One lender quoted a refi fee for loan origination to 1.5%. I thought this was pretty high. On a 500K loan, it is like $7500. Does that sound normal ?
No. I’ve done several “no out of pocket refi” for the past 15 years and I don’t recall the origination fees as this high. Try going through quicken loans or a mortgage broker.
Thanks. What other lenders you recommend who would also be willing to give some lender credit ?
My mortgage broker routes my refi app through whoever gives the best deal. Currently, they have set me up with Quicken Loans and I see they are giving a lender credit. What state are you in? If you are in CA, you can try MaxReal : maxrealmax.com. My loan officer is Ms. Villa Wang
Too high!
Way too high......Unless the interest rate on the loan is very low relative to market. And even then, I dont know if I would make that tradeoff unless you know you won't be paying off loan early. Get competing offers....
Interest rate they quoted is 3.875 so yeh not worth it
I just got a refi quote for 3.75 for 20 years fixed with a credit to offset ALL fees and costs (WA state, and a very low loan to value ratio, but still....), Provident funding.
If you have investment assets in Fidelity, they have a mortgage program that can use your assets as collateral and give you insanely low rates below anything on the general market.
Yes I do. What types of rates are we talking about ? What are the downsides of this ?
It varies quite a bit by circumstances, but we got about 0.5% below the lowest rate publicly advertised. No real downsides beyond having your assets locked up with them. When rates dropped over time, we were also able to get a rate adjustment down with a one-time fee that was paid off in about 3 months of the lower rate (and minimal paperwork).
Try aimloan.com. They’re pretty transparent with their fees without you entering any personal information.
That's fine as long as they offer a lender credit if 8k too
Nope