CORRECTION: at 1:50 the formula should be COST / SAVINGS = MONTHS TO BREAK EVEN Sometimes when you get on video, your mind does dumb things and flips stuff around.
0:36 Why do people talk about refinancing? 1:33 Why you make decisions based on emotion 1:50 THE REFINANCE FORMULA 2:02 A refinance example 4:58 Extending your loan will cost thousands 6:08 Watch out for lenders that do this! 7:10 FHA, VA, and USDA have special refinance programs 8:21 Common refinance scenarios 8:27 When rates drop 8:54 When your home value increases 9:21 When your credit score increases 10:10 Shorter terms 10:34 Refinance into a better loan 11:11 Pay off debt 11:27 Pull out investment funds 11:41 Free refinance quotes
Great video！Thank you！Do you think now is a good time to refinance? From what I observe at rate.exposed, mortgage rates are fairly low recently. But I am not sure if it will continue going down or picking up
Wow you exposed this plot in the making ! I see clearly what they tried to pull on a family member. Now I can show them your video. Grateful for your expertise!
Awesome video. Very helpful. Talked with two lenders today. One was pushy and trying to get me to go forward without explaining everything; the other made sure I knew everything up front and was willing to help me determine if refinancing fits my situation. So my advice talk to multiple lenders and make sure you understand the process and determine if it's right for you.
Thanks for the perspective and insights on how to frame one's situation before jumping into the process. It's crucial for finance to be included in the education curriculum in this country. Great job.
Win The House You Love what if I have 25 years left. I want to go down to 15year and I’ll go down about 1% interest. Also this house will be a rental in about 2 years. I’m so back and forth.
Thank you for sharing this info! We are new homeowners and we’ve owned our house for 3 years now. Boise is a booming city and we got an email from our loan office to refinance so I’m here doing research lol and your video helped!
Thank you for sharing! Really enjoyed this video. I am also a loan officer and see so many people refinancing just for lower rates but its doesn't actually save them that much money in the long run
I'm glad you liked it!! And I'm so glad you're with me on this, so many LOs push refis just to make money even when it doesn't benefit the client long term
That's why the APR is a better number to look at, because it's a more accurate indicator of the cost of financing a loan. The interest rate and APR are two different percentages.
wow!! i dont know how u came into my feed but this was the best video so far i watched,, been thinking about refi ,, def have some equity in some out of state properties i have but just dreading the "process" to go through all that and dealing with another 30 years,, but i didnt know i can pick the years,, great info ,, and the break even was good to know ,, thx bud
First I dont usually comment but your video was great . It hit so many key points into what I was looking for ..and you made it so easy to understand . Thank you so much for this video.. I really hope you see this ..you really helped me alot with this video..just liked and subbed
Thank you so much for such detailed and very understanding video! I had so many questions about refinancing my home and you have answered majority of them on this video. ☺️
wow, you have a radio voice! Just refinanced to get rid of PMI and lower rate (only half percent), but the combination saved me 160.00 a month. I have been in the home for 3 years, so I wasn't to far in, I only wish I realized I could have asked for a 27 year loan.
This is great information. I recently had a lender quote me on a refinance. I asked for information at 15 years but they only provided the 30 year information with the explanation that I could always pay more on the 15 year. Point is I would not consider another 30 year mortgage because I have already paying on my current home for 6 years and definitely don’t want to add those years back. Hence the reason I got to doing my own detailed research for more details. I don’t trust these folks.
Just closed on a VA IRRRL, it took 6months to close, partly due to covid, but they did ask for income verification and they also conducted an appraisal and pest, which I had to pay for
Another thing to consider, if you invest your money, it could be worth it to extend the length of the loan if your ROI on investments is marginally greater than your interest rate. I purposely chose to pay PMI so I could put less down and invest the money instead since interest rates are so low.
