Hi, I am applying for a cash out refi so I can take some equity out of a rental property I own outright in Florida.
Are these numbers a good deal?
Property: Condo - owned outright - current value $300k
Loan amount: $240k - 30 year fixed
Interest rate: 4.375%
P&I payment of $1198/month
Lender credit to borrower $-5100.00
credit report $12
closing/escrow fee $500
document fees: $100
notary fee: $150
Lenders title insurance: $450
recording charge: $120
Daily interest charges (24.8333 x15 days = $387.50)`
est closing costs: $2037.00
Is this a decent rate and charges?
You're assuming you're going to be able to pull out 80% of your equity which is very unlikely, especially with a condo. I imagine the bank is only going to offer you 65-70%.
These are the numbers from the GFE from the lender. You think they pull a bait and switch and offer less?
@Rainier Guiang I am currently in the middle of doing a cash out refi as well. I was only able to find offers with 75% LTV. Your other numbers look very much in line with what I was given as well if not just slightly better with your interest rate. Do you mind me asking which lender you are going through?
Hi Chris, I'm using United Home Loans in Orange County, CA. Funny, I havent locked in the rate yet and it's already gone up to 4.5% from 4.375.
That's pretty solid. I'm a LO out here in CA, and I don't know how they are getting to 80 LTV, but if they are, then what you're getting is totally solid.
I only know of 75 LTV max for C/O refi on investment property.
Just my .02
Not sure where the lender is getting 80% LTV on a cash out because the only option for a Florida condo if you live in Tustin is either a 2nd home or a non owner occupied property both of which offer max cash out to 75% LTV if you have 1-4 financed properties min 700 fico and 6-12 months PITIA.
Pricing is great though if its a real.
I have a blog article on what determines a mortgage rate - "Whats Needed to Determine your Mortgage Rate."
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