Comments | virtualmel: Question for the masses

virtualmel

Question for the masses

May 05, 2009 18:59

Closing costs on a mortgage refinance: $6000
That seems awfully high to me, I know they weren't that much when I first bought the place.
Opinions? Good and reasonably priced mortgage brokers/loan officers out there?

Thanks!

Mel

Comments 8

glevryl May 5 2009, 23:06:44 UTC

I used Countrywide when I bought my house; they've been pretty good to me and others I know. OTOH, BoA just bought them, so I don't know what that means for the future.

Also, I think refinance costs are up across the board as a result of the meltdown...the crazy too-good-to-be-true rates were largely what got them into this mess in the first place.

virtualmel May 5 2009, 23:37:07 UTC

That's who I'm with now; Countrywide/BoA.
With what she sent me, I'm only saving $100 a month.
Not crazy about BoA, but mainly I want to save money. :)

glevryl May 6 2009, 00:53:34 UTC

I hear ya there.

speaks May 6 2009, 00:03:05 UTC

Generally closing costs should end up being 2-4% of the loan amount.

roguebaby May 6 2009, 00:39:36 UTC

That seems really high...

kaystorm May 6 2009, 01:10:03 UTC

That does seem a bit steep, especially for that small of a savings. If you bank with someone else I would check with them. I do know though that they have gotten crazy tight on credit requirements also but as long as your credit is above 750 it shouldn't make a difference.

handleman May 6 2009, 15:57:31 UTC

that is high. 2-4% is normal. I have a guy that is very VERY good. Look up Ron Draker Ron.Draker@lionbank.com. He is the guy that did my loan the first time. I am currently refinancing. He will take care of you. He did a fabulous job with me. He helped my dad with his mortgage 2 times.

Keep in mind that 100$ a month adds up pretty quick. My closing cost is going to be $4000. The break even for me is going to be a little bit over 3 years. Given that I will be in the house at least that long, it is worth it. The net savings over 30 years of the loan, once I refy, is going to be about $54,000 in interest payment. There are several online mortgage calculators that can help you evaluate this.

virtualmel May 6 2009, 16:22:23 UTC

I know I could still save money, but my loan will go up that much too of course. I just don't know how all the math works. I'll check out your guy too, as well as the credit union I have an account with.

Thanks!