No one seems to talk about the benefit of MAINTAINING the same payment paying off more principle and reducing your interest payments and therefore the term. That’s the calculator I’m looking for.
great voice! about a month ago I refi'd my 24yr from 4.25 to a 30yr 3.0. Doing this helped me be more liquid. Still making what my previous payment was, which will save me 7years, but in case something comes up I have more wiggle room. and every bank/mortgage office I've ever talked to laughs at the idea of non standard 15-20-30yr products. so your comment about 22-23-24yr products, whatever number you want, was very interesting. Are their specific banks that do this?
Thanks! I’m glad your making your previous payment! And yes, not all lenders will do this. We work with a lender that does “flex term” meaning you can choose any term you want between 8 and 30 years
I am using the refinance to cash out. Had a 15 yr @3.125, they offered a 10 yr at 2.625. Would have dropped my payment $200 without the cash out. I can essentially keep my term and payment the same with a $20,000 kicker. Makes it a bit more difficult to calculate break even point. Would have been less than a year without the kicker
My investment property rate dropped 1.3,,, i bought it. 3 yrs ago break even point is about 4 years. It'll save me 30k in 30 years which I plan on keeping the house to help support me. Only reason I did it
Thank you for making the channel. I’m studying for my SAFE test right now. I plan to become a MLO and start a channel as well. Can you explain any tips you have for studying and or passing the test? Also can you make a video on what the landscape is like these days? Are these profitable times with the low interest rates? Thank you for any assistance you could provide.
I am currently refinancing my house and i am putting money down so I can get rid of the PMI payment also. My actual interest rate is %4.8 and the new interest will be %3.2. my pay off is $270 000 and my new loan is $245 000 @ %3.2 and no PMI. my concern is that I am putting $30 000 down plus $7000 of closing. that is $37000. that can go to my principal in my current loan lowering my debt to $230 000. Should I invest my money in the principal payment and then refinance a lower amount? seems to me that putting $37000 to my principal will be the better option. but I will keep the PMI and the %4.8 interest as well. My closing cost are coming out to $11000
It's possible that could work! I'd ask your lender to help you with an amortization table of both scenarios so you can figure out what would be a better option.
What if your monthly payment stays the same but at a lower from 3.875% to 2.65% rate with a closing cost of about 5K reducing from 25 years to 20 years to pay the loan?
When I refied I went from a 30 year (with 23 months left) to a 15 year. I end up paying $150/ month more than my previous payment. But I dropped from 3.75 to 2.5% So how do I calculate that? I'm not technically saving any money but more aggressively paying down my mortgage over a shorter time
What's wrong with refinancing into a longer loan if it lowers your monthly cash payment? You can always pay more of the loan off when you're earning more.
If you do a FHA to FHA refinance, do you have to owner occupy the property for 12 months after the refinance or just 12 months from the beginning of your first mortgage? I'd like to buy a house, live in it for about 3 years then keep it as an investment property. Not sure what the best mortgage would be for me.
I was offerd 2.6 from 3.6, without paying anything, and expecting a check from escrow for around 4k. But didn't like the fact that loan amount increase from 282, 000 to 292,000. 😒😒😒 Conventional
In addition to 'break even point' consideration, what about the amount of front-end interest that is paid each time you refi the loan? My understanding is that each time you refi, you effectively reset the clock. So if you were 5 years into a 30-year loan and then you refi, you go back to having a 30-year loan. Which means that you're back to paying a higher percentage of interest vs principal. If this assumption is true, how do you calculate this?
Hey Stephen! Thanks for your comment! Unfortunately, a lot of people "reset the clock" on their mortgage. I believe this happens because there are a lot of shady loan officers out there who don't care about the long-term wellbeing of their clients. They simply just want to say "you saved $XXX/mo". But that monthly "savings" actually creates a higher interest cost over a long period of time like you mentioned. Most lenders have the ability to refinance into any term you want (eg 15 year, 18 year, 22 year, 26 year). It's always best to refinance into the exact term remaining on your loan. If that's not an option and you have to take a 30 year, then you want to make principal payments on the 30 year equivalent to the term you initially had. - Kyle Seagraves winthehouseyoulove.com
@@WinTheHouseYouLove , ahhhh. So it is indeed preferable? I was unaware of that. Honestly, most loan offiers I've ever dealt with made it sound mandatory. BTW, I assume refinancing w/ existing terms is an option for straight up refi but not for a cash out refi. Is my assumption correct?
