Refinancing -- these banks should be ashamed

galiano · Dec 18, 2008

Quote from scriabinop23:

Seriously, I think it will eventually come to legislation or assistance getting that margin down. I'm convinced the Fed will focus to recapitalize the banks from hereon out through asset inflation (forcing the housing market up) more than direct cash infusion (TARP, interest on reserves, etc) from hereon out.

I have property in default ( 2 months behind) in Seattle area. Not my primary residence. Property (now) priced for small loss including sale fees and commissions. Been on market for 4 months. $88-$95 square foot NEW construction killing existing home sales. My property is 4 yrs old. Priced slightly underwater at $103 per sf. Average activity, no bids.

Chase (mortgage servicer) won't deal. My favorite "reason" is "the loan amortization schedule can not be modified." I must have a dummy label that shows up on caller id. Chase already sent "scouts" to look at condition. Mind you, just 2 months behind. I'm prepared to leave keys on the granite counter top and walk. Chase is obviously prepared to screw me.

If what you think becomes real, all the more reason to walk. If happens quickly, the window of opportunity is the Spring. Beyond that, your sceanrio all but guarantees a swift return to NEW depressed price levels.

jd7419 · Dec 18, 2008

I'm in the same position of most good borrowers. I have a 5.75 30 yr fixed loan and am waiting for the government to refi my loan at 4 %. The fed has basically said this is their goal. Why would I refi now with a bank at 5% and pay alot of closing costs when uncle sam is going to give me a better loan and no fees.

SideShowBob · Dec 18, 2008

Quote from jd7419:

I'm in the same position of most good borrowers. I have a 5.75 30 yr fixed loan and am waiting for the government to refi my loan at 4 %. The fed has basically said this is their goal. Why would I refi now with a bank at 5% and pay alot of closing costs when uncle sam is going to give me a better loan and no fees.

No way uncle sam gives you a loan. Unless you did something stupid and bought beyond your means uncle sam's message is "no soup for you"

gnome · Dec 18, 2008

Quote from SideShowBob:

No way uncle sam gives you a loan. Unless you did something stupid and bought beyond your means uncle sam's message is "no soup for you"

CORRECTAMUNDO! If you are one of the "prudent and responsible", your assets are a "source of funds".... You get to PAY. You get to be SUCKED DRY. You don't get SHIT!!!

THAT'S [the coming] "NOBAMANOMICS"...

SideShowBob · Dec 18, 2008

Quote from gnome:

CORRECTAMUNDO! If you are one of the "prudent and responsible", your assets are a "source of funds".... You get to PAY. You get to be SUCKED DRY. You don't get SHIT!!!

THAT'S [the coming] "NOBAMANOMICS"...

The screwing of the financially responsible has been going on for decades, this is nothing new. Greenspan and Bernanke are just taking it to new heights

gnome · Dec 18, 2008

Quote from SideShowBob:

The screwing of the financially responsible has been going on for decades, this is nothing new. Greenspan and Bernanke are just taking it to new heights

The fact that it's been "going on for decades" doesn't mean we should be sanguine about TAKING IT UP THE TAILPIPE.

If you're one of the "have nots", you don't really care who's been taking it up the tailpipe for your subsidy... If you're one of the hosed, getting hosed further matters.

SideShowBob · Dec 18, 2008

Quote from gnome:

The fact that it's been "going on for decades" doesn't mean we should be sanguine about TAKING IT UP THE TAILPIPE.

If you're one of the "have nots", you don't really care who's been taking it up the tailpipe for your subsidy... If you're one of the hosed, getting hosed further matters.

No question. I'm just saying this is not a new thing. I'm waiting for my 0.25% fed financed loan.

gnome · Dec 18, 2008

Quote from SideShowBob:

No question. I'm just saying this is not a new thing. I'm waiting for my 0.25% fed financed loan.

If you're a "qualified buyer", don't hold your hand on your butt waiting for THAT!

Sanjuro · Dec 18, 2008

My loan agent called me up and told me I could refinance with a no point no fee 4.875% conforming 30 year fixed on Wednesday here in the SF Bay Area. My credit score is over 800 with good loan to home value ratio.

I tried calling my current loan holder CitiMortgage to find out their rate and they tried to offer me 5.75% for the same loan and wanted me to pay roughly 3k in points to buy it down to 5%. The refinance consultant then gave me a whole sales speech and said my loan agent must've been lying because there was no free lunch!

Anyone who believes that crap deserves to get ripped off...

http://news.yahoo.com/s/ap/20081218/ap_on_bi_ge/financial_meltdown;_ylt=Ai83uuxSPuhlHtHxFwAEkzkDW7oF

"On Wednesday, some mortgage brokers were quoting mortgage rates of close to 4.5 percent for people with strong credit and hefty down payments."

"The national average rate on 30-year, fixed mortgages was 5.06 percent on Wednesday, according to financial publisher HSH Associates â the lowest since the 1960s and down from 5.3 percent Tuesday."

jd7419 · Dec 18, 2008

Quote from Sanjuro:

My loan agent called me up and told me I could refinance with a no point no fee 4.875% conforming 30 year fixed on Wednesday here in the SF Bay Area. My credit score is over 800 with good loan to home value ratio.

I tried calling my current loan holder CitiMortgage to find out their rate and they tried to offer me 5.75% for the same loan and wanted me to pay roughly 3k in points to buy it down to 5%. The refinance consultant then gave me a whole sales speech and said my loan agent must've been lying because there was no free lunch!

Anyone who believes that crap deserves to get ripped off...

http://news.yahoo.com/s/ap/20081218/ap_on_bi_ge/financial_meltdown;_ylt=Ai83uuxSPuhlHtHxFwAEkzkDW7oF

"On Wednesday, some mortgage brokers were quoting mortgage rates of close to 4.5 percent for people with strong credit and hefty down payments."

"The national average rate on 30-year, fixed mortgages was 5.06 percent on Wednesday, according to financial publisher HSH Associates â the lowest since the 1960s and down from 5.3 percent Tuesday."

Exactly I can get 5% now because I have an 80 ltv and a 800 credit score. But why should I go through the trouble of submitting documents and refinancing now when the fed is going to make the 30 year mortgage 4%. Their goal is to reinflate housing prices and the only way they are going to do this is to give good borrowers the same rate as the shit borrowers. The bad borrowers will still default on a 4% fixed loan and the fed knows this.