No, no, no, no, no No Closing Cost means you don't pay closing costs. That means no attorney fees, no appraisal, no recording fees, etc. The lender covers it by giving you a credit. Escrow does not count as closing costs. It's basically a reserve account for things you have to pay anyway (town tax+insurance), unless you've found a way to magically opt out of your town's tax collection list... If you have good credit (740+ for 30 yrs/ARM or 680+ for 15yrs) and you're paying closing costs.....you're doing it wrong.
By giving you a higher rate. As a borrower you need to balance the rate you're getting on the loan with how much closing costs the lender can cover. Ideally, if a borrower is purchasing, a seller may also contribute to the costs. However, there are limits to this sort of contribution. On some loans borrowers must make a minimum investment. As for rates going forward, some of the Fed's recently posted minutes have had some members suggesting that they slow down the quantitative easing, and the fact that they're even considering this is an indicator that interest rates may be higher a year or two down the line. In other words, some folks at the Fed are worried about inflation going forward, and believe they've created enough new money to stimulate markets.
Technically, yes that is what refinancing is all about. Weighing how much closing costs you have to pay vs how much you're saving per month by refinancing. But there are a pretty big cutoff points at certain points. You're going to see big jumps at closing cost going from 3.5 30 years to 3.375, and even bigger jumps going from that to lower. The differences in monthly savings at around those points are so miniscule that it would be silly to even consider $500 closing cost, especially given how good the rates are now. That's all assuming you have decent credit though.
I was actually referring to closing costs during a purchase of a new home rather than re-financing. Not sure if that is different. I usually see builders advertise "0 closing costs" but not lenders.
Only if your income is low enough. I believe if your adjusted gross income is over 110k (married filing jointly or single), then it can not be deducted.
We're looking to sell in the next year, maybe at the end of this year. Are rates expected to stay low?
Slightly apropos question: we're looking to refinance with Quicken Loans, but we have some foundation damage that is not yet fixed. Will that significantly hurt things, or should we go ahead and do the refinance anyway before rates get high again?
The rates went up. They offered 15 year loan at 3.2% Went online and it says it should be at 2.8%. The seller accepted my offer so I have to move fast and dump Chase. Chase wanted me to do the $500 application but I pulled the plug.
So the seller or the shady realtor tried to pull a quick one on me. They accept my offer and now tell me it's being sold "AS IS". We had agreed that he was going to fix whatever necessary. so I told them I'm going to terminate but they don't want give me my $100 option pending. It's not even about the money but the BS he put us thru. I'm thinking of suing both. He works for century 21, should I file a complaint?
Not sure what you're going to sue for. As I understand it the option money goes to the seller if you decide to back out because you can't agree on repairs. You should get the earnest money back though.
We agreed on him fixing some of it, now is none of it. Because the realtor supposedly didn't know how he owed the bank. Does that sound legit to you?
I got screwed on the "fix these things" list. I guess I blew it in that part of the process because I never in fact made sure they were fixed before I closed. But, they were minor things. I guess I could have verified in a final walk-through and backed out...but I would have probably still bought it at the time. Whatever you do...don't just expect it to be done or it won't be.
The realtor told me and sent me an email about it. He broke many laws. When offers for the house went in he was telling me what I should bid. He recommended me what inspector to get. He had this no soul monotone saggy ass suit crazy face look, I should've listened to the red flags.
