The Home Improvement Thread

[sweetcell]

I thought those killer hornets were up there?

true, 2 spots in the state have have murder hornet sightings, neither in my county.  based on what i've read, they won't bug you if you're just chilling on your patio (unlike mosquitoes).  people get attacked when they step on the hornet's nest, which they build on the ground.  so i'm happy to trade the very real threat of DC swamp bugs for the theoretical risk of murder hornets.

[hutch]

Mortgage rates really have to go down to be worth a refi

Cause there is a cost to a refi

Most of us that bought in last few years are already fairly low

[hutch]

No I read banks are clamping down mortgages now due to covid

[Dejecty-hatch lııllı|̲̅̅●̲̅̅|̲̅̅=̲̅̅|̲̅̅●̲̅̅|llıl]

Mortgage rates really have to go down to be worth a refi

Cause there is a cost to a refi

Most of us that bought in last few years are already fairly low

Of course there is a cost

The VA transfer tax is the bitch

But depending on how you do it .75 % is about $200 less a month in my case
About $25 a month covers closing costs
Or you could keep payments exactly the same and cash out $40k tax free.
 
Again you do have a bigger loan and a longer term.  But if your monthly payment stays the same
I think that is pretty good
But you need to understand the math
There are calculators out there to figure this all out

[hutch]

sounds like you are refinancing!

Keep us posted!

[Dejecty-hatch lııllı|̲̅̅●̲̅̅|̲̅̅=̲̅̅|̲̅̅●̲̅̅|llıl]

sounds like you are refinancing!

Keep us posted!

not my first time at the rodeo
under three percent is a pretty big deal

guess this is my idea of a home improvement

Although I am going to be fostering about 20 baby chickens for the next 4 weeks
so that seems like much more fun to talk about than refi's

[hutch]

Awesome to hear you know what you’re doing and are experienced...

Let us know when you’ve done it

[Yada]

sounds like you are refinancing!

Keep us posted!

not my first time at the rodeo
under three percent is a pretty big deal

guess this is my idea of a home improvement

Although I am going to be fostering about 20 baby chickens for the next 4 weeks
so that seems like much more fun to talk about than refi's

Riddle me this... You're attempting to lower your payment or you're attempting to take cash out?

Also, how long until you break even from the closing costs....

Also, I think this has been explained, but hey space, you don't have a sub 3% 15 year rate my friend.

[Space Freely]

sounds like you are refinancing!

Keep us posted!

not my first time at the rodeo
under three percent is a pretty big deal

guess this is my idea of a home improvement

Although I am going to be fostering about 20 baby chickens for the next 4 weeks
so that seems like much more fun to talk about than refi's

Riddle me this... You're attempting to lower your payment or you're attempting to take cash out?

Also, how long until you break even from the closing costs....

Also, I think this has been explained, but hey space, you don't have a sub 3% 15 year rate my friend.

According to freddiemac.com 15yr rate was down around 2.75 in 2016. I think we refinanced in 2014 looks like it was low 3's.

[Dejecty-hatch lııllı|̲̅̅●̲̅̅|̲̅̅=̲̅̅|̲̅̅●̲̅̅|llıl]

Riddle me this... You're attempting to lower your payment or you're attempting to take cash out?
Also, how long until you break even from the closing costs....

Not decided yet, but most likely just to lower payment

I'm not CPA....but this is my logic
if the closing costs are wrapped in the loan and the loan payment goes down.  I'd say there is no break even time frame
Yes the loan is higher and the term longer...so this is not free
But, my monthly payment goes down today and I'm saving $40k in interest over the life of the loan
(but yes the principal is higher = the closing costs)


Additionally, my broker had a rate protection program and their closing costs are free for this re-fi
an appraisal is getting waived
Title related stuff:  I've found some good ways to save on that part too
I don't go with the one they offer (last time was $350 savings)
see if you can 'renew' the title insurance from the last transaction (last loan I couldn't, but did this in CA and saved a few hundred too...not sure if VA has different laws about that)

Let me know where the holes in my logic are? (like you wouldn't    )

According to freddiemac.com 15yr rate was down around 2.75 in 2016. I think we refinanced in 2014 looks like it was low 3's.

just because that was advertised, that by no means meant you got that
look on your loan doc, likely online

[Yada]

I've never heard of anyone being able to wrap closing costs into the loan... Where are you reading/seeing this info? This could be something a dump bank on the internet offers, but I'm not aware of it.

Additionally, if it's less than a 1% savings in your interest rate, it's probably not worth it IMHO.

I'm going to assume based on where we all live (unless grandpa or dad or someone else helped with this down payment as well) that you owe at least 500k on your mortgage. If it's less than 1%, it will take you at least a few years to see the savings of your closing costs...

[Dejecty-hatch lııllı|̲̅̅●̲̅̅|̲̅̅=̲̅̅|̲̅̅●̲̅̅|llıl]

I've never heard of anyone being able to wrap closing costs into the loan... Where are you reading/seeing this info? This could be something a dump bank on the internet offers, but I'm not aware of it.

Additionally, if it's less than a 1% savings in your interest rate, it's probably not worth it IMHO.

I'm going to assume based on where we all live (unless grandpa or dad or someone else helped with this down payment as well) that you owe at least 500k on your mortgage. If it's less than 1%, it will take you at least a few years to see the savings of your closing costs...

are you kidding me
so lets say its a 300k loan (not talking about downpayment)
and closing costs are 10K
They just make it a 310k loan

I've probably done it this way at least 7 times

again the loan is bigger, so it's not free money
but if your payment is $1500 and you pay closing costs of $10k up front
Or you wrap that into your 30year fixed and your payment is $1545 (and your principal is now $310)
Am I missing something

[Yada]

I've never heard of anyone being able to wrap closing costs into the loan... Where are you reading/seeing this info? This could be something a dump bank on the internet offers, but I'm not aware of it.

Additionally, if it's less than a 1% savings in your interest rate, it's probably not worth it IMHO.

I'm going to assume based on where we all live (unless grandpa or dad or someone else helped with this down payment as well) that you owe at least 500k on your mortgage. If it's less than 1%, it will take you at least a few years to see the savings of your closing costs...

are you kidding me
so lets say its a 300k loan (not talking about downpayment)
and closing costs are 10K
They just make it a 310k loan

I've probably done it this way at least 7 times

again the loan is bigger, so it's not free money
but if your payment is $1500 and you pay closing costs of $10k up front
Or you wrap that into your 30year fixed and your payment is $1545 (and your principal is now $310)
Am I missing something

If you're paying 10k to refi a 300k loan, you're getting bent over in every direction imaginable... Think Space sex after a sweaty hike in the Shenadoahs. Anyway, in the long run they were you're doing this and looking at it, you're going to be losing $$ amigo.

[hutch]

That is what I was trying to tell him but this isn’t his first rodeo!



We have spoken to advisors who tell us exactly that: to be worthwhile to refinance rates have to go way down

[sweetcell]

Think Space sex after a sweaty hike in the Shenadoahs.

thanks to you, asshat, i now can't not think of that.  ugh.