Ellenwood, GA · Member since 2016 · 267 posts · 70 votes
Hi all.
Is 5.25% on a 30 yr conventional loan with 15% down and excellent credit, about where the market is right now on less than a $250,000 property or should I be shopping lenders, considering I'm using a broker.
@Wendy Smith glad you posted the dp purchase price. At a price in the twos the rate is really a small part of your financial picture, and even at the higher rate you can refi later:..
I’d check more carefully into any kind of tax reset upon purchase, maintenance needs etc. those are going to be the killers
I'm following just to know how folks are getting sub 4% on their investment properties...please share your contacts.
My duplex in NJ is at 5.625% ($77,175 initial principal, not sure if that is key) and my mortgage guy (who I like, trust, and refer business to) tells me its not even worth refinancing. But I have great credit, tenants, rent roll, never missed a payment, etc. Would love to at least verify this with another agent if ya'll could recommend someone.
@David P. - Less than 5k on a 420k loan balance. It's from BP Federal Credit Union in Houston.
@Jose Pena - Local credit unions with in-house loans. BP Federal Credit Union in Houston and Ohio University Credit Union in Athens, OH. I heard another investor getting a cash-out refinance Fannie/Freddie loan at 3.125%. @Jackie Morales
Thanks. Yea I'm agreeing to 20% down so waiting to see what that looks like and he is a broker.
Funnny thing is my bank is offering no Origination fees etc and my broker's standard fee is around $1,400 plus usually 1% or so in points. However, he delivers so I usually chalk it up to the price of reliability and expediency which we all know in RE is crucial.
I agree that the 20% down is a good move. In terms of reserves, they will usually count a portion of other, non-liquid accounts for this as well. This whole conversation makes me think I should've shopped harder for a triplex I closed last month at 4.125%. That was when rates were less stable and it was harder to get.
That interest rate is high for today. What is loan amount, your middle FICO and property type (condo SFR units) all those are factors in pricing. Conforming loan amount, FICO 721, single family, non owner should be around 3.625 no points little or no fees - rates change a couple times a day. This is not a commitment to lend
@Matt Humps please share your lender info. Looking for property in Athens/Atlanta and would love a local lender that can get those rates. Working with similar numbers as the ones you posted.
@Wendy Smith that’s about what I just got for a similar size loan, had to pay a few points to get it down to 5.25% rate, don’t remember exactly how many...
@Wendy Smith the reason I went with the 15% rather than 20% down is because I'm trying buy more properties with the cash I have on hand (3 properties rather just 2). Also, Less down=higher cash on cash ROI... usually. I bought the first below market value, I Plan to buy the other 2 the same way soon. I will refinance on all 3 to a 80% to 75% LTV loan in a few years and will likely get most of the cash back.
Hi all, does anyone know a hard money lender who will fund Arizona and who specializes in chapter13 bk (not yet finalized, 10 months left) cash out refinancing for freshly rehabbed investment sfr's? The bk trustee has already approved the loan in writing. Current ltv is approx 25%. I know they're out there, so maybe ya'll can point me in the CV right direction. Thanks!
No, the house I closed on is an investment property, so Non-Owner Occupied. I would expect the rate on an owner occupied to be even lower. If you're looking at refinancing an Owner Occupied House, I would expect you to find rates in the low 3's. Just taking a quick look, PenFed is advertising 3.25% on a 30yr fixed convening loan refinancing in an owner occupied home. Lowrates .com, which is run by Sun West Mortgage, is also advertising low 3s refinancing on owner occupied.