|
|
| *Loan,banking and credit>>>mortgage loan |
What kind of rate will we get on our loan (mortgage)? |
Hello, This July we are closing on our condo. The condo is located in Chicago and we bought it for $370k. We make a little over $70k together a year. We pay our cc bills each month and in whole. We are putting more than 20% down to avoid PMI and to give us some equity if we choose in the future to buy more property once our salary increases. We will probably put down ~$90k. The only real debt we have is my $19k in student loans, which will go into deferment because I am back in school. We were preapproved for $250 or 280K (I am not able to locate the document at the moment) but had lower credit scores, a tab bit lower income and did not have as much saved up for a downpayment a year ago when it was done. 1 - What kind of interest rate could we expect? 2 - Do you think banks will offer better rates than a mortgage broker? 3 - When should we apply for a loan? *Not bad for 2 - 25yr olds huh? 02/2006 Fico scores EQ / EX / TU Mine - 784 / 778/ 777 His - 771 / 780 / 781 1- You are looking at a rate of 6.25% in IL. I ran it through Provident Funding as a 30yr fixed, full doc, 80% LTV/CLTV, second home, $288,000 loan amount, with a 21 day lock period. This assumes all the information you supplied is accurate, and that your DTI (debt to income) does not go above 50%. That is a rate that the mortgage company would be ok with selling you. If you are being quoted higher than that, then feel free to talk to me and I will let you know if you are getting a fair deal or not. 2- Your Mortgage company can usually get you at least as good of rates as your local bank, unles you typically carry a very high ballance with them. You would be surprised ... you Mortgage Company is propbably signed up with your bank to do loan through their wholesale side, as opposed to your retail rates they would offer you direct. 3- When a good time to go through with it is completely up to you. If you are in a situation where you can offord it, and are comfortable with it, then do it now. No one can make that decision but you. Source(s): ASK Financial Services keith.ader@westgatedirect.com 1 - What kind of interest rate could we expect? I think around 7% 2 - Do you think banks will offer better rates than a mortgage broker? I am really not sure on this one 3 - When should we apply for a loan? I would say ASAP, if you shop around now, you can get rates locked in for a few months (usually they charge some amount around $200 I think. But as long as you get a loan with them you get this money back), plus then you'll know for certain how much you can expect to get as an interest rate. Rates are currently going up so you want to get locked in if you can. http://www.nfsn.com/library/prime.htm#gr... Modified 1 year ago im in cali. so it could be a little different but you guys are what we call in the industry "A" paper. if you keep it under 80% LTV (loan to value) you will not take a hit in the rate, but because its a condo & not a SFR (single family residence) you could be looking at about 7.0% - 7.75% as long as it is your primary residence... Congradulations on those credit scores very impressive! With those credit scores and 20% down, you should get the best available rate. You can check with your local bank, but larger lenders have the ability to underwrite and price to a larger variety of banks - giving you the best available rates. The best time to apply is now, so that you can develop a working relationship with a trusted loan officer - and to make sure you get approved for the best avaialble rate. A more important question is "when should you lock in the rate". All things being equal, the closer you lock to closing, the better the rate. Today's 30 day rate is about .125% better than the 60 day rate, which is .125% better than the 90 day rate. However, we are in an era of expecting increasing rates. However, if it is new construction, you can lock up to 6 months ahead of time at today's rates. |
| Tags |
| mortgage loan consolidation loan commercial loan auto loan fha loan payday loan |
SiteMap--Copyright/IP Policy--Contact Webmaster For personal non-commercial use only. |