Homeowners - What would you do...

Discussion in 'Teacher Time Out' started by silverspoon65, Dec 30, 2009.

  1. silverspoon65

    silverspoon65 Enthusiast

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    Dec 30, 2009

    We had to push our settlement back a few weeks because of a problem with our down payment being cleared in time. THat's a whole other story...

    Now we found out with having to push back the closing, we won't be locked into our rate any more. We are going from 5% to 5.25%. Or we can buy the points to stay at closing. He said in 6.75 years we will re-coop that money.

    The third option is I was originally talking to my cousin-in-law about my mortgage, but when we started to have a few problems, I started to work with my current lender because I needed someone I could talk to face to face (cousin in law was handling everything over the phone because he is in DC adn I am in PA). He told me a while ago he could get me in below 5%. Now I am wondering if I should call him again. But we only have a couple weeks. Would it be stupid to switch lenders? And I also feel like I am taking advantage of my cousin-in-law because every time there is a problem I panic and call him for advice, but then I don't follow through and actually use him for the mortgage.

    I dunno... At this point I am getting frustrated and I just want to get in the house. What would you do?
     
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  3. AMK

    AMK Aficionado

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    Dec 30, 2009

    Call to see what rate he could get you, right now I am hearing mortgage rates are 5.25. My DF is a mortgage bond trader. Just stay on top of them, get everything in writing.
     
  4. reverie

    reverie Companion

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    Dec 31, 2009

    I know our lender did a LOT of work for us to prepare for the closing--talking to the agents, underwriters, etc. and making everything go smoothly. It would have been difficult to switch to someone else just a few weeks before closing. How much did your cousin in law help? Was he just answering questions or did he actually go through the paperwork with you?

    Also, are you sure he could get you the 4% without you having to pay for it up front?
     
  5. MsMar

    MsMar Fanatic

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    Dec 31, 2009

    I would not try to switch lenders this close to closing. Too risky in my mind. As far as buying the point, I think it depends how long you plan to be in this house. Is this a "forever" home or a "starter" home? If you're not sure you'll be there for over 7 years, then you wouldn't want to pay for the point. But if you are pretty sure you'll be there for many, many years to come, then you'd save money in the long run. Tough call.
     

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