REMINDER: Siteowner has no obligation to monitor the Forums. However, Siteowner reserves the right to review the Materials submitted to or posted on the Forums, and remove, delete, redact or otherwise modify such Materials, in its sole discretion and for any reason whatsoever, at any time and from time to time, without notice or further obligation to you. Siteowner has no obligation to display or post any Materials provided by you. Siteowner reserves the right to disclose, at any time and from time to time, any information or Materials that Siteowner deems necessary or appropriate to satisfy any applicable law, regulation, contract obligation, legal or dispute process or government request. To further read the rules and terms of agreement of this Forum, click here.

Previous Thread
Next Thread
Print Thread
Page 2 of 4 1 2 3 4
Re: Refinance now?? [Re: Belchfire1] #2994978
08/10/19 01:08 PM
08/10/19 01:08 PM
Joined: Feb 2007
Posts: 8,084
NOC
L
laidback Offline
Kelly Slater status
laidback  Offline
Kelly Slater status
**
L

Joined: Feb 2007
Posts: 8,084
NOC
Originally Posted by Belchfire1
The removal of the PMI is the main driver. We can afford the mortgage and will continue paying the same amount every month, but the $300 something in PMI will go towards principal each month.

That's a win


Nobody surfs here anymore..........it's too crowded

shaka
Re: Refinance now?? [Re: Belchfire1] #2995092
08/10/19 05:16 PM
08/10/19 05:16 PM
Joined: May 2016
Posts: 1,658
in da hood next to paradise
H
Havoc4k Offline
Billy Hamilton status
Havoc4k  Offline
Billy Hamilton status
**
H

Joined: May 2016
Posts: 1,658
in da hood next to paradise
read the fine print. all loans come with a charge. no points doesn't exactly mean no points


The postings of this user are merely opinion and are posted by the users posting agent who may have different opinions than that of the user
�I think the USA "made in america" board builders "marketing" gimmick falls more inline with a cult than the firewire following� -deforest
Re: Refinance now?? [Re: Belchfire1] #2995113
08/10/19 06:05 PM
08/10/19 06:05 PM
Joined: Aug 2009
Posts: 3,935
Del Mar, CA
F
FishFace Offline
Miki Dora status
FishFace  Offline
Miki Dora status
**
F

Joined: Aug 2009
Posts: 3,935
Del Mar, CA
I do VA and FHA streamlines all day long. The FHA monthly payment is .85% of the loan amount divided by 12.

So youre really paying 4.85%. if you get a conventional at 3.75% or even 4% - Youre winning. Just dont pay a lot of points.

hit me up if you want another quote. you can take the appraisal to other lenders


btw youre on 28 years left. some lenders can set the term the same. otherwise have your LO calculate the extra principal you need to pay to pay off in 28 yrs. that defeats the amortization reset.

Re: Refinance now?? [Re: laidback] #2995114
08/10/19 06:06 PM
08/10/19 06:06 PM
Joined: Apr 2004
Posts: 12,526
California USA
J
JEwing Offline
Tom Curren status
JEwing  Offline
Tom Curren status
**
J

Joined: Apr 2004
Posts: 12,526
California USA
Originally Posted by laidback
Originally Posted by Belchfire1
The removal of the PMI is the main driver. We can afford the mortgage and will continue paying the same amount every month, but the $300 something in PMI will go towards principal each month.

That's a win


It's a win. What's the APR


I was a little bit smarter and quicker than everyone else, so I've been able to live the way I've wanted to live - Mickey Dora
Re: Refinance now?? [Re: Belchfire1] #2995139
08/10/19 08:08 PM
08/10/19 08:08 PM
Joined: Jan 2006
Posts: 23,849
Carlsbad
G
GDaddy Online sleepy
Duke status
GDaddy  Online Sleepy
Duke status
**
G

Joined: Jan 2006
Posts: 23,849
Carlsbad
You can refinance at different amortization schedules, 15 yrs instead of 30 yrs is a common alternative. You might be able to get a 25yr loan which would actually pay off a little sooner than your current mtg.