I'm in the middle of refinancing... but after watching this video and a few others, I don't think I'm going to continue. It would take me 4 years to break even. I just don't think it's worth it. 🤷🏾♀️
So I called my chase bank and asked to have my pmi taken off the loan.i bought 10y ago for 100,000 and it's worth about 350,000 today. Also I paid off more than 20%. They said no. Said you can't take pmi off a usda home loan. Is this a hard fact? Of is this a starting point for negotiating?
How does the break even formula work when you go from 30 year to a 15 or 20 year mortgage? Your payments will probably increase while paying more towards principle. How would I determine the break even point then?
1. Can you refinance a homestyle loan (investment property) into something with much lower interest rate while keeping the property as an investment property?
can you explain when you said if you have mortgage insurance most likely its because of having lower than 20% equity in your home,.. but how would refinancing it and increasing the value of your home increase your equity in the home? wouldn't your equity in the home go down by increasing the value? am i missing something ? lol
Based on technical indicators, it looks like rate have hit a flor for the time being. But, the market is also fairly volatile, so that could change very quickly. There isn't a specific day that is best. It's all dependent on market conditions.
Well i guess it's best to refinance cus i plan on being here forever, i only been in the house since nov 2019, going from 4.5% to 2.99% will save about $370.00 a month, my break even will take like 3 yrs cus i don't have any refi upfront money and the loan cost a whopping $12k! Any advice?
Currently have 4.5% intrest (high) on fixed 30yr with 27yr remaining. Bought our house 3yrs ago for $280k and put 20% down. We owe $206k left so we habe about $70k in equity. Have opportunity to refi for 20yrs at 3.25% fixed. Closing cost will be between $2500-3500. We have the $$ to pay closing does this sound like a good idea. We are planning on staying in this house and we are currently pating an xtra $300/month on principal. Thx for you time. 🙏🏼 oddly enough im in ohio!
That sounds like a great option!! If you'd like, feel free to reach out to me with my contact info in the description and I can give you a quote as well.
Please help I have eight years left on my mortgage my current interest rate is 5.375% with 75,000 owing think my home is worth 206,000 approx. Credit score of 850 is it worth it or do I stay put???
I think it's definitely worth looking at a refinance! Talk with a lender about potentially getting a cash-out refinance to pay off any high interest debt too. That might be a solid cost-saving option.
Hi, when I asked my lender for a 25 year mortgage they said no. Should I just go to a different lender, or do you have any advice as to how to convince them to give me a 25 year loan? Thank you.
Licensed in Virginia? I have an fha loan on a condo but property value has increased 11.1%, as of last month and my credit score has increased from 620 to 702, according to trans union and equifax. I want to refi for lower mortgage payments.
I have not had a lender give an option of doing a 13, 14, 27 (any number of years) loan amortization. Who really offers it? I would like to inquire with them.
Thanks for commenting! To see if you can qualify for a loan, you'll want to reach out to a loan officer who can help. You can click Apply on my website
So If i bought a property 10 years ago for 80k and now is worth 210k, i want to refinance and get cash out from the equity i have. Am i refinancing my 80k for another 30 years on whats left off of it or the refi will be resetting to 210k?
A cash-out (1) refinances the current loan and (2) finances the cash-out amount. So your loan balance will be whatever your current loan balance is + however much cash you're taking out. You can finance it over any term you want, it doesn't have to be 30 years.
I currently have an FHA loan for my 1st home here in CA and have accrued over 20% equity in my home, does a Streamline Refinance remove the Mortgage Insurance?
Question? So if I have $102,000 left to pay off an FHA 30yr loan, and want to refinance to a fixed rate conventional loan less then the current 3.75% locked rate I have on my FHA? Should I just put my save $10,000 towards the principal balance or use it towards a lower APR on a Conventional loan? We do plan to Keep our TX home forever! Note: I have never made a principal payment for the lat 8 years.. Your advice is important.. any feedback will help me out thx!
