New to Real Estate · La Verne · Member since 2019 · 6 posts · 4 votes
Hi everyone,
I just recently met with a lender and she told me she could offer me a loan with an interest rate of 3.625%. I know this is a good rate in the grand scheme of interest rates, but I was wondering if anyone else was receiving better rates or if this was high compared to rates people are receiving right now. I am in California, the Inland Empire area.
I am refinancing two properties in CA and have not found rates lower than 3.75, no pts. These are for my primary residence and my mothers home. If there are lenders offering better rates, can you share contact info. We both have excellent credit and no income issues
Lender · Fort Worth, TX · Member since 2016 · 8k+ posts · 6k+ votes
6y
@Amir Ainsworth while the rate is important so is the terms and conditions of the loan. So is 3.625% for a 15 year loan? 20 year adjustable mortgage? 5 year balloon? If the lender that gave you a 3.625% rate on a 30 year fixed rate, then, as mentioned above, that is for a primary home. Investment loans on a 30 year fixed rate attached to a single family home are usually 1 point higher than than with 25% equity. The amount of equity you have in a single family home will also affect the rate as well. So 20% equity it will have a different rate. Lots of things to ask a lender about.
New to Real Estate · La Verne · Member since 2019 · 6 posts · 4 votes
6y
Thank you for responses! I appreciate them a ton.
I am looking for a single-family home to househack. Which is why I am getting a rates around this number. The loan terms were for a 3% down 3.625 interest rate over 30 years. I believe this is a good rate for my situation but I just wanted to verify or see if I could do better.
Rental Property Investor · AZ · Member since 2018 · 212 posts · 183 votes
6y
I was just quoted 4.8x% on investment FNMA conventional. Not my credit, just program #s. Lower if I wasn’t refunding a Heloc as down payment? Don’t know. Didn’t ask.
Lender · Fort Worth, TX · Member since 2016 · 8k+ posts · 6k+ votes
6y
@Amir Ainsworth ah, so the rates you are receiving are not rates any investors will receive. Purchasing your primary home will carry different rates and investors cannot receive those rates. 3.625% sounds reasonable, but we have no idea what your credit is and what are the fees for providing you with the rate? Again, you need to ask about the terms and conditions please. Full picture here. And I would also HIGHLY recommend to shop between lenders. Try 2 or 3 different lenders and ask for a "fee worksheet" to compare. Hope all of this helps.