Mortgage Rates Right? (1%, sale, fees, banks)

[Mstrlucky74]

Buying new home for $280k. Broker is saying interest rates are as follows
.3.75 no points
3.625 .625 points
3.5 1.5 points

Our credit is 780-800 and we are putting $20k down. We are in NY. Thanks

[Seduflow]

bad time to buy, the rates have gone way up because of the demand. they are artificially high

[hooligan]

Originally Posted by Mstrlucky74

Buying new home for $280k. Broker is saying interest rates are as follows
.3.75 no points
3.625 .625 points
3.5 1.5 points

Our credit is 780-800 and we are putting $20k down. We are in NY. Thanks

Those rates seem high.

I'd check with a local credit union for starters.

I don't know if any of the mortgage professionals that post here service NY or not..

[Mstrlucky74]

Yes had feeling was getting a little taken for. That would be great if some others could chime in. And as far as the points how does that work? Those are % points based on total sale vaule? Thanks

[city living]

Originally Posted by Mstrlucky74

Yes had feeling was getting a little taken for. That would be great if some others could chime in. And as far as the points how does that work? Those are % points based on total sale vaule? Thanks

Not sure if the above posters are in NY but we recently had a pre-approval for 3.5% with no points.

Who was the first lender you went to? I have been looking around but most banks in NY appeared to be higher than 3.5.

[hooligan]

Originally Posted by Mstrlucky74

Yes had feeling was getting a little taken for. That would be great if some others could chime in. And as far as the points how does that work? Those are % points based on total sale vaule? Thanks

I'm no expert, but "points" are just pre-paid fees to reduce the interest rate. One "point" should be the equivalent of 1% of your loan amount, not the purchase price. So, for you, that should be $2600 for one "point".

[Mstrlucky74]

Originally Posted by hooligan

I'm no expert, but "points" are just pre-paid fees to reduce the interest rate. One "point" should be the equivalent of 1% of your loan amount, not the purchase price. So, for you, that should be $2600 for one "point".

Thanks.

[Smash255]

Rates were dropping for a few weeks and hit a low point on Monday, but rates soared toward the end of the week.

[LoanChic]

Originally Posted by Mstrlucky74

Yes had feeling was getting a little taken for. That would be great if some others could chime in. And as far as the points how does that work? Those are % points based on total sale vaule? Thanks

Those rates are actually pretty low right now. The surge in refinance applications caused mortgage rates to skyrocked last Tuesday. It may be a month before the drift downward again.

[Bette]

Originally Posted by Mstrlucky74

Thanks.

Check to see if your lender has a float down policy.

3.750% is right there.