I need a mortgage for a new home (4-story bldg, first time buyer).

Any suggestions for a loan other than BigPimp? I'm certainly considering his quote but I'd like to do a little shopping before deciding on anything.. I have 5 more days until I need to submit a letter.

Thank you,
-Elliot

 

At least in my paper here on Sunday's... They list out all the banks, etc. and give the 15yr and 30yr rates, points, etc.

That would be the first place to start.

 

I think BigPimp represents a bank so you have that side covered. I suppose the next comparison would be to shop it against a broker and that should cover both sides.

 

I am a very large lender and my rates are typically very good but I am not always the WalMart of mortages. We are more like an Acura vehicles. Very well priced, everything is very nice and lots of value, excellent service and purchase experience.

 

^^ Smart analogy.

How about lending tree? Is that a good way to shop for a loan?

 

Depending on your needs a good "Acura" style lender could be just what you need.

I ended up using Weichert and they were willing/able to do some wonderful financing for me so that I could get into my new house about a month before my old house was closed. Such a life saver.

Of course if you want to get full use out of a good lender you need A+ credit.

 

My credit score is very high, I have almost no debt and I have over $80,000 of savings (including 401k) since I began working three years and two months ago. I lived at home for 1.5 years and it made a world of difference. I'm working on getting a 10/1 ARM for about 5.875% (may float a little) with only one-half point. I don't want too many places running my credit so I've had it run and am giving the number to the lenders I'm talking to. Looks like I'll either go with Wells or Suntrust.. For BigPimp, you have to get me a better rate and drop the points.

 

Elliot, I think you are a bit misunderstood.

I do not 'have' to do anything. I was just offering to help. I don't need your business, I value your business. There seems to be a bit of entitlement in your tone so I think you need to come down a bit. I offered you 5.625 with no points, thus I am not clear what it is that I need to drop. And btw, I was attempting to set you up as part of friends and family offer to get you a better rate and yet, you are not happy, such a shame.

I issued a quick approval when you needed it which allowed you to get the condo. I waived all the typical conditions for you so that you do not have to provide any documentation. I answered all your questions and now you stepping up with conditions. C'mon now. Nevermind the fact that I offered the best, but alas, this is not for you.

 

well said

 

i got 5.78 and i got an investment property that i am not living in with 0 points...u should def go to big pimp or someone who is offering you a better deal on that mortgage of yours..

 

Arthur, I appreciate you helping me get pre-approved and helping me get a nice rate. I do. I am doing my shopping and your rate isn't quite as good as others I've received, based on my credit and income, and so, in saying you have to do better, I'm saying in order to compete with my other offers, I want to see what else you can do for me. It's nothing personal -- just business.

 

I am at 5.625 with zero and you were offered 5.875 with .5 pts.

 

BigPimp -- can you resend me the quote with these details, to my email address? I've been doing my shopping and so apparently I can't keep it straight. Thanks.

edit: I see you told me 5.625 w/ 0 points but you cannot lock in the rate without charging me.. If you can please write up 5.625 10/1 0 points (floating) and the same including the costs for me to lock the rate now, I'd appreciate it.

 

We do not charge anything up front to lock. I will check the rates and let you know. Your best bet is to float.

 

Floating just doesn't sound right when it seems likely that rates are slowing increasing.. It's hard to see the rates going down in 4-6 months.. Any one care to voice their opinion?

 

When is this loan going to take close? If its going to close in a month I would doubt that it is going to go up or down much. With that said, I would lock because I like to know what I have and I'm not the type of guy that gets pissed off if it turns out the rate went down a couple of fractions. If the loan is going to close many many months from now then I would definitely lock because i think rates are going up.

BigPimp, Q for you: Assume someone applies for a loan that isn't going to close for several months and they lock in the rate. Now it gets to the point where they are about a month from closing and rates are lower than the lock. Can the person get out of the original application and apply for the new rate? If so, at what cost if any?

 

Problem is, once you lock, you are locked! If rates go down, it's very rare that a lender will let you float down if you already locked. Because when you lock, the lender will go out on the open market and buy a call for that rate so that it's there when you need it months down the road. That call is expensive. We do not allow a customer to cancel the application and reapply if they are buying the same property. If a buyer cancels, they are charged a cancellation fee, depending what they authorized upfront, typically $350. That $350 won't help us too much because we already spent way more than that on the loan.

We do have a third option called rate protection, which will let you float down once before closing, but starting rate cap is higher than the market and rates are even higher if you need 90/120/180 days. While it's true that rates are on their way up generally, it does not mean that 3 months from now they won't be lower than today. For example, last October, rates were at the same level as they are now, but by Feb/March they came back down again.

 

We should close between Feb and March.. Hopefully have a walk-through in January.. If all goes well.

 

BigPimp: Which company do you work for if you don't mind answering?

Thanks.

 

^ Check PM