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HLS
Participant[quote=bearishgurl]HLS, I’d be interested to know what the closing costs will be on the *new* mortgage loan you described in the OP :=0[/quote]
There is a pricing factor to compensate for the risk, so there is a choice with this loan AND VA to choose a rate
that has a rebate that will cover all the closing costs.
It’s simply risk based.VA funding fee is not the same for every veteran.
The 2% fee does not have to be paid by seller nor paid in cash by the buyer, above market rate can cover it all.According to the media, it’s hard to qualify for a loan.
This is utter nonsense. In some ways it’s easier than ever, especially for people who can barely afford to buy a house, as long as they qualify for the program.
easiest for W2 Salaried employees.
Harder for self employed, contract workers, and those who need commission, bonus or overtime pay to qualify.
Regardless of credit scores.$1 million dollars in the bank makes it no easier to qualify for a conventional loan. Verified monthly income & expenses ON A CREDIT REPORT matter. Lots of monthly expenses aren’t on a credit report.
I priced out a scenario and it looks like 4.00% rate covers the pricing hits and gets the 2% down payment from the lender, vs. 3.375%-3.50% with 20% down.
1% down with 4.00% 30yr rate… it’s better than nothing down and a 6.50%+ rate in 2006
I don’t like that it inflates the bubble.
Participant3% is not theoretical, it has been available.
With FHA it comes with mortgage insurance for 30 years if one is unable to refinance out of it. Ok for people with crappy credit.Conventional 3% down is available for people with better credit and mortgage insurance goes away at some point.
1% down is nuts. Even at a 4% rate, payments will be much lower than they were 10 years with no money down loans at 6%+
Most people only care about their monthly payment.
Will be interesting to see if this program stays around long OR if other lenders jump in.The crazy thing is that it can be easier for some borrowers with crappy credit to get a purchase loan with 3% down
than it could be for someone with 800+ credit and 50% down.
The system is broken. It’s difficult to understand.IMO anyone who has been within 1000 miles of Afghanistan or Iraq deserves to be able to buy a house in America with no money down.
Participant[quote=moneymaker]
Appraisal came in at twice loan amount, is there a break for being slightly under 50% as opposed to being slightly over? HLS?[/quote]If you’re dealing with a conventional Fannie/Freddie loan,
I don’t think you will see any difference in pricing.If there is better pricing and you are using a broker, you WILL definitely get the credit.
If you are using a bank or direct lender you may or may not get the credit.If you run into any trouble, let me know.
ParticipantThere are 3 basic tiers for pricing
80% LTV
75% LTV
60% LTVIt’s a cut & dried matrix table, non negotiable.ALSO
Credit score, cash out & 2nd Lien/HELOC are factors.
So is condo VS house AND primary home/2nd home vs. Rental property.Don’t forget the the % difference you will save applies to the entire $417,000. For a cost of $20K it not only lowers your monthly payment, it’s a huge guaranteed good return in today’s market.
I would not think twice about taking a 401K loan OR pulling money out of any non penalty retirement account to get the money.
I completely understand the desire & comfort associated with having a large cash cushion, but with good credit, there are many ways to access cash cheaply these days.
Every situation is a little different. Feel free to contact me privately if you’d like to discuss your specific situation. There’s no pressure or obligation.
ParticipantIn theory yes,
It couldn’t hurt to show them your invoice and that it was paid in full, not financed. (that applies to any upgrades that you have done)
However,
If you paid $30K for the system, you cannot assume that it will add $30K to your value.If you disagree with a completed appraisal(for any reason), there is a dispute process which is sometimes successful, sometimes not.
A successful dispute means that the appraiser has to admit that they did a poor job and made a mistake.
Participant[quote=moneymaker]Here’s 2 questions for HLS or others in the industry here, should I approach my current mortgage servicer for refi or go somewhere else first? Can I shop them without giving out too much personal/financial info? Ok 1 more question, how long should a refi take? Seems like it was quick last time I did it, but am reading others are saying 3-4 weeks.[/quote]
When you refi, the old loan gets paid off and you are creating a new loan with a new term to be sold into a future bond portfolio.
A servicer does not own your loan. Some have a different division that offer refi’s.
You can check wherever you’d like to.
Many times the current servicer has terrible pricing but people just assume they are getting special treatment.Pricing changes daily and often intra-day.
Today is a good day.You can get a quote with basic info, but if it’s not accurate it could affect net loan pricing.
Credits to cover closing costs are a % of the loan amount. There’s more dollars on a $417K loan than a $100K loan. There is not one rate for everyone.
Credit score & equity are factors on every loan.
Regardless of these factors, there are many other possible hiccups in getting approved.At the moment it can easily take 6 weeks or more to complete a refi. Purchases get priority.
Doing something is better than doing nothing. There is never a reason to not refi to a lower rate at no cost.
If there is a cost, you can do the math.Not understanding this can cost $50k-$100K or more in wasted interest over the long run.
Participant[quote=no_such_reality]I’m sliding into analysis paralysis.
We’re about $20K above the $417K low conforming limit.
