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Financing, Mortgages and Insurance What options are best for you and your situation?


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  #91  
Old 2012-01-15, 03:23 PM
lex_rx lex_rx is offline
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My variable rate is up for renewal in a few weeks.

I have prime minus 0.9%. What's the best that people are getting out there at this time for a variable rate?

TIA.
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  #92  
Old 2012-01-16, 12:21 AM
Thussy Thussy is offline
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Are rates like prime minus 0.9% attainable for new home buyers?
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  #93  
Old 2012-01-16, 08:41 AM
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gerapau gerapau is offline
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I don't think anyone will get prime minus 0.9 these days. Best variable is probably closer to prime minue 0.15.
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  #94  
Old 2012-01-16, 03:13 PM
SuperDuper SuperDuper is offline
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Default interest rates

I have a question about interest rates

In today's date what is better

2 year closed 2.49%

or

4 year closed 2.99%

or

5 year closed 2.99%

My argument is why pay more interest every month from starting, go for 2.49 for 2 years and if you have extra money then contribute some extra money towards pricnipal very month, Interest rates should not go very high after 2 years.

Views? Suggestions
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  #95  
Old 2012-01-17, 07:03 PM
lex_rx lex_rx is offline
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Just put in the call to my current mortgage holder. The rate request went in and I'll expect a call back within the week.

I usually call another three brokers. Will report back on the forum.
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  #96  
Old 2012-01-21, 09:43 AM
lex_rx lex_rx is offline
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Prime minus 0.15 is the best I'm getting for variable. 2.99 fixed 4-years; 3.09 5-years; 3.99 10-years!

I'll have to bring out my financial calculator but I'm tempted on the 5-yr fixed. Since becoming a homeowner in 2000, the highest I've had was about 6 percent. Can rates continue to stay low for another 10 years?
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Last edited by lex_rx; 2012-01-21 at 09:59 AM.
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  #97  
Old 2013-01-26, 12:57 PM
mortgagejake mortgagejake is offline
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Quote:
Originally Posted by SuperDuper View Post
I have a question about interest rates

In today's date what is better

2 year closed 2.49%

or

4 year closed 2.99%

or

5 year closed 2.99%

My argument is why pay more interest every month from starting, go for 2.49 for 2 years and if you have extra money then contribute some extra money towards pricnipal very month, Interest rates should not go very high after 2 years.

Views? Suggestions
The answer is - it depends what your plan is for this home. When a first-time buyer asks me this question (what should they do), I always ask them how long they will be in the home for.

In this case, if 3-5 years, I would always suggest longer term 5 year under 3% (by the way 2.99% isn't the best by any stretch).

Reason I like longer term IF you plan on staying is:

1) in 2-3 years we're expected to (finally) see higher rates

2) when you renew at the higher rate by taking a 2 year 2.49%, unless you've heavily pre-paid your mortgage it doesn't make sense to save half a point now and pay more than half a point later

3) if you plan on moving, don't forget the "port and blend" rate option many lenders have - so you're getting a rate better than had you been a new client because you're blending with an existing lower rate

that's my opinion and I've been doing this a decade!
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  #98  
Old 2013-01-26, 12:58 PM
mortgagejake mortgagejake is offline
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Quote:
Originally Posted by lex_rx View Post
Prime minus 0.15 is the best I'm getting for variable. 2.99 fixed 4-years; 3.09 5-years; 3.99 10-years!

I'll have to bring out my financial calculator but I'm tempted on the 5-yr fixed. Since becoming a homeowner in 2000, the highest I've had was about 6 percent. Can rates continue to stay low for another 10 years?
Prime-.30 and 035 is available through two lenders, high-ratio or conventional, so -15 isn't the best. that said if you do opt variable, I wouldn't go near -15 when you could get 5 year fixed for 2.83 from a sensational lender.

the 10 year was good when we all thought rates were expected to rise. 10 year money is 3.84% not 3.99 by the way if you know where to look
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  #99  
Old 2013-01-26, 12:59 PM
mortgagejake mortgagejake is offline
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Quote:
Originally Posted by Thussy View Post
Are rates like prime minus 0.9% attainable for new home buyers?
the best I have seen the other day is p-75 but that's from a lender that requires you to be a client of theirs already and you have to push real hard to get that option

however for the most part -30/35 is the thing going out out there nowadays
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  #100  
Old 2013-02-11, 09:16 PM
Tara Wilkins Tara Wilkins is offline
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Hi Lex RX,

I am doing lower for both the 4 year and 5 year mortgage rates - message me for details!!!!

Tara Wilkins
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