Hello I am seeking your advice. We have our current loan on a 30 year fixed at 5% the original amount was 157,100 and we are 10 years in with a remaining principal balance of 126,000, home appraised at 165000. We have excellent credit. We are not sure which road to take with our current 2 offers. One offer is a 15 year fixed at 2.5% with an APR of 3.042 and points of 1.173. A cost of 10,062 is rolled in to bring the new loan amount to 134,818. The second offer is loan amount for a cost of 5145.72 rolled in for a loan amount of 130,100 at 2.75% for 15 years no points added. Just having difficulty calculating which is better for our family coming from a 30 year to 15 year loan. We would greatly appreciate your input.
I just started offering a service to do these comparisons. On my website (www.winthehouseyoulove.com/) you can schedule a call if you'd like. Also, check out my most recent video on 30 vs 15, that might be helpful in making a choice → ua-cam.com/video/_mIjFJnnHzQ/v-deo.html
@@WinTheHouseYouLove look man i just wish you were honest and teach viewers that refinancing is a bad deal plain and simple. You should teach people how to pay off their mortgage and not keep making a deal with the devil over and over again
If I refi and get cash out, but my term increases, doesnt it still make sense if my payments dont go up, I pay off high interest debts, i do some much needed home improvements, and i invest the rest? It seems to me that paying 3% on that money, then earning more than 3% in investments is a good deal.
A 10/1 ARM doesn't sound like a good idea. You can refinance through any lender. If you fill out this form, I can connect you with a broker who can give you a quote: www.winthehouseyoulove.com/referral
I know this is old video but I have question, how many percent the cost refinance from loan amount , because my loan 208.300 and the loan officer said would cost me 5100k , sound to high to me , thank you
That sounds about right. Talk to you lender about escrows. Most likely, they are collecting escrows and then when your current mortgage is paid off, you'll get a check back from what's currently in your escrow account.
Great video. I understand the part about how to determine if I should refi based on savings per month divided into the cost...but my goal is to go from having 27 years left at 4% to a 15 year loan at around 2.75%. So my payment will actually go up a bit. How do I determine if I should refi in my current situation?? Thanks!
CORRECTION: at 1:50 the formula should be COST / SAVINGS = MONTHS TO BREAK EVEN
Sometimes when you get on video, your mind does dumb things and flips stuff around.
Thanks for understanding I'm a human that makes mistakes haha
What if you are paying the same or more monthly but at a lower rate?
How about the streamline refinance
Is it worth it to do it?
0:36 Why do people talk about refinancing?
1:33 Why you make decisions based on emotion
1:50 THE REFINANCE FORMULA
2:02 A refinance example
4:58 Extending your loan will cost thousands
6:08 Watch out for lenders that do this!
7:10 FHA, VA, and USDA have special refinance programs
8:21 Common refinance scenarios
8:27 When rates drop
8:54 When your home value increases
9:21 When your credit score increases
10:10 Shorter terms
10:34 Refinance into a better loan
11:11 Pay off debt
11:27 Pull out investment funds
11:41 Free refinance quotes
🎧 Listen To The Podcast
plinkhq.com/i/1493715474
💰 7 Proven Ways To Save Thousands On Your Home
www.winthehouseyoulove.com/free
Thank you this organization typed is good for me and deaf people 😘
Great video！Thank you！Do you think now is a good time to refinance? From what I observe at rate.exposed, mortgage rates are fairly low recently. But I am not sure if it will continue going down or picking up
Didn't see the list of states your licensed in. Do you work in Arizona?
Wow you exposed this plot in the making ! I see clearly what they tried to pull on a family member. Now I can show them your video. Grateful for your expertise!
Glad to help!
Kyle Seagraves → winthehouseyoulove.com
Awesome video. Very helpful. Talked with two lenders today. One was pushy and trying to get me to go forward without explaining everything; the other made sure I knew everything up front and was willing to help me determine if refinancing fits my situation. So my advice talk to multiple lenders and make sure you understand the process and determine if it's right for you.