Checking the easy online sources shows about a 0.25% hit for being in the higher conforming zone. Is this carrying through or other places not doing that?
Refi-ing is a no brainer. Which refi is the question.
* Shave a 0.25% and keep the higher balance
* take a 1/8th point, use the credit to fund the impound and pay the extra towards principal and hope rates hold for six months and refi again
* kick in $20k and take the 0.5% off the rate
[/quote]If you have access to $20K, it’s well worth your effort
to get loan amount to $417,000.
Another factor is current home value.June 25, 2016 at 9:36 PM in reply to: The Donald Trump, Illegal Alien, Foreigner, Immigrant Bitch and Moan Thread #799124Participant[quote=flu]
If one thinks the stock is going to rise, why not just buy the stock? What advantage does this put spread have over just buying?
[/quote]Limit Risk OR ability to Leverage.
Understanding options is a completely different way of viewing the stock market.
Think of options as insurance. Anybody has the choice to be the insured party (pay the premium)
OR
be the insurance company (collect the premium)
AND you decide how long you want exposure.when buying options, you can never lose more than what you pay for the option.
(Selling options has different risk)On Thursday GLD (Gold ETF) $120 Calls for Friday expiration were about $1.00.(1 contract for $100) allowed you to benefit on the move for about 10 ounces of Gold.
Buying 10 ounces of gold was $12,600.As it turns out, on Friday the move in gold meant that
the $1 option on Thursday was worth $6 on Friday.
($500 profit on $100 investment)
The $12,600 investment was worth about $13,200.
($600 profit on $12,600 investment)If gold had dropped $60, you would have lost $600 holding gold and only lost $100 if you had options.
Instead of selling covered calls, you can buy calls and sell calls against them to create almost as much income
with less risk.Many 401K plans do not allow you to short the market, so options can be used to benefit/offset from a downturn.
Buying calls does not allow you to collect dividends vs. if you owned the stock.
When selling calls on a dividend paying stock, you run the risk of having the option exercised early and you can be responsible for paying the dividend although you are not collecting the dividend.Understanding the risks, it’s possible to make money from the stock market without ever actually owning any stock.
Also, an easy way to control hundreds of ounces of gold, silver etc with limited downside risk and unlimited upside risk.
Options are much less risky than stocks when understood.ParticipantIt’s a link to a Forbes.com article.
where’s he hack coming from ?ParticipantI could explain it to you but Harvey the self imposed monitor of this site would accuse me of fishing for business.
So once again you get the ignorant advice from someone who doesn’t know what they’re talking about, yet they offer it anyway.
ParticipantHis money, His rules!
“Borrowers will have to have “almost perfect credit” and work in professions in which if they lose their jobs, they will be able to get another in four to six weeks, no problem”
Ahhh…if it were only so simple.
Are there ANY professions that guarantee LOCAL re-employment within 4-6 weeks ?ParticipantWill be interesting to see if this goes away…
the case has been going on for a few years.
Legal perspective of fraud, intent & what’s criminal.
Taxpayer potentially on the hook for losses.
******************************Bank of America Corp.’s Countrywide Financial unit was exonerated of allegations that it sold defective residential mortgage loans to Fannie Mae and Freddie Mac with an appeals court throwing out a judgment against the bank of more than $1.2 billion.
Prosecutors failed to prove at trial that the bank intended to defraud the government, the three-judge appeals panel in New York ruled on Monday. The government only showed the bank sold mortgages that it knew weren’t of the quality promised in its agreements. As a result it might be liable for breach of contract, but not fraud, the panel said. The court ordered the trial judge to enter a judgment in favor of the bank.
The U.S. could ask the entire panel of the federal appeals court judges to re-hear its challenge to the decision.
ParticipantIf you are happy taking profits and want to create income from SLV position, are you familiar with selling
covered calls against your holding ?SLV 15.50 at the moment
July 15.50 gets you 66c
July 16.00 gets you 45c
53 days from nowJanuary 16.00 gets you $1.25
242 Days from nowParticipantBG said:
I didn’t know ARCO accepted CC’s, HLS. And I’m only a one-person household (except holidays) so I’ll never hit the $6K AMEX grocery award limit … ever :=0
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Then you strengthen my point!!
What’s so great about a card that costs $75
that you don’t even max out the rewards ??ARCO-AM/PM does not take credit cards, however with 3%-5% promotions on credit cards, I buy ARCO Gift Cards at Albertsons.
You can use the gift cards at the pump at updated locations so no need to go inside to pay.
Net cheaper than Costco, without the lines.I don’t think buying gift cards is coded differently,
but if you aren’t maxing out your $6000 grocery spend
to get 6%, consider buying gift cards at grocery stores
for restaurants, gas stations & stores that you can use or give as gifts.
At gas stations like SHELL, I think using a gift card gets you the cash price, so there’s a possible benefit there too. Avoid paying the credit card surcharge at the pump, and possibly get 6% back off the cash price.Lots of ways to benefit from offers & promotions.
Isn’t Saving $ like tax free net income ?? -
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