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.
I called about getting preapproved for a USDA loan. Sent in all the standard records. So far I've been told that I've been pre approved for up to $200k at 4.5% yesterday I was called and we talked briefly about buying a point to keep the rate at 4.5. Now I've only called one lender, I'm thinking I should call a few others and compare. My only concern is if I'm having my credit checked so much is might screw up my score. Do the rates get any better than that? I'm thinking it would be wise to call another two lenders and check their rates for the USDA loan.
I called about getting preapproved for a USDA loan. Sent in all the standard records. So far I've been told that I've been pre approved for up to $200k at 4.5% yesterday I was called and we talked briefly about buying a point to keep the rate at 4.5. Now I've only called one lender, I'm thinking I should call a few others and compare. My only concern is if I'm having my credit checked so much is might screw up my score. Do the rates get any better than that? I'm thinking it would be wise to call another two lenders and check their rates for the USDA loan.
Hi Badmayo,
The rate can vary by as much as .375% to .5% depending on the lender and how you want your closing costs structured.
When you say you were called about buying a point to keep it 4.5%, were you originally paying any origination fees?
USDA rates are running from 4% to 4.5% depending on the rate adjustments and how much your loan officer is trying to make. For example: with one of my lenders, 4.5% is paying 2.25% before any adjustments. This means your loan officer would be making $4,500 from the lender plus any origination fees they are charging you upfront.
Also, the pool of USDA lenders right now is limited until USDA gets through their backlog. For example, Chase is a major USDA provider of funds to Your Federal Savings Bank and Everyone Else's FSB. Let's say Chase has a $30M backlog of files waiting for USDA to insure. Chase is not going to publish wholesale rates (what they charge other banks) until their backlog is caught up, but they are still taking their own consumer applications. I know of 2 of the major banks that are not releasing their USDA funds right now to other lenders. The result will be a limited shopping experience until the backlog is caught up.
If you get 3 different lenders checking your credit within 10 days to two weeks, my understanding is that Fair Isaac recognizes you are shopping for a home loan and will not impact your credit severely. At least that is what my lenders tell me. Oh yeah, and Clark Howard has often indicated the same thing.
If you get 3 different lenders checking your credit within 10 days to two weeks, my understanding is that Fair Isaac recognizes you are shopping for a home loan and will not impact your credit severely. At least that is what my lenders tell me. Oh yeah, and Clark Howard has often indicated the same thing.
The algorithms used by the three bureaus are proprietary and what you are being told is only based on guesses after viewing results of reports being pulled under varying scenarios (including Clark Howard). This is a very long-winded way of saying, your mileage may vary.
If you get 3 different lenders checking your credit within 10 days to two weeks, my understanding is that Fair Isaac recognizes you are shopping for a home loan and will not impact your credit severely. At least that is what my lenders tell me. Oh yeah, and Clark Howard has often indicated the same thing.
If you are shopping for a rate then your credit is not going to change unless you are doing it continously for a long time. To be honest with you it seems that all the lenders have basically the same options available to them. You are not going to get much of a different rate or options with other companies. They want to make it seem like they can offer more or better but in reality they all are just going to plug in your credit score and information and get the same interest rate spit back to you. Really the only thing that they can offer you different is service. I'm sure someone will disagree with me, but this is what I've found.
I called about getting preapproved for a USDA loan. Sent in all the standard records. So far I've been told that I've been pre approved for up to $200k at 4.5% yesterday I was called and we talked briefly about buying a point to keep the rate at 4.5. Now I've only called one lender, I'm thinking I should call a few others and compare. My only concern is if I'm having my credit checked so much is might screw up my score. Do the rates get any better than that? I'm thinking it would be wise to call another two lenders and check their rates for the USDA loan.
Check Amerisave.com. They are working on my loan. I got 4 1/4, closing costs rolled into loan, no down payment. I had a bankruptcy 3 yrs. ago so was very happy with 4 1/4. Their website allows you to choose from several rates. So far, I've been very pleased with them. They are based in Atlanta.
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.
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.