I'm glad it was helpful! Yeah, you don't need the pushy ones!
Great advice :)
Thanks for the perspective and insights on how to frame one's situation before jumping into the process. It's crucial for finance to be included in the education curriculum in this country. Great job.
Thanks so much, and thanks for watching!!
OMG .. I understood all of this !! Fantastic explanation
Glad it helped!
Win The House You Love what if I have 25 years left. I want to go down to 15year and I’ll go down about 1% interest. Also this house will be a rental in about 2 years. I’m so back and forth.
Excellent video, thanks for the great inside info.
Glad you enjoyed it!
I didn't know Eric Snowden does home financing advising.
😂 I'm leaking all the mortgage secrets
Thank you doing this video! This is great information
Glad it was helpful!
You are great at explaining this complicated matter
Thanks!
Thank you for sharing this info! We are new homeowners and we’ve owned our house for 3 years now. Boise is a booming city and we got an email from our loan office to refinance so I’m here doing research lol and your video helped!
Thanks for watching!
I watch alot of videos on real estate and your video break downs are very well done and you explain it in an easy way anyone can understand.
Thanks so much, Steve!
I'm glad it's been helpful!
Kyle Seagraves → winthehouseyoulove.com
Thanks🙏🏾....Finally someone that made this big important decision simple👍🏾
You're welcome! Glad it was helpful!
Thank you for sharing! Really enjoyed this video. I am also a loan officer and see so many people refinancing just for lower rates but its doesn't actually save them that much money in the long run
I'm glad you liked it!! And I'm so glad you're with me on this, so many LOs push refis just to make money even when it doesn't benefit the client long term
That's why the APR is a better number to look at, because it's a more accurate indicator of the cost of financing a loan. The interest rate and APR are two different percentages.
Even APR can be skewed. It stretches costs over the entire duration of the loan making it subject to manipulation
Thank you! was a pretty helpful and informative refinance video! This is great information for me, appreciated.
Glad you enjoyed it!
Man, you made things so simple and clear. Thanks for the video!
Glad you liked it!
wow!! i dont know how u came into my feed but this was the best video so far i watched,, been thinking about refi ,, def have some equity in some out of state properties i have but just dreading the "process" to go through all that and dealing with another 30 years,, but i didnt know i can pick the years,, great info ,, and the break even was good to know ,, thx bud
I'm so glad to hear it was helpful!!
First I dont usually comment but your video was great . It hit so many key points into what I was looking for ..and you made it so easy to understand . Thank you so much for this video.. I really hope you see this ..you really helped me alot with this video..just liked and subbed
Thank you for such a kind comment! I'm so glad it was helpful!! :)
Thank you so much for such detailed and very understanding video! I had so many questions about refinancing my home and you have answered majority of them on this video. ☺️
I'm so glad to hear!!! Thanks for watching!
wow, you have a radio voice! Just refinanced to get rid of PMI and lower rate (only half percent), but the combination saved me 160.00 a month. I have been in the home for 3 years, so I wasn't to far in, I only wish I realized I could have asked for a 27 year loan.
Haha thanks!
That's wonderful to hear!!
You are so informative! Thank you
Glad it was helpful! Thanks for watching!
AWESOME/SOLID advice! buying my first property this year. Thank you for all the pointers!
Congrats!! You're very welcome, thanks for watching!
This is great information. I recently had a lender quote me on a refinance. I asked for information at 15 years but they only provided the 30 year information with the explanation that I could always pay more on the 15 year. Point is I would not consider another 30 year mortgage because I have already paying on my current home for 6 years and definitely don’t want to add those years back. Hence the reason I got to doing my own detailed research for more details. I don’t trust these folks.
It's always good to shop around and get multiple opinions and quotes :)
Just closed on a VA IRRRL, it took 6months to close, partly due to covid, but they did ask for income verification and they also conducted an appraisal and pest, which I had to pay for
Wow that must have been a process!
IRRRLs usually don't require all that except for the pest. Must have been a lender overlay.
