Prefer to talk in person? Find a mortgage specialist on Zillow
Profile picture for user6598129

Can I do better?

owe 124K on our home FHA home loan- want to refinance with FHA streamline. I've been given a rate today for 3.5%...with 1900 out of pocket (the lender credit is only around 1K right now) 1900 out of pocket seems very high to me. the lender claims rates changed again today and he's unable to give me a higher lender credit today.

  • October 04 2012 - US
  • 0
    0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Be a Good Neighbor. Be respectful and on-topic. No spam or self-promotion! See our Good Neighbor Policy.

Answers (11)

Then I would say you are in good hands :)
  • October 04 2012
  • 1Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for user6598129
Joe- you already helped me :) The lender that's coming up with this 1900 IOOP is actually Guaranteed Rate :) If that's the best out there- we'll consider it but we really don't want to spend 1900 on this if we don't have to.
  • October 04 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

It is tough with a smaller loan amount b/c the lender credit is a percentage and a lot of the closing costs are fixed no matter what the size of the loan.  If you would like to contact me through my profile, I can put you in touch with someone in my group who is licensed in NY and can possibly help
  • October 04 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for user6598129
We own our home in NY state and this is the amount he's quoting me....no idea how he came to it. I asked for a GFE but he hasn't supplied it. He only told me the #s over e-mail. Our homeonwers insurance is 446/year, yearly taxes are 2600...we owe 124K right now. he's claiming we need 1900 to the table along with the lender credit I quoted below.
  • October 04 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for user6598129

NO appraisal. That's the problem- I'd bet we would come in around 125-130K value for our home but we might not and I don't want to risk it.  My iassue isn't with the interest rate it's with the out of pocket expense. 3.5, 3.75- it makes no difference to me. My issue is wanting my OOP expense to come in under 1K.

  • October 04 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Curious as to how your closing costs are getting up to $4400 on that low loan amount.  You should easily be able to get 3% lender credit at 3.5% maybe even more

  • October 04 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

a few questions:
a. is the streamline with or without an appraisal
b. what is the est. value of your home

are you aware that you have to pay closing costs if you are not getting an appraisal done?

I am doing one right now (no appraisal) at 3.75% note rate, and giving him a 3.75%(of loan amt) credit

It does not seem like your current lender is out of line. (our credit would be higher, based on today's rates - est. 1.25% of loan amt at 3.50% rate)

p.s. rates did go up (very slightly today; rate would be same; the credit anyone can issue just would be down very slightly)

hope that helps; all the best,
- Al
  • October 04 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for user6598129
OOOPS! The lender credit is 3288, down from 4400ish yesterday.
  • October 04 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

Profile picture for user6598129
thanks! I have another lender working on another GFE. This lender sent me one yesterday but the other lender is claiming things changed this morning and to ask that lender to redo the GFE. I have 2 lenders right now working with me- one came back with 3.5%, 1900 OOP today. the other came up with 3.75% 300 OOP yesterday. (yes I know in the long run 3.5 is better but I'm more concerned with OOP costs right now)...we don't plan to stay in this house more than 5 more years anyway so the difference of .25% is not a big issue to me.
  • October 04 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

With that fee structure you can probably get 3% provided your credit is half way decent.  If you closing costs only total $2900 then I would imagine you could get them all paid for at 3.25%
  • October 04 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.

The best thing to do is call other lenders and ask them to bet this other bid from another lender. most lenders are competitive and my be alittle more room for greatness
  • October 04 2012
  • 0Yes

  • Report a Problem

    Please enter a valid email address.

    Content flagged

    We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

    We're sorry. This service is temporarily unavailable. Please come back later and try again.