Private Mortgage Broker?

Question

I talked to a broker this morning that says she doesn't go through the banks and goes straight to Fannie and Freddie.  She says she can get me a 5.125% mortgage for an investment property and if I pay $600 for one point she could bring it down to 4.99. So far this has been the best deal I have seen in the Jax, Fl area. The property I am looking for is 150k with 25% down. Has anyone dealt with this type of broker and is this a safe avenue to use for a mortgage? In addition, should I pay the extra 600 to bring the rate down to 4.99%?  Thanks for the help and advice.

Dimitri Paspalaris · Answer

So it is 4.5% with 25% down with me paying $1000 in borrower fees. So less than a point. Since I am looking at a loan for $165,000. It also helped that I had two brokers competing for my business and yes it is an investment property. Rates just came down again.

Nicholas Covington · Answer

@Dimitri Paspalaris and you are postive that they are putting this down as a investment property? Being a broker myself we work primarily through the same lenders and I can tell you that there is no way I would see an invetment deal that low. Primary residence is more in line with those rates.

Laurence Crawford · Answer

@Dimitri Paspalaris can you share their info? Would love to do business with them

Dave Skow · Answer

Dimitri - glad it worked out and  good luck with the transaction

Dimitri Paspalaris · Answer

@Melvin List I actually got a better offer of 4.5% and I do have it in writing. Going to start finalizing the loan later today.

Melvin List · Answer

@Dimitri Paspalaris do you have all of this in writing?  A Fee sheet or Loan Estimate?

Dimitri Paspalaris · Answer

@Larry Bowers

Her offer is currently the best I have two more brokers I need to talk to but more than likely going with her for the 5.125 deal.

Larry Bowers · Answer

@Dimitri Paspalaris

What ended up happening?