Is the equation not supposed to be inverted 🤔
Cost / Savings or 2k/200 = 10 months
Great catch! I said it backwards in the video
Thank you for saying this! I thought I was going crazy lol
Another thing to consider, if you invest your money, it could be worth it to extend the length of the loan if your ROI on investments is marginally greater than your interest rate. I purposely chose to pay PMI so I could put less down and invest the money instead since interest rates are so low.
Thanks for the input :)
Your explanation is amazing and very clear. Thanks!
Thank you so much for watching!! :)
Super awesome...detail oriented informative and helpful...still in learning mode with refi mortgage... thanks much for the excellent video!!
I'm glad you liked it!! Thank you for watching :)
You explained really well, now i can read the bank letter to my mom propperly, haha Thanks!
Awesome, I'm glad it helped!
I appreciate your wisdom 🙌🏾
Thanks so much for watching!
No one seems to talk about the benefit of MAINTAINING the same payment paying off more principle and reducing your interest payments and therefore the term. That’s the calculator I’m looking for.
I'm working on a calculator like that soon
great voice!
about a month ago I refi'd my 24yr from 4.25 to a 30yr 3.0. Doing this helped me be more liquid. Still making what my previous payment was, which will save me 7years, but in case something comes up I have more wiggle room.
and every bank/mortgage office I've ever talked to laughs at the idea of non standard 15-20-30yr products. so your comment about 22-23-24yr products, whatever number you want, was very interesting. Are their specific banks that do this?
Thanks! I’m glad your making your previous payment!
And yes, not all lenders will do this. We work with a lender that does “flex term” meaning you can choose any term you want between 8 and 30 years
Just curious what lender is that? I cannot find lender at 3% interest rate. Many are at 3.5%
Thank you! Informative and educational for me.
Great to hear, thanks for watching!
Thank you for the wealth of information! You're the best!
My pleasure!
Very good explanation. Thank you for sharing refinance information.
My pleasure!
I am using the refinance to cash out. Had a 15 yr @3.125, they offered a 10 yr at 2.625. Would have dropped my payment $200 without the cash out. I can essentially keep my term and payment the same with a $20,000 kicker. Makes it a bit more difficult to calculate break even point. Would have been less than a year without the kicker
Yeah this is just a simple calculator. For more complex scenarios like yours, we use an extremely detailed refinance calculator
Thank you so much it was very helpful your video.!
Glad it was helpful!
Thaaaaaank You! Best video I have watched!
Wow, thanks!
Do you have a video of showing how not to get scammed when doing the refi? Or how to avoid not end up paying more even with lower rate, etc?
Thanks!
I don't currently, but I added that as a topic to my video list :)
Thank you for sharing this info!
You are so welcome!
I wish I could give you 5 thumbs up! Thanks for the advice!
Thanks so much :)
it's clear to understand for refinancing tip. appreciate it. i might do it..
Great, thanks for watching!
My investment property rate dropped 1.3,,, i bought it. 3 yrs ago break even point is about 4 years. It'll save me 30k in 30 years which I plan on keeping the house to help support me. Only reason I did it
Awesome, sounds like a great strategy!
Very informative and professional presentation 👏🏼
Glad you think so!
Thank you for making the channel. I’m studying for my SAFE test right now. I plan to become a MLO and start a channel as well. Can you explain any tips you have for studying and or passing the test? Also can you make a video on what the landscape is like these days? Are these profitable times with the low interest rates? Thank you for any assistance you could provide.
Great! I found a couple really great UA-cam videos on tips for passing the test.
Very fine information. Can you address strategy for making extra payments? And how to evaluate and gage closing costs.
On my video list :)
It would be helpful if you don’t mind printing a bit larger for those of us with older eyes, if it’s not too much trouble.