Let's say your outstanding mtg is for $400k.

The principle+interest payment for a 30yr loan at 4% is about $1910, not counting property taxes, insurance and PMI
The principle+interest payment for a 25yr loan at 4% is about $2110
The principle+interest payment for a 25yr loan at 3.75% is about $2055

Of course, none of this takes into account your origination costs (loan fees and such). That adds up, too

Some of the decision making here will involve how long you intend to hold the property, through hell and highwater and possible divorce or job loss. These are serious factors that will vary by individual situation.



#sowhat
Re: Refinance now?? [Re: Belchfire1] #2995184
08/11/19 01:31 AM
08/11/19 01:31 AM
Joined: Jul 2015
Posts: 1,481
9
92122 Offline
Billy Hamilton status
92122  Offline
Billy Hamilton status
*
9

Joined: Jul 2015
Posts: 1,481
Refi’d to a 15-year fixed a couple years back at 3.5% which will save us something like $80k over the life of the loan compared to our previous 30-year. As risk averse as I am, the payment only went up like $900 a month, so hoping all goes well and we have the house paid off in our late 50’s.

Were fortunate enough to avoid PMI but it was on the table at one point.


"Success consists of going from failure to failure without loss of enthusiasm"
Re: Refinance now?? [Re: Belchfire1] #2995198
08/11/19 03:17 AM
08/11/19 03:17 AM
Joined: Jul 2010
Posts: 473
P
parkiteric Offline
Legend (inyourownmind)
parkiteric  Offline
Legend (inyourownmind)
*
P

Joined: Jul 2010
Posts: 473
I work in the industry and can lend in CA. definitely get rid of the FHA PMI as it's squandering valuable money.

Re: Refinance now?? [Re: Belchfire1] #2995217
08/11/19 04:41 AM
08/11/19 04:41 AM
Joined: Dec 2017
Posts: 3,613
Central Cal
L
Leaverite Offline
Miki Dora status
Leaverite  Offline
Miki Dora status
**
L

Joined: Dec 2017
Posts: 3,613
Central Cal
Just heard the Federal Reserve is going to lower its rate for the first time in umpteen years. The window is now until the 3rd qtr next year.

From what I hear after qtr 3 next year the economy is going to take a huge dump.

Unless Trump wins.

Re: Refinance now?? [Re: Belchfire1] #2995256
08/11/19 02:16 PM
08/11/19 02:16 PM
Joined: Dec 2008
Posts: 6,230
LBNY
S
subway Offline
Phil Edwards status
subway  Offline
Phil Edwards status
***
S

Joined: Dec 2008
Posts: 6,230
LBNY
I pay pmi. Our home was kind of an impulse buy so we didn’t have much cash on hand for down payment. Gained 250k in Zillow value since 2015, but our interest rate is only 3%. Even with the rate decreases in every scenario I have explored my payment is still cheaper with pmi and a low rate than it would be to refinance. But that’s pretty unique. If I could keep the 3% and ditch the pmi that would be fantastic.

Re: Refinance now?? [Re: Belchfire1] #2995459
08/12/19 01:53 AM
08/12/19 01:53 AM
Joined: Aug 2002
Posts: 10,914
Huntington Beach, California
R
ringer Offline
Tom Curren status
ringer  Offline
Tom Curren status
***
R

Joined: Aug 2002
Posts: 10,914
Huntington Beach, California
Originally Posted by Belchfire1
The removal of the PMI is the main driver. We can afford the mortgage and will continue paying the same amount every month, but the $300 something in PMI will go towards principal each month.


If you can get rid of that stupid PMI payment and get a slightly lower rate as well, it's a no-brainer to refinance. Putting that extra $300+ into the monthly payment is smart.

