Should I Back Out of this Refi?

[LifeIsGood01]

Originally Posted by mricu

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- Earlier communication from the mortgage broker stated that he "gave his word" that he would refund any money I had to pay at closing back after closing so that it will be a true no cost loan to me.


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words are cheap you need his John Hancock.

[mricu]

Originally Posted by TimtheGuy

Interest rate pricing right now is most likely at least as good as when you locked with the last lender, so you could probably give it another shot with a more reputable/reliable lender. You may want to see when your 3 year period is up with the credit union. If you are close, you may want to wait.

3 years will be up next year so still some time and don't want to risk the rates going up.


I have started my ri-fi again with another lender whom I got through referral from friends. Same 4% with no closing costs. So far so good.

[mricu]

Originally Posted by RJA29

This might be because the rate wasn't locked in, and the fluctuations changed cash to close?

The 2K amount also seemed fishy, because that's the amount you are allowed to take out of the mortgage on a traditional rate and term loan (not a cash-out refi). Was this amount being added to your loan and then given to the lender?!

This all seems like a raw deal.

It's good that you canceled - find a reputable lender (word of mouth is often the best!) and go with that person.

Finally - I don't know how you'll get an appraisal fee back. It's paid to the appraisal company as part of the appraisal, I've always though.

I believe the rate was locked as I got a Rate Lock document outlining the terms of the lock.


The 2k was the amount I selected based on my balance and knowing there was a recoupment fee involved.


As for the appraisal, I'm not going to persue it as the broker is the owner of his company and an actual appraisal was done. I'll chalk that up to a life lesson. With my new broker, I'm getting the appraisal fee waived so I'll pretend I paid for the appraisal from the first round