Wednesday 12/17…Say Hello to the Best Rates in History

re: Wednesday 12/17…Say Hello to the Best Rates in History

Victor Burek — Wed, 17 Dec 2008 21:38:29 GMT

Congrats on getting some great rates. Anytime you can lock a rate under 5%, you should be happy. You are welcome.

re: Wednesday 12/17…Say Hello to the Best Rates in History

Christopher Long — Wed, 17 Dec 2008 21:36:24 GMT

Thanks for the good information! I locked my refinance loan this morning at 4.875% (with 0.125% points and providentfunding's standard fees). This is much better than the 6.375% I have had since I bought this summer so I am very happy. Even if it rates gets to mid-4s I'll still be quite happy with the large amount of money I've just saved. I note that Provident's rates have just jumped up a lot to 5.25% with my data (with that same 0.125% points!) so I'm glad I had thought through my decision threshold beforehand. I mainly used your site and the following online calculator to guide my decisions: http://www.myfico.com/crediteducation/calculators/Lender-Evaluation.aspx Good luck to everyone else.

re: Wednesday 12/17…Say Hello to the Best Rates in History

Brad — Wed, 17 Dec 2008 20:52:41 GMT

I went ahead and locked 4.875% on a 30 yr fixed, closing costs were only $250 plus prepaid interest so if rates really dip I could just refi again. I am only 6 months into a 30 so im not restarting in anyway, i pay extra each month anyways. For every pmt I make between now and refi, it just increases my payback time. Thanks again for the great info,

re: Wednesday 12/17…Say Hello to the Best Rates in History

sunny albert — Wed, 17 Dec 2008 20:50:51 GMT

I love this website and have recommended it to several friends. I have a house in a very nice area at MA which the house value did not declined (very little). The remaining loan for this house is $267,000 with rate of 5.25% for 26 yrs to payoff. The property value was appraised by the city for this year is over $900,000 ( I added an addition to the house after I bought it in 2004). Should I look into refinance this property and how many yr fixed should I go for, and how much lower rate I can get now? Should I pay any point and closing cost? Please advise.

re: Wednesday 12/17…Say Hello to the Best Rates in History

Victor Burek — Wed, 17 Dec 2008 20:41:05 GMT

DC, that is a really good rate for jumbo. I do think in Jan. rates will be lower, but if you lock today, you can forget about your mortgage as you will have an incredible fixed rate. Suikam, if you will keep this home for more then 3 years, pay costs, you will get a lower rate, you should be able to get a rate in the uppers 4's., with no costs uppers 5's

re: Wednesday 12/17…Say Hello to the Best Rates in History

suikam — Wed, 17 Dec 2008 18:41:15 GMT

My house just appraised at $390K. I brought this house 3 month ago, and my current loan is $300K. I am located in Portland, OR and my credit score is in 780 to 790. My current loan interest rate is 6.5% 30 yrs fixed. What rate is good to me to lock if I want a no-cost re-finance deal? Or if I pay cost, what rate should I lock too and how much it will cost me? Please advise.

re: Wednesday 12/17…Say Hello to the Best Rates in History

DC Lavman — Wed, 17 Dec 2008 18:34:08 GMT

Thanks, Victor. Credit is in the high 700s. I purchased only five months ago, but rates were so volatile that I got stuck @ 6% on a 30yr. Property values haven't declined since then. Today I got quoted 4.75% with 1/8 point on a 20yr. That seems remarkably good for a jumbo. Can I really expect to do better than that?

re: Wednesday 12/17…Say Hello to the Best Rates in History

Victor Burek — Wed, 17 Dec 2008 18:10:26 GMT

KH, you should float, rates now are better then 5%, but that is assuming 720 or higher scores and with you paying costs.

re: Wednesday 12/17…Say Hello to the Best Rates in History

K H — Wed, 17 Dec 2008 18:02:53 GMT

Hi Victor. Just stumbled across your blog last night...thanks for the informative posts. So we currently have a mortage at 6.5% and want to refinance. Today we could get 5% from our lender if we locked. We'd like to refinance by 1/10/09. Would you recommend floating until then?

re: Wednesday 12/17…Say Hello to the Best Rates in History

jack127 — Wed, 17 Dec 2008 17:49:52 GMT

Before you refi, check the market value of your property. It you are in a declining market do you owe more on your mortgage than the property's market value? Read Jack Schlenk Blog, "What is the value of my Property". Jack Schlenk, Certified Appraisal, Real Estate Broker

re: Wednesday 12/17…Say Hello to the Best Rates in History

Victor Burek — Wed, 17 Dec 2008 17:34:46 GMT

DC, if your credit scores are in the middle 600's, you will not be able to refinance to a much lower rate that would make sense. I would advise that you work on your credit, even go through a credit repair service, then refinance. So, i would defintely advise that you wait, we should see similar or lower rates in 2009.

re: Wednesday 12/17…Say Hello to the Best Rates in History

DC Lavman — Wed, 17 Dec 2008 14:30:29 GMT

What about those of us with so-called jumbo-conforming loans? My current rate is 6% on a mortgage in the middle 600s -- about 10k above what the new Fannie/Freddie cap will be in 2009 in my area (D.C.). I know there is money to gain by refinancing but taxes in my area make a refi costly enough that I shouldn't do it more than once. Should I be refinancing before the end of the year -- in anticipation that rates will go up on my kind of loan -- or does it make sense to wait and see how things pan out? If not for the change in conforming limit I would otherwise be inclined to wait... Thanks for the help -- this is a fantastic resource...

re: Wednesday 12/17…Say Hello to the Best Rates in History

Kent Mikkola — Wed, 17 Dec 2008 14:17:58 GMT

Float boat is looking good! Hello rates... you're looking good too!