%, I think I’ve hit the near bottom on my savings. And i reallly don’t want rates to go below 2 because if that happens, you know our economy really is in trouble.

I think I’m probably early and wouldn’t be surprised if I waited 2-3 months and see a 3 1/8% no fee/no cost, but I really don’t have time to deal with this in 2-3 months. I’m usually off in my timing about about 1-2 months being too early. So use that as a frame of reference.

The other thing I was thinking about was refinancing into a 30year, taking cash out , and turning this into a rental. It’s almost doable, with a sub 4% 30 year fixed. However, at this point, I don’t know what my health is going to look like in a few years, and I’d rather have my primary paid off, in case I need to work less or need to not work at all and live off of interest/dividend/etc. So essentially I chickened out and kept with the 15, with the intent to pay it off in 10 or less. I’ll be making the same payments on my current loan to my new loan…

[Coronita]

[quote=Aecetia]Flu,

Good for you and I hope your health improves 100%. Do you think it will go below 3%? That would be lower than the 1950’s I believe.[/quote]

I really don’t know….But I don’t think realistically I can save much more from a refinance.
I did a rough calculation on how much more I could save, and it’s pretty much hitting the floor.

@3.375%, monthly is 2814 and total would be $506,479.79
@3.000%, monthly is 2742 and total would be $493,489.64
@2.500%, monthly is 2647 and total wound be $476,487.57

So unless rates plummet below 2%, I think I’ve hit the near bottom on my savings. And i reallly don’t want rates to go below 2 because if that happens, you know our economy really is in trouble.

I think I’m probably early and wouldn’t be surprised if I waited 2-3 months and see a 3 1/8% no fee/no cost, but I really don’t have time to deal with this in 2-3 months. I’m usually off in my timing about about 1-2 months being too early. So use that as a frame of reference.

The other thing I was thinking about was refinancing into a 30year, taking cash out , and turning this into a rental. It’s almost doable, with a sub 4% 30 year fixed. However, at this point, I don’t know what my health is going to look like in a few years, and I’d rather have my primary paid off, in case I need to work less or need to not work at all and live off of interest/dividend/etc. So essentially I chickened out and kept with the 15, with the intent to pay it off in 10 or less. I’ll be making the same payments on my current loan to my new loan…

[Coronita]

[quote=Aecetia]Flu,

Good for you and I hope your health improves 100%. Do you think it will go below 3%? That would be lower than the 1950’s I believe.[/quote]

I really don’t know….But I don’t think realistically I can save much more from a refinance.
I did a rough calculation on how much more I could save, and it’s pretty much hitting the floor.

@3.375%, monthly is 2814 and total would be $506,479.79
@3.000%, monthly is 2742 and total would be $493,489.64
@2.500%, monthly is 2647 and total wound be $476,487.57

So unless rates plummet below 2%, I think I’ve hit the near bottom on my savings. And i reallly don’t want rates to go below 2 because if that happens, you know our economy really is in trouble.

I think I’m probably early and wouldn’t be surprised if I waited 2-3 months and see a 3 1/8% no fee/no cost, but I really don’t have time to deal with this in 2-3 months. I’m usually off in my timing about about 1-2 months being too early. So use that as a frame of reference.

The other thing I was thinking about was refinancing into a 30year, taking cash out , and turning this into a rental. It’s almost doable, with a sub 4% 30 year fixed. However, at this point, I don’t know what my health is going to look like in a few years, and I’d rather have my primary paid off, in case I need to work less or need to not work at all and live off of interest/dividend/etc. So essentially I chickened out and kept with the 15, with the intent to pay it off in 10 or less. I’ll be making the same payments on my current loan to my new loan…

[Coronita]

[quote=Aecetia]Flu,

Good for you and I hope your health improves 100%. Do you think it will go below 3%? That would be lower than the 1950’s I believe.[/quote]

I really don’t know….But I don’t think realistically I can save much more from a refinance.
I did a rough calculation on how much more I could save, and it’s pretty much hitting the floor.

@3.375%, monthly is 2814 and total would be $506,479.79
@3.000%, monthly is 2742 and total would be $493,489.64
@2.500%, monthly is 2647 and total wound be $476,487.57

So unless rates plummet below 2%, I think I’ve hit the near bottom on my savings. And i reallly don’t want rates to go below 2 because if that happens, you know our economy really is in trouble.