Re: Refinance now?? [Re: Belchfire1] #2995460
08/12/19 02:01 AM
08/12/19 02:01 AM
Joined: Feb 2002
Posts: 6,830
san diego, CA
O
obslop Offline
Phil Edwards status
obslop  Offline
Phil Edwards status
**
O

Joined: Feb 2002
Posts: 6,830
san diego, CA
wait a year.

Fed entering full blown rate cut cycle likely starting September but no later than December IMO.

Re: Refinance now?? [Re: subway] #2995511
08/12/19 07:46 AM
08/12/19 07:46 AM
Joined: Apr 2004
Posts: 12,526
California USA
J
JEwing Offline
Tom Curren status
JEwing  Offline
Tom Curren status
**
J

Joined: Apr 2004
Posts: 12,526
California USA
Originally Posted by subway
I pay pmi. Our home was kind of an impulse buy so we didn’t have much cash on hand for down payment. Gained 250k in Zillow value since 2015, but our interest rate is only 3%. Even with the rate decreases in every scenario I have explored my payment is still cheaper with pmi and a low rate than it would be to refinance. But that’s pretty unique. If I could keep the 3% and ditch the pmi that would be fantastic.


Couldn't you get your home reappraised? The new appraisal value should eliminate the requirement for PMI. That would raise your property tax though.


I was a little bit smarter and quicker than everyone else, so I've been able to live the way I've wanted to live - Mickey Dora
Re: Refinance now?? [Re: Belchfire1] #2995575
08/12/19 03:05 PM
08/12/19 03:05 PM
Joined: Dec 2008
Posts: 6,230
LBNY
S
subway Offline
Phil Edwards status
subway  Offline
Phil Edwards status
***
S

Joined: Dec 2008
Posts: 6,230
LBNY
yeah and our property taxes just went up quite a bit as it is (legislative, not appraisal related)

Oh and we got that type of loan where the PMI remains, now matter what equity percentage we reach, for the life of the loan. So we will obviously refi at SOME point, bt with my absurdly low interest rate, the Fed needs to cut a bit more in order for it to come into the money

Re: Refinance now?? [Re: FishFace] #2995637
08/12/19 04:36 PM
08/12/19 04:36 PM
Joined: Jun 2013
Posts: 412
Leucadia
B
Belchfire1 Offline OP
Legend (inyourownmind)
Belchfire1  Offline OP
Legend (inyourownmind)
***
B

Joined: Jun 2013
Posts: 412
Leucadia
Thanks FishFace. I may hit you up after we get the appraisal. The 28 year or even 25 year loan is a pretty good idea. I'm gonna be old as dirt at that point anyways, so paying this loan off probably isn't actually happening. I'll be like 75 years old. Thinking we'll probably sell the place in 20 years and retire somewhere other than Encinitas. Thanks for all the advice everyone. I appreciate it.

Belch

Re: Refinance now?? [Re: subway] #2995724
08/12/19 08:18 PM
08/12/19 08:18 PM
Joined: Apr 2004
Posts: 12,526
California USA
J
JEwing Offline
Tom Curren status
JEwing  Offline
Tom Curren status
**
J

Joined: Apr 2004
Posts: 12,526
California USA
Originally Posted by subway
yeah and our property taxes just went up quite a bit as it is (legislative, not appraisal related)

Oh and we got that type of loan where the PMI remains, now matter what equity percentage we reach, for the life of the loan. So we will obviously refi at SOME point, bt with my absurdly low interest rate, the Fed needs to cut a bit more in order for it to come into the money



I've not heard of non-cancellable mortgage insurance.My advice is to keep track of your loan balance and area home prices. Once the loan balance reaches 80 percent of the home’s original value, you can ask the lender to drop the mortgage insurance premiums.

Exceptions? Yes, FHA loans on property purchased with less than 10% down. I guess that's what you have.


I was a little bit smarter and quicker than everyone else, so I've been able to live the way I've wanted to live - Mickey Dora
Page 2 of 4 1 2 3 4

Moderated by  Groundswell, Nameless60, r32