U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Real Estate > Mortgages
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 12-16-2008, 07:35 AM
 
34 posts, read 199,220 times
Reputation: 32

Advertisements

Well i bought my house about 9 months ago and got stuck with a somewhat bad rate 6.55 for 30 years fixed conv. I would like to refinance and as everyone out there would like to make sure that i get the best rate possible. Right now i see the rates fluctuate between 5.5 and 5.7 for 30 yr fixed. I would like to go with 0 points option. I also understand that the rule of thumb is do not refinance uless you are cutting the rate by at least 1 percent which in my case would mean 6.55-1 = 5.55. Can anyone make any suggestions or predictions on where the rates will go from this point on. Oh and my credit score is around 780. Thank you in advance.
Reply With Quote Quick reply to this message

 
Old 12-16-2008, 08:09 AM
 
Location: Charlotte, North Carolina
5,137 posts, read 15,097,622 times
Reputation: 1008
It's not how low of a rate you will get....it's how soon you will recoup the costs from refinancing.

The larger the loan...the more likely it will be to recoup it in a shorter time period.

If you have a low loan amount then it may take longer to recoup.
Reply With Quote Quick reply to this message
 
Old 12-19-2008, 09:50 AM
 
Location: Spring Hill, Florida
58 posts, read 183,182 times
Reputation: 18
What are you kiddin' me---the rate always matters---the prime right now, which is what your refi rate should be attached to---is 3.5, with a 780 FICO you should be able to get that rate; esp. considering what Wall Street just got---the fed-funds is at 0%---the only problem you MAY have is that you bought the house 9 months ago---if you got a good deal however and the appraisal comes in good---you should get 3.5%---DEMAND IT MAN, who the hell's gettin' all this $700-plus billion bailout money??? and who's suppossed to get it?

Keith G.
Reply With Quote Quick reply to this message
 
Old 12-19-2008, 09:54 AM
 
Location: Charlotte, North Carolina
5,137 posts, read 15,097,622 times
Reputation: 1008
I do this for a living...and Prime rate has NOTHING to do with 1st mortgage rates

Please research what prime rate is, and how it affects actual 1st mortgage rates before giving anymore advice.

Quote:
Originally Posted by Keith G View Post
What are you kiddin' me---the rate always matters---the prime right now, which is what your refi rate should be attached to---is 3.5, with a 780 FICO you should be able to get that rate; esp. considering what Wall Street just got---the fed-funds is at 0%---the only problem you MAY have is that you bought the house 9 months ago---if you got a good deal however and the appraisal comes in good---you should get 3.5%---DEMAND IT MAN, who the hell's gettin' all this $700-plus billion bailout money??? and who's suppossed to get it?

Keith G.
Reply With Quote Quick reply to this message
 
Old 12-19-2008, 12:07 PM
 
28,384 posts, read 67,954,698 times
Reputation: 18189
I agree with renrig -- once upon a time prime and mortgage rates tracked pretty close. Then LIBOR was pretty good a while. Now the mortgage market has far more "mystery" to it and I really can think of ANY widely reported index that is tracking it particularly well...
Reply With Quote Quick reply to this message
 
Old 12-21-2008, 09:39 AM
 
Location: OK
2,717 posts, read 6,292,825 times
Reputation: 1844
It is not the rate you pay what at WHAT rate you pay. The refi fees could be considerably ... if you put that money towards the principle of your mortgage you may be better off. You need to sit down and do the math.

In addition, credit has tightened up considerably recently. You may be better off to wait.
Reply With Quote Quick reply to this message
 
Old 12-21-2008, 12:09 PM
 
Location: MID ATLANTIC
7,600 posts, read 17,629,190 times
Reputation: 8084
Quote:
Originally Posted by Keith G View Post
What are you kiddin' me---the rate always matters---the prime right now, which is what your refi rate should be attached to---is 3.5, with a 780 FICO you should be able to get that rate; esp. considering what Wall Street just got---the fed-funds is at 0%---the only problem you MAY have is that you bought the house 9 months ago---if you got a good deal however and the appraisal comes in good---you should get 3.5%---DEMAND IT MAN, who the hell's gettin' all this $700-plus billion bailout money??? and who's suppossed to get it?

Keith G.

Keith, what line of work are you in? Unfortunately, the information you provide is closer to science fiction than fact. I wish it were true. Yeah, there are many of us upset by the bailout that is shedding all of any responsibility, all on the taxpayer's backs.
Reply With Quote Quick reply to this message
 
Old 12-24-2008, 05:13 PM
 
Location: Big skies....woohoo
12,421 posts, read 2,789,959 times
Reputation: 2186
KeithG may be thinking of home equity lines of credit...
Reply With Quote Quick reply to this message
 
Old 12-25-2008, 09:02 PM
 
1,380 posts, read 1,027,571 times
Reputation: 259
So with this in mind, are the rates going up or down?
Is a no-brainner to re-fi down 1.5 percent?
Reply With Quote Quick reply to this message
 
Old 12-26-2008, 07:46 AM
 
Location: Big skies....woohoo
12,421 posts, read 2,789,959 times
Reputation: 2186
Where I work the rates were at 4.75% fixed (30 years) for one day (Dec. 19th). The next day they jumped and are now at 5.25%. Not sure if they're going up or down... If you can lower your rate by 1.5%...do it...unless you plan to sell right off.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Real Estate > Mortgages
Follow City-Data.com founder on our Forum or

All times are GMT -6.

2005-2018, Advameg, Inc.

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top