Thank you for asking kindly!! Future videos have everything typed out so hopefully it's more legible :)
I am currently refinancing my house and i am putting money down so I can get rid of the PMI payment also. My actual interest rate is %4.8 and the new interest will be %3.2. my pay off is $270 000 and my new loan is $245 000 @ %3.2 and no PMI. my concern is that I am putting $30 000 down plus $7000 of closing. that is $37000. that can go to my principal in my current loan lowering my debt to $230 000. Should I invest my money in the principal payment and then refinance a lower amount? seems to me that putting $37000 to my principal will be the better option. but I will keep the PMI and the %4.8 interest as well. My closing cost are coming out to $11000
It's possible that could work! I'd ask your lender to help you with an amortization table of both scenarios so you can figure out what would be a better option.
What if your monthly payment stays the same but at a lower from 3.875% to 2.65% rate with a closing cost of about 5K reducing from 25 years to 20 years to pay the loan?
You'd need a refinance calculator or amortization table to help there.
When I refied I went from a 30 year (with 23 months left) to a 15 year. I end up paying $150/ month more than my previous payment. But I dropped from 3.75 to 2.5% So how do I calculate that? I'm not technically saving any money but more aggressively paying down my mortgage over a shorter time
An amortization table would be best for that!
Chase tried giving me 5 points to refi 🤣 My credit score is 750, so no thanks.
Yeah that sounds like a lot
What's wrong with refinancing into a longer loan if it lowers your monthly cash payment? You can always pay more of the loan off when you're earning more.
It lowers your monthly payment, but that means you're going to have the loan for longer and take on more interest.
@@WinTheHouseYouLove that's assuming you don't pay it off early.
learnt some real critical things about refinancing
Wonderful, glad it helped! - Kyle Seagraves winthehouseyoulove.com
I have a question but I don’t know how to ask. Your a loan officer that’s cool man. I’m 25 years old
Cool! Let me know your question
Thank you 👍🏽
🙌 My pleasure!
Great info but did I miss the list of states your licenses in? I didn’t see anything in the description box below video.
I'm in OH, TN, and FL
If you do a FHA to FHA refinance, do you have to owner occupy the property for 12 months after the refinance or just 12 months from the beginning of your first mortgage?
I'd like to buy a house, live in it for about 3 years then keep it as an investment property. Not sure what the best mortgage would be for me.
Since the FHA refinance will be a primary residence, the clock restarts and you'll need 12 months starting the day of the refinance.
I was offerd 2.6 from 3.6, without paying anything, and expecting a check from escrow for around 4k. But didn't like the fact that loan amount increase from 282, 000 to 292,000. 😒😒😒 Conventional
Shop around and see if you can find some better terms :)
5:00 If interests fall, would extending your mortgage lower your payments increasing cashflow net fees?
Extending the term would lower the monthly payment
In addition to 'break even point' consideration, what about the amount of front-end interest that is paid each time you refi the loan? My understanding is that each time you refi, you effectively reset the clock. So if you were 5 years into a 30-year loan and then you refi, you go back to having a 30-year loan. Which means that you're back to paying a higher percentage of interest vs principal. If this assumption is true, how do you calculate this?
Hey Stephen! Thanks for your comment!
Unfortunately, a lot of people "reset the clock" on their mortgage. I believe this happens because there are a lot of shady loan officers out there who don't care about the long-term wellbeing of their clients. They simply just want to say "you saved $XXX/mo". But that monthly "savings" actually creates a higher interest cost over a long period of time like you mentioned.
Most lenders have the ability to refinance into any term you want (eg 15 year, 18 year, 22 year, 26 year). It's always best to refinance into the exact term remaining on your loan.
If that's not an option and you have to take a 30 year, then you want to make principal payments on the 30 year equivalent to the term you initially had.
- Kyle Seagraves winthehouseyoulove.com
@@WinTheHouseYouLove , ahhhh. So it is indeed preferable? I was unaware of that. Honestly, most loan offiers I've ever dealt with made it sound mandatory. BTW, I assume refinancing w/ existing terms is an option for straight up refi but not for a cash out refi. Is my assumption correct?
Outstanding job!!!!
Thank you!
Thanks for the info
You're welcome!
Thanks... this was pretty helpful...
