We have been approved for a home loan… I know those fluctuate and they went down today. When I called the bank they said:
30 yr fixed – 6.5%
15 year – 8.125
The 30 yr is a large loan and the 15 year is a very small loan. These seem really high to me. Are they? They have gone down twice today because it was 6.85 on Friday.
My credit is ‘good’, but certainly not spectacular. Is this about the best I can hope for? I really don’t want to buy points.. and I hate to wait until it ends up going back up.
Is this higher than most people are getting right now?
Thanks!
Related Post :
Other post:
- Refinance auto loan for bad credit question?
- Handling the Cash Money Effectively
- I NEVER ACTUALLY WROTE A CHECK, I DID IT ALL ONLINE, ELECTRONICALLY PAYDAY LOANS?
- Has anyone ever default on a loan before payday? What was the outcome?
- Will a credit score of 682 get me a decent home loan in this market?
I think 30 yr fixed at 6.5 seems a bit high, but depending on your credit score,… I’d say it should be more like around 6. Still it will be getting a lot worse pretty soon I think, so if I didn’t have a choice, I’d take 6.5. My parents bought their house on 11.5% so 6.5 is definitelly way better.
You said it yourself – your credit score is not great – well, only great scores get the 6.0% mortgages – 6.5 is still historically low for a 30 yr fixed mortgage and you said it already went down a third of point recently – more chance of it going back up before it drops anymore= the 15yr rate seems way out of whack though – usually 15 yr rates are lower than 30 yrs rates
I bought my house about a year and 2 months ago. I did the 80/15/5, which sounds like what you may be doing with yours. My rates are 6.25% for the 30y and 7.57% for the 15y. I bought before all the mortgage crisis and foreclosure stuff started happening. I was not going to be dumb enough to get an adjustable rate because my luck, I would be paying 50% interest by now. Those are the only people who are being helped by the bailout. You may want to check around to see if you can find a cheaper rate. I don’t get all the points and figure it is means to get more money out of me somehow. Good luck, I know it is confusing.
If you’re not closing soon and have some time, you can call your agent and ask if you draw docs, will they redraw for free (or for a fee) if the rates change and go lower. It’ll buy you some time in case the rates continue to fall in the next few days…