Mortgage rates

[BMF]

Here is what I do know about the sale of a primary home that has been such in I think 2 of the past 5 years. If single, the first $250K PROFIT is tax free and if filing jointly it is $500K PROFIT. So if not that much, then the 1031 would not totally matter. But if doing a 1031 is better for you I get it.

I definitely need to look into that. I've been here 10 years, so that's not going to be a problem...but profit will be over $250k (not much over, but definitely over). We file separately also.

 

[BMF]

we are finishing up a very lengthy whole house remodel...and wanted that to be mostly complete before we applied.
helped to increase the L2V.

and... home renos:
"it's a journey, not a destination..."

Post up some pics when you get done. I imagine that was a pain...but I'm sure it'll be years of enjoyment after it's done.

 

[bradgator2]

we are finishing up a very lengthy whole house remodel...and wanted that to be mostly complete before we applied.
helped to increase the L2V.

and... home renos:
"it's a journey, not a destination..."

post some pics in the “people doing things” thread. It’s a catch all for home projects. And besides.... I’m itching to update the thread title

 

[Concrete Helmet]

I definitely need to look into that. I've been here 10 years, so that's not going to be a problem...but profit will be over $250k (not much over, but definitely over). We file separately also.

You're fine if Va. is a homestead state like Fl.....What's yours is hers regardless of whether or not she is on title(Deed) ....combined 500K if married and it's your(husband and wife)primary resi for 2 of last 5 years...

Investment is different and can be held without spouse having interest unless acquired while married....unless Judge declares it in Deeeeeevorce settlement agreement....and that is entirely up to the judge(in case you get unhitched)...I only know this from pouring over divorce cases on a daily basis to make sure we don't get f vcked with a claim from sneaky RE investors with greedy ex wifes

Disclaimer I am not an attorney and speak only of sh!t that I know of from Florida....

 

[Concrete Helmet]

FICO has various score numbers depending on the type of loan you're applying for (auto, mortgage, credit card, etc.).
8 is the most widely used score, but 9 and 10 are out.
I would imagine that @Concrete Helmet uses FICO in his line of` work

We're in Title but I could be persuaded to make you a loan.....50% down, 8.95% with a 5 year balloon at which time you'll be assigned to the National Bank of China for their Won Lump Sum program ;)

 

[Concrete Helmet]

we are finishing up a very lengthy whole house remodel...and wanted that to be mostly complete before we applied.

If you used contractors get their "Paid in full" affidavits so you're settlement agent can record terminations for the Notice of Commencements.....also DO NOT SIGN ANY NOTICE OF COMMENCEMENTS while going the through the process. This can delay your closing date. If you have already signed any for existing work(currently being done)let your lender and settlement agent know as soon as possible....

Are you subordinating your current HELOC? If not make sure the closing agent has you sign an Account Closure Letter otherwise that lien will not be satisfied/released and could still show up as an open account on your credit down the road even if the balance is zero.

 

[Gatordiddy]

If you used contractors get their "Paid in full" affidavits so you're settlement agent can record terminations for the Notice of Commencements.....also DO NOT SIGN ANY NOTICE OF COMMENCEMENTS while going the through the process. This can delay your closing date. If you have already signed any for existing work(currently being done)let your lender and settlement agent know as soon as possible....

Are you subordinating your current HELOC? If not make sure the closing agent has you sign an Account Closure Letter otherwise that lien will not be satisfied/released and could still show up as an open account on your credit down the road even if the balance is zero.

thanks Crete.
We did the vast majority ourselves with the exception of the two stair cases, hardwood floors and kitchen cabinets.
And our HELOC will be paid when we consolidate both loans into a new single conventional loan.
The broker said today to get the rest of the work done and let him know about 3-4 weeks before it’s completed and he’ll lock in a rate once his appraiser sees it. And of course I’m starting a new job in about three weeks, so that didn’t go over too well.

 

[Bernardo de la Paz]

If you are staying in your house more than 18 months you should probably refi (if your current rate is over 3%). You can get a 30 year for 2.25%. I was going to refi my house (which is at 3.25) but when I did the math on the closing cost I wouldn't have gotten the money back if I sold before fall - and we plan to sell this spring.

