Home › Forums › Closed Forums › Buying and Selling RE › Refi-are you receiving calls from banks offering 3.875% refinancing?
- This topic has 9 replies, 9 voices, and was last updated 12 years, 9 months ago by briansd1.
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December 28, 2011 at 12:16 PM #19387December 28, 2011 at 12:55 PM #735098ljinvestorParticipant
Aimloan is at 4% for $0 cost refi on conforming loan with at least 25% equity, so I guess it could be true.
December 28, 2011 at 1:18 PM #735103CoronitaParticipanttrue
December 28, 2011 at 2:05 PM #735107CAwiremanParticipantI’ll have to check into it….
I wonder is no cost means no appraisal?
December 29, 2011 at 12:55 AM #7351262012 turns aroundParticipantCorrect; Provident funding did my refi for 3.25%/15 yr no fee in Oct. But I paid for appraisal.
This month I closed a new home @ 3.875 confirming/no fee (again I paid for $450 for appraisal) 25% down (BofA)
December 29, 2011 at 10:11 AM #735142scaredyclassicParticipantWhy is the conventional wisdom to only refi when rate is down 1 percent?
December 29, 2011 at 11:05 AM #735149UCGalParticipant[quote=walterwhite]Why is the conventional wisdom to only refi when rate is down 1 percent?[/quote]
Conventional wisdom (up until the bubble) was that there were transaction costs associated with the refi, so you needed a big enough drop to recoup your transactions costs. (doc fees, appraisals).
The other factor is that when you refi- you restart the term of the loan… And there are arguments against doing that for small rate changes.
But these days you can actually get cash paid to you if you have the sweet spot of good credit, big enough mortgage that the brokers commission is big… I’ve watched a few coworkers refi over the past few years – and the size of the mortgage determines the cost of the refi (including negative cost.) My mortgage is small enough there’s no free refi for me. A coworker is at the top end of conventional/conforming… he was paid a few hundred bucks at closing.
December 29, 2011 at 11:53 AM #735151sunny88ParticipantIt is true, I just refinanced with Quicken. Amount $510 k, 30 years fixed, no fees for appraisal, @3.875 %.
December 30, 2011 at 2:48 AM #735189ybitzParticipantsunny88…how was your experience with Quicken? Would you recommend using them to refi?
December 30, 2011 at 11:09 AM #735199briansd1GuestI feel sorry for homeowners who are stuck with high rates and can’t refinance because of lack of equity.
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