I think I’m probably early and wouldn’t be surprised if I waited 2-3 months and see a 3 1/8% no fee/no cost, but I really don’t have time to deal with this in 2-3 months. I’m usually off in my timing about about 1-2 months being too early. So use that as a frame of reference.

The other thing I was thinking about was refinancing into a 30year, taking cash out , and turning this into a rental. It’s almost doable, with a sub 4% 30 year fixed. However, at this point, I don’t know what my health is going to look like in a few years, and I’d rather have my primary paid off, in case I need to work less or need to not work at all and live off of interest/dividend/etc. So essentially I chickened out and kept with the 15, with the intent to pay it off in 10 or less. I’ll be making the same payments on my current loan to my new loan…

[bearishgurl]

flu, I take it you currently have a conforming loan? In light of your circumstances I think you are very wise to keep your 15-yr loan term and endeavor to pay it off in 10 yrs.

Is the new $2800+ mo amount PITI or just PI? I’m not too familiar with the rents up there but if your payment is just PI, I don’t see the viability of renting out without either a negative cash flow or the hassles of turnover with a rent set at above $3500 mo.

If you pay the extra every month like you are planning to for at least a couple of years, your new 15-year loan will begin to amortize very quickly at about 40-42 months in. This will give you and your family a lot of flexibility.

I wish you all the best with your health issues.

[bearishgurl]

flu, I take it you currently have a conforming loan? In light of your circumstances I think you are very wise to keep your 15-yr loan term and endeavor to pay it off in 10 yrs.

Is the new $2800+ mo amount PITI or just PI? I’m not too familiar with the rents up there but if your payment is just PI, I don’t see the viability of renting out without either a negative cash flow or the hassles of turnover with a rent set at above $3500 mo.

If you pay the extra every month like you are planning to for at least a couple of years, your new 15-year loan will begin to amortize very quickly at about 40-42 months in. This will give you and your family a lot of flexibility.

I wish you all the best with your health issues.

[bearishgurl]

flu, I take it you currently have a conforming loan? In light of your circumstances I think you are very wise to keep your 15-yr loan term and endeavor to pay it off in 10 yrs.

Is the new $2800+ mo amount PITI or just PI? I’m not too familiar with the rents up there but if your payment is just PI, I don’t see the viability of renting out without either a negative cash flow or the hassles of turnover with a rent set at above $3500 mo.

If you pay the extra every month like you are planning to for at least a couple of years, your new 15-year loan will begin to amortize very quickly at about 40-42 months in. This will give you and your family a lot of flexibility.

I wish you all the best with your health issues.

[bearishgurl]

flu, I take it you currently have a conforming loan? In light of your circumstances I think you are very wise to keep your 15-yr loan term and endeavor to pay it off in 10 yrs.

Is the new $2800+ mo amount PITI or just PI? I’m not too familiar with the rents up there but if your payment is just PI, I don’t see the viability of renting out without either a negative cash flow or the hassles of turnover with a rent set at above $3500 mo.

If you pay the extra every month like you are planning to for at least a couple of years, your new 15-year loan will begin to amortize very quickly at about 40-42 months in. This will give you and your family a lot of flexibility.

I wish you all the best with your health issues.

[bearishgurl]

flu, I take it you currently have a conforming loan? In light of your circumstances I think you are very wise to keep your 15-yr loan term and endeavor to pay it off in 10 yrs.

Is the new $2800+ mo amount PITI or just PI? I’m not too familiar with the rents up there but if your payment is just PI, I don’t see the viability of renting out without either a negative cash flow or the hassles of turnover with a rent set at above $3500 mo.

If you pay the extra every month like you are planning to for at least a couple of years, your new 15-year loan will begin to amortize very quickly at about 40-42 months in. This will give you and your family a lot of flexibility.

I wish you all the best with your health issues.

[Coronita]

[quote=bearishgurl]flu, I take it you currently have a conforming loan? In light of your circumstances I think you are very wise to keep your 15-yr loan term and endeavor to pay it off in 10 yrs.