Another option is to go with a no closing cost refinance. There are two ways they do that, one by adding the closing costs to the loan principle (you don't want this kind), another by giving you a slightly higher interest rate (basically paying negative points). Last time I refinanced I ended up with a rate 1/8 percent higher to avoid closing costs.

That way it can still make sense even if you plan to sell or refinance again in the near term. Just need to make sure the interest savings are greater than any prepayment penalty for the loan.

 

[BMF]

Another option is to go with a no closing cost refinance. There are two ways they do that, one by adding the closing costs to the loan principle (you don't want this kind), another by giving you a slightly higher interest rate (basically paying negative points). Last time I refinanced I ended up with a rate 1/8 percent higher to avoid closing costs.

That way it can still make sense even if you plan to sell or refinance again in the near term. Just need to make sure the interest savings are greater than any prepayment penalty for the loan.

Sage advice!

So many dummies out there add the closing costs to their mortgage - and many of them refi their mortgage several times over the years (if they stay in the same house) adding thousands to their mortgage because they do this tactic.

 

[Gatordiddy]

you guys are pretty damn smart.. thanks

 

[CDGator]

Sage advice!

So many dummies out there add the closing costs to their mortgage - and many of them refi their mortgage several times over the years (if they stay in the same house) adding thousands to their mortgage because they do this tactic.

My mortgage company used to send letters about their new program where I could pay a small fee to join their program to pay down the mortgage faster without having to refinance. (Haven't seen that lately) We were already doing the same thing by adding an extra amount to the principle each month without joining for a fee.

 

[bradgator2]

My mortgage company used to send letters about their new program where I could pay a small fee to join their program to pay down the mortgage faster without having to refinance. (Haven't seen that lately) We were already doing the same thing by adding an extra amount to the principle each month without joining for a fee.

Yeah, they used to advertise to pay half your payment every 2 weeks (for a fee) thereby sneaking in an extra payment each year. It’s an amazing idea and something I tell new home owners to do. Except dont pay them their silly fee to do it for you.

 

[CDGator]

Yeah, they used to advertise to pay half your payment every 2 weeks (for a fee) thereby sneaking in an extra payment each year. It’s an amazing idea and something I tell new home owners to do. Except dont pay them their silly fee to do it for you.

Yes, that's exactly what it was.

 

[Detroitgator]

Yeah, they used to advertise to pay half your payment every 2 weeks (for a fee) thereby sneaking in an extra payment each year. It’s an amazing idea and something I tell new home owners to do. Except dont pay them their silly fee to do it for you.

We usually round up to the nearest 100 or 500

 

[CDGator]

Years ago it was a rule of thumb to not refinance unless it's more than a point. Is that still applicable? We probably missed the window on the cheapest rates. Currently at 3 1/8.

 

[bradgator2]

Years ago it was a rule of thumb to not refinance unless it's more than a point. Is that still applicable? We probably missed the window on the cheapest rates. Currently at 3 1/8.

Lots of calculators to run those numbers. I’m on a 15 year, 2.85%.

Nothing “little” extra really helps me. I’ve ran tons of different scenarios and extras.

So I think the lower your current rate, the less impact those extra will have.

 

[CDGator]

Lots of calculators to run those numbers. I’m on a 15 year, 2.85%.

Nothing “little” extra really helps me. I’ve ran tons of different scenarios and extras.

So I think the lower your current rate, the less impact those extra will have.

Yeah, I need to do the research and crunch the numbers. The thought of going through all the paperwork makes me want to keep what we have. It’s as much fun as buying a car.

 

[Concrete Helmet]

Yeah, I need to do the research and crunch the numbers. The thought of going through all the paperwork makes me want to keep what we have. It’s as much fun as buying a car.

Swing for a 15 year and see how close you come to your current payment with todays lower rates.
I doubt rates will be going up much if at all over the next year or longer but yes you're pissing away equity by not doing the 15 minutes of paperwork that it takes....btw don't forget to dig up your boundary survey and owners policy for re issue credit to save you money on the title insurance and closing cost.

 

[BMF]

This is why the inevitable housing crash/correction is going to continue to be delayed ("kicked down the road"):

 

[Detroitgator]

This is why the inevitable housing crash/correction is going to continue to be delayed ("kicked down the road"):

And make it worse... Friend in Nevada is posting on FB how rental property owners can't sell their properties (and there are willing buyers) because of no evictions of what are now non-rent paying squatters.