Rates on cash out refi in so cal

6 Replies

I'm just wondering a ball park rate of a cash out refi on a rental in so cal?

I was quoted a 5.25% for 30 yrs.

Anyone recently done one in SoCal and can comment? Thanks.

Steve,

There's a lot that depends and is missing from the equation. Credit score, LTV, how many rentals you have, what balance of rate/closing costs you want, etc. all have impact.

Just ballparking, you should be able to get a lower interest rate. Not knowing anything about your situation, I just ran a ballpark quote with 700 Fico at a solid LTV on 30 year conventional.

I could probably get to 4% if you really wanted to.  Any rate above that and there is lender credit for your cc's.

Let me know if you want more information.

Thanks,

Jared

Jared Rine, UWL | 2094810514

Originally posted by @Steve Veen:

I'm just wondering a ball park rate of a cash out refi on a rental in so cal?

I was quoted a 5.25% for 30 yrs.

Anyone recently done one in SoCal and can comment? Thanks.

 Theres so many variables that go into your cash out pricing.

I can give you one scenario only with fixed "variables,"

Assumptions:

SFR (not 2-4)

740 fico 

cash out to 75%

you have 1-4 financed properties max

2 years tax returns

you are impounding your taxes and insurance

your loan amount is higher than 150k

and much more....... 

Your pricing on the above would be 4.625% with no points  30 year fixed

Medium new american funding logo  Albert Bui, New American Funding | [email protected] | 949‑514‑5106 | http://albertbui.com | CA Lender # 345453, WA Lender # 345453, TX Lender # 345453, TN Lender # 345453

thanks @Jared Rine   and @Albert Bui  

Sorry for being so vague!! LOL

Almost every aspect of Albert's example fits except this is a lower valued property. It will appraise for $80-90k and I'm lookijng to get 75% LTV.

Does a loan amount under $100k make or break the deal?

Thanks again for the quick responses!

Steve

A loan under 100k gets a minor hit probably .125% or .25% max so worst case 4.875%. Adjustment depend on your other factors as well they are not straight shots as one factor affects sometimes many other factors as well so theres no way to quote rates on the fly with out fully understanding your loan scenario. The above was just a hypothetical pricing that may be valid for one segment of the day since conventional rates are based on how well the fannie mae 30 year bond is doing in the market currently.

Medium new american funding logo  Albert Bui, New American Funding | [email protected] | 949‑514‑5106 | http://albertbui.com | CA Lender # 345453, WA Lender # 345453, TX Lender # 345453, TN Lender # 345453

Agreed with @Albert Bui regarding adjustments and pricing but just running straight quote on what's been presented, we'd still be around 4.625% and could be lower depending on the balance you are looking for.  

I guess either way, no matter who you go with, to answer the original question, you should be getting a lower than 5.25% interest rate.

Thanks,

Jared Rine, UWL | 2094810514

@Steve Veen   I just ran some quick numbers on my search screen and as of this morning, a non-owner cash-out is 4.0% with 1 point and 4.25% with no points.  Your credit, income and assets, the properties value and other factors would determine if you get that rate or a different one.  Good luck!