Is the new $2800+ mo amount PITI or just PI? I’m not too familiar with the rents up there but if your payment is just PI, I don’t see the viability of renting out without either a negative cash flow or the hassles of turnover with a rent set at above $3500 mo.

If you pay the extra every month like you are planning to for at least a couple of years, your new 15-year loan will begin to amortize very quickly at about 40-42 months in. This will give you and your family a lot of flexibility.

I wish you all the best with your health issues.[/quote]

15 year conforming. It’s $2800 PI.

But if I were considering the renting option, I would have opted for a 30year conforming at 3.875, which would have been 1867/month (PI)….Add $1000/month for “T and I”, that would be about $3000k/month, for which my neighbors rented recently around $3200-3500/month. So it can cashflow, it’s just I would have a bunch of equity tied up. So assuming ideal situation, it would probably be about 1.5% returns on the my equity, which isn’t great. Hence why I’m not doing it….

[Coronita]

[quote=bearishgurl]flu, I take it you currently have a conforming loan? In light of your circumstances I think you are very wise to keep your 15-yr loan term and endeavor to pay it off in 10 yrs.

Is the new $2800+ mo amount PITI or just PI? I’m not too familiar with the rents up there but if your payment is just PI, I don’t see the viability of renting out without either a negative cash flow or the hassles of turnover with a rent set at above $3500 mo.

If you pay the extra every month like you are planning to for at least a couple of years, your new 15-year loan will begin to amortize very quickly at about 40-42 months in. This will give you and your family a lot of flexibility.

I wish you all the best with your health issues.[/quote]

15 year conforming. It’s $2800 PI.

But if I were considering the renting option, I would have opted for a 30year conforming at 3.875, which would have been 1867/month (PI)….Add $1000/month for “T and I”, that would be about $3000k/month, for which my neighbors rented recently around $3200-3500/month. So it can cashflow, it’s just I would have a bunch of equity tied up. So assuming ideal situation, it would probably be about 1.5% returns on the my equity, which isn’t great. Hence why I’m not doing it….

[Coronita]

[quote=bearishgurl]flu, I take it you currently have a conforming loan? In light of your circumstances I think you are very wise to keep your 15-yr loan term and endeavor to pay it off in 10 yrs.

Is the new $2800+ mo amount PITI or just PI? I’m not too familiar with the rents up there but if your payment is just PI, I don’t see the viability of renting out without either a negative cash flow or the hassles of turnover with a rent set at above $3500 mo.

If you pay the extra every month like you are planning to for at least a couple of years, your new 15-year loan will begin to amortize very quickly at about 40-42 months in. This will give you and your family a lot of flexibility.

I wish you all the best with your health issues.[/quote]

15 year conforming. It’s $2800 PI.

But if I were considering the renting option, I would have opted for a 30year conforming at 3.875, which would have been 1867/month (PI)….Add $1000/month for “T and I”, that would be about $3000k/month, for which my neighbors rented recently around $3200-3500/month. So it can cashflow, it’s just I would have a bunch of equity tied up. So assuming ideal situation, it would probably be about 1.5% returns on the my equity, which isn’t great. Hence why I’m not doing it….

[Coronita]

[quote=bearishgurl]flu, I take it you currently have a conforming loan? In light of your circumstances I think you are very wise to keep your 15-yr loan term and endeavor to pay it off in 10 yrs.

Is the new $2800+ mo amount PITI or just PI? I’m not too familiar with the rents up there but if your payment is just PI, I don’t see the viability of renting out without either a negative cash flow or the hassles of turnover with a rent set at above $3500 mo.

If you pay the extra every month like you are planning to for at least a couple of years, your new 15-year loan will begin to amortize very quickly at about 40-42 months in. This will give you and your family a lot of flexibility.

I wish you all the best with your health issues.[/quote]

15 year conforming. It’s $2800 PI.

But if I were considering the renting option, I would have opted for a 30year conforming at 3.875, which would have been 1867/month (PI)….Add $1000/month for “T and I”, that would be about $3000k/month, for which my neighbors rented recently around $3200-3500/month. So it can cashflow, it’s just I would have a bunch of equity tied up. So assuming ideal situation, it would probably be about 1.5% returns on the my equity, which isn’t great. Hence why I’m not doing it….

[Author]

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