mortgage questions

[livendive 8]

Given the diverse group of skydivers (and people who once were or would like to become such) that frequent this forum, I thought there might be someone who knows more than I about this stuff.

I'm in the process of buying a house, and trying to not get screwed in the process. My broker (a local credit union) is looking to get 1% origination fee (the max allowed on an FHA loan) plus around a 1.1% YSP. I'm not opposed to them making some money for the service they're providing, but want it to be a reasonable amount...and I'm not sure what that is. I'm talking to the LO about having her divert some of that YSP toward my remaining closing costs (seller paying most), with any remaining funds applied to my principal (not my down). She's asked exactly how much of the YSP I want, but hasn't yet given me an opportunity to answer, while she checks into the limits & allowances imposed on an FHA loan. So, what's reasonable? If they make 1% origination, plus 0.5% on a YSP, are both parties getting a fair shake? If it matters, the rate they're offering is 5.375% on a 30-year fixed.

Blues
Dave

"I AM A PROFESSIONAL EXTREME ATHLETE!"
(drink Mountain Dew)

[JohnDeere 0]

I would not pay any origination fee! Check this out.

http://www.churchillmortgage.com/commonframe.php?p=should_i_pay_points

I would recomend them also!

Nothing opens like a Deere!

You ignorant fool! Checks are for workers!

[Ketia0 0]

Dont go with credit union!

I learned that when i bouhgt my house 5 months ago. Go with a bank. You will get a lower intrest rate, and they dont charge near as much preperation work!

jsut my .02

"In this game you can't predict the future. You just have to play the odds. "-JohnMitchell

[turtlespeed 226]

Quote

Given the diverse group of skydivers (and people who once were or would like to become such) that frequent this forum, I thought there might be someone who knows more than I about this stuff.

I'm in the process of buying a house, and trying to not get screwed in the process. My broker (a local credit union) is looking to get 1% origination fee (the max allowed on an FHA loan) plus around a 1.1% YSP. I'm not opposed to them making some money for the service they're providing, but want it to be a reasonable amount...and I'm not sure what that is. I'm talking to the LO about having her divert some of that YSP toward my remaining closing costs (seller paying most), with any remaining funds applied to my principal (not my down). She's asked exactly how much of the YSP I want, but hasn't yet given me an opportunity to answer, while she checks into the limits & allowances imposed on an FHA loan. So, what's reasonable? If they make 1% origination, plus 0.5% on a YSP, are both parties getting a fair shake? If it matters, the rate they're offering is 5.375% on a 30-year fixed.

Blues
Dave

Mortgage attorneys are not all THAT expensive - but usually worth the investment.

I'm not usually into the whole 3-way thing, but you got me a little excited with that. - Skymama
BTR #1 / OTB^5 Official #2 / Hellfish #408 / VSCR #108/Tortuga/Orfun

[Sletzer 3]

That website links to FreddiMac ( i think) which quotes the avg locked in (not advertised) rate being 5.07% with .7 loan origination points over this week. That's lower than I expected.

Interesting read, really. I'm about to take the same leap in the next few weeks. Good luck to you sir!

I will be kissing hands and shaking babies all afternoon. Thanks for all your support! *bows*

SCS #8251

[namgrunt 0]

having just refinanced one house
and purchased another

I suggest you shop around
bur avoid
Wachovia Bank
and
Bank of America
both will jack you around and then change % and fees and then jack you around somemore
Bank of America is by far the worst offender.
they will promise you the world and after waiting weeks they change things and hope you do not notice
In my opinion B of A should be avoided

59 YEARS,OVERWEIGHT,BALDIND,X-GRUNT
LAST MIL. JUMP VIET-NAM(QUAN-TRI)
www.dzmemories.com

[DeNReN 0]

The only thing I know is that 30 years is a insane amout of time to take a morgage out over.

If you can't afford it in 20...then its too much to hold.