All Forum Posts by: Will Sam

The part about offering a no fee refinance is just a marketing gimmick. No fee refi's are always available. It is just called premium pricing which just means you take a higher rate in return for a higher rate. I am sure that lender does not guarantee "market" rates on that refi.

BUT, if you are assuming that rates will fall enough that refinancing in the near future you will want to have paid the least amount upfront in terms of points. But, I will say assuming good credit you should be able to better than 7.625% with 1.5% in points. That should either get you lower in rate buy a .250%or so, or have maybe 1/2 point.

Well I do have the 7.625% at 1.5 in points. But wouldn’t it be better to have no points at 7.9%? And refinance later if rates go down? Ya I get the marketing gimmick re the no refinance fees😀

I am saying you can do BETTER in rates AND points than all the above including the 7.625% with 1.5% or the 7.9% with no points.

If you know of any lenders who can do better I would love to get recommendation. My Tico score of above 800, DTI ratio lowers than 45 but obviously it isn’t enough these days!

I am just looking at my own rate sheet, but I do not lend in every state, so no idea if I an help you or not but if I can others that do lend in your state would be able to better as well.

Oh I see. Ya I am not in one of the states you cover.

0 Votes

Quote from @Jay Hurst:

Quote from @Will Sam:

Quote from @Jay Hurst:

Quote from @Will Sam:

Which one makes the most financial sense, Purchase prices 310k to be rented. Rent is around $2200

Citizens bank @

25% down

7.375% 2 points ($4650.00) $1975.91

7.5% 1.7 points ($3952.50) $1995.76

7.625% 1.5 points ($3487.50) $2015.71

20% down

8% 2.25 points ($5580.00) $2189.83

8.125% 2 points ($4960.00) $2211.48

Us banks @

7.375 at 20% down with 3 points.

Another home loan group (they have a product offering no refinance fees in the future which should save like 5k)

7.9 at 1.5 points 20%

7.9 at par 25%

@Will Sam

Well I do have the 7.625% at 1.5 in points. But wouldn’t it be better to have no points at 7.9%? And refinance later if rates go down? Ya I get the marketing gimmick re the no refinance fees😀

I am saying you can do BETTER in rates AND points than all the above including the 7.625% with 1.5% or the 7.9% with no points.

If you know of any lenders who can do better I would love to get recommendation. My Tico score of above 800, DTI ratio lowers than 45 but obviously it isn’t enough these days!

0 Votes

Quote from @J. Mitchell Bernier:

I know i am getting in the weeds here, but how are you accounting for repairs/vacancy? and do you self-manage?

I ask these questions, because i personally am having a hard time pulling the trigger on anything these days because of the cashflow. So just trying to learn how people do it, with margins this thin.

This is my first rodeo so yes I am planning to self manage to get my feet wet. It can be a bad deal of course over the short term but I can afford it which of course not advisable but I am willing ti take the risk given the location of the house and the rental market here and the long term potential appreciation.

0 Votes

Quote from @J. Mitchell Bernier:

Quote from @Will Sam:

Which one makes the most financial sense, Purchase prices 310k to be rented. Rent is around $2200

Citizens bank @

25% down

7.375% 2 points ($4650.00) $1975.91

7.5% 1.7 points ($3952.50) $1995.76

7.625% 1.5 points ($3487.50) $2015.71

20% down

8% 2.25 points ($5580.00) $2189.83

8.125% 2 points ($4960.00) $2211.48

Us banks @

7.375 at 20% down with 3 points.

Another home loan group (they have a product offering no refinance fees in the future which should save like 5k)

7.9 at 1.5 points 20%

7.9 at par 25%

I am curious on your motivation on this deal? The numbers look pretty rough across the board on cash flow and with rates as high as they are the risk just doesn't seem worth the return. So I am curious what are you seeing that I am not?

You are correct financially I am no way close to the 1 or 2 % rule, it’s purely a long term, low cash flow financial decision for a great location home with a very low inventory in rentals.

1 Vote

Quote from @Jay Hurst:

Quote from @Will Sam:

Which one makes the most financial sense, Purchase prices 310k to be rented. Rent is around $2200

Citizens bank @

25% down

7.375% 2 points ($4650.00) $1975.91

7.5% 1.7 points ($3952.50) $1995.76

7.625% 1.5 points ($3487.50) $2015.71

20% down

8% 2.25 points ($5580.00) $2189.83

8.125% 2 points ($4960.00) $2211.48

Us banks @

7.375 at 20% down with 3 points.

Another home loan group (they have a product offering no refinance fees in the future which should save like 5k)

7.9 at 1.5 points 20%

7.9 at par 25%

@Will Sam

Well I do have the 7.625% at 1.5 in points. But wouldn’t it be better to have no points at 7.9%? And refinance later if rates go down? Ya I get the marketing gimmick re the no refinance fees😀

0 Votes

Which one makes the most financial sense, Purchase prices 310k to be rented. Rent is around $2200

Citizens bank @

25% down

7.375% 2 points ($4650.00) $1975.91

7.5% 1.7 points ($3952.50) $1995.76

7.625% 1.5 points ($3487.50) $2015.71

20% down

8% 2.25 points ($5580.00) $2189.83

8.125% 2 points ($4960.00) $2211.48

Us banks @

7.375 at 20% down with 3 points.

Another home loan group (they have a product offering no refinance fees in the future which should save like 5k)

7.9 at 1.5 points 20%

7.9 at par 25%

0 Votes

All Forum Posts by: Will Sam

Will Sam has started 1 posts and replied 7 times.

Post: Financing options points or no points?

Post: Financing options points or no points?

Post: Financing options points or no points?

Post: Financing options points or no points?

Post: Financing options points or no points?

Post: Financing options points or no points?

Post: Financing options points or no points?