HARP Refinance Question (loan, interest rate, credit, fees)

[skeeter31]

Hi,

We're looking to refi our co-op loan that is currently held by CHASE. We bought in 2008 and our loan was roughly $145,000 at 6.5%. We now have $134,000 remaining on the loan and our home was just appraised at $125,000 by the CHASE appraiser. Under the HARP program, we have been quoted a 20 year mortgage at 4.25%.

We have excellent credit. We were originally quoted a rate of 3.75% prior to the assessment, but when it came back at 125K it was bumped up to 4.25%. The new loan amount will also be $145,000 taking in the closing costs.

Does this sound like a good deal or should I continue shopping around? I've already paid the $350 CHASE application fee and I have the packet of documents to sign, but the interest rate isn't as enticing as it was at 3.75%. What other banks service co-op loans in New York? Can I get a HARP loan from other banks or does it have to be through the same lender, CHASE?

Thanks!

[timneh5]

Originally Posted by skeeter31

Hi,

We're looking to refi our co-op loan that is currently held by CHASE. We bought in 2008 and our loan was roughly $145,000 at 6.5%. We now have $134,000 remaining on the loan and our home was just appraised at $125,000 by the CHASE appraiser. Under the HARP program, we have been quoted a 20 year mortgage at 4.25%.

We have excellent credit. We were originally quoted a rate of 3.75% prior to the assessment, but when it came back at 125K it was bumped up to 4.25%. The new loan amount will also be $145,000 taking in the closing costs.

Does this sound like a good deal or should I continue shopping around? I've already paid the $350 CHASE application fee and I have the packet of documents to sign, but the interest rate isn't as enticing as it was at 3.75%. What other banks service co-op loans in New York? Can I get a HARP loan from other banks or does it have to be through the same lender, CHASE?

Thanks!

If you reduce the amount of time, your rate should go down. If you pay points, your rate may go down, too. I'm getting 3% for 15 years with 3/4 points.

My bank is Provident and they don't offer HARP. They didn't take the government buy-out either. That may have something to do with it.

You can get the HARP from institutions other than your existing mortgage holder, but it should be easier to go through your mortgage holder. However, when I called, no one would offer the HARP because they weren't the current mortgage holder. I did find one financial business that I'm presently going through the process.

Not every place offers the same rates either. Some require a home appraisal, some say it's not required. It's a little frustrating and confusing; each place has their own set of rules.

Here's the HARP web site: Home Affordable Refinance Program (HARP)

good luck~

[Bette]

OK, I'm a mortgage broker, very small, only do Florida. Wish I could help you.

Please contact a small broker in your area. Your bank is quoting you retail fees - way too high on that 20 year - I just did one at 3.625% - 20 year fixed. I have a 15 year going at 2.875%.

I do business with Provident Funding also. They do not lend in New York though.

Find a small broker - you should do fine. (I may know someone - you can DM me).

Just to note:
My own personal mortgage is with Chase also. I called them and was quoted 4.250% on a 30 year - I'm like, what???? (I can do better than that).

Finally talked the guy down to 4% but rates will be good for a while so don't panic.

If you can, try to reduce your term to a 15 year.

[timneh5]

Provident Funding is not the same place as The Provident Bank. The Provident Bank does not offer HARP.

[sfosyd]

I just did a HARP on a co-op and was able to do it at 4%. I was originally quoted 3.6% so it doesn't seem too bad. Remember the rates for co-ops are always higher. I had to do the appraisal with a similar LTV and pay about 4k for closing costs which are also higher in NY and on co-ops. Ugh...