Glad it helped
I'm in the middle of refinancing... but after watching this video and a few others, I don't think I'm going to continue. It would take me 4 years to break even. I just don't think it's worth it. 🤷🏾♀️
If it doesn't make sense, it doesn't make sense :)
So I called my chase bank and asked to have my pmi taken off the loan.i bought 10y ago for 100,000 and it's worth about 350,000 today. Also I paid off more than 20%. They said no. Said you can't take pmi off a usda home loan. Is this a hard fact? Of is this a starting point for negotiating?
You can only remove mortgage insurance at 20% equity on Conventional
How does the break even formula work when you go from 30 year to a 15 or 20 year mortgage? Your payments will probably increase while paying more towards principle. How would I determine the break even point then?
The best solution there would be to look at an amortization table
1. Can you refinance a homestyle loan (investment property) into something with much lower interest rate while keeping the property as an investment property?
You sure can!!
Points can save MOST people boat loads of money, EASY thousands and thousands.
A good plan will always help you save money :)
Would love to get an idea of what we could get our current mortgage payment down to.
The best thing to do would be to get a quote from a lender :)
can you explain when you said if you have mortgage insurance most likely its because of having lower than 20% equity in your home,.. but how would refinancing it and increasing the value of your home increase your equity in the home? wouldn't your equity in the home go down by increasing the value? am i missing something ? lol
Sure! This video will help → ua-cam.com/video/YBs0mZffvH4/v-deo.html
Do you think rates are gonna go down in the coming days? When is the best day of the week to lock in your rate? Thank you.
Based on technical indicators, it looks like rate have hit a flor for the time being. But, the market is also fairly volatile, so that could change very quickly.
There isn't a specific day that is best. It's all dependent on market conditions.
I really enjoyed the video. It was very helpful. Is there any major differences between refinancing through a bank versus a mortgage lender?
They will offer different quotes, it's good to shop both :)
Thanks for this helpful video. I’m in Texas and want to refinance my home...do you have any referrals here?
You're welcome! Go ahead and fill out this form and I can connect you: www.winthehouseyoulove.com/referral
Excellent video. Thanks. I didn’t see the list of states in which you’re licensed to practice. Is Minnesota one of them?
Thanks! I'm not licensed in Minnesota
Win The House You Love 🙁 Thanks.
Well i guess it's best to refinance cus i plan on being here forever, i only been in the house since nov 2019, going from 4.5% to 2.99% will save about $370.00 a month, my break even will take like 3 yrs cus i don't have any refi upfront money and the loan cost a whopping $12k! Any advice?
Shop with a few different lenders to see possible other options
Should I refinance to buy second home for rental property?
That's a bit too broad of a question
Currently have 4.5% intrest (high) on fixed 30yr with 27yr remaining. Bought our house 3yrs ago for $280k and put 20% down. We owe $206k left so we habe about $70k in equity. Have opportunity to refi for 20yrs at 3.25% fixed. Closing cost will be between $2500-3500. We have the $$ to pay closing does this sound like a good idea. We are planning on staying in this house and we are currently pating an xtra $300/month on principal. Thx for you time. 🙏🏼 oddly enough im in ohio!
That sounds like a great option!! If you'd like, feel free to reach out to me with my contact info in the description and I can give you a quote as well.
Please help I have eight years left on my mortgage my current interest rate is 5.375% with 75,000 owing think my home is worth 206,000 approx. Credit score of 850 is it worth it or do I stay put???
I think it's definitely worth looking at a refinance!
Talk with a lender about potentially getting a cash-out refinance to pay off any high interest debt too. That might be a solid cost-saving option.
Very informative video
Thanks for watching!
Great info 👍
Glad it was helpful!
Hi, when I asked my lender for a 25 year mortgage they said no. Should I just go to a different lender, or do you have any advice as to how to convince them to give me a 25 year loan? Thank you.
Not all lenders offer a 25. I'd either get a 30 and pay it like a 25 year or find another lender :)
Thank you.
Licensed in Virginia? I have an fha loan on a condo but property value has increased 11.1%, as of last month and my credit score has increased from 620 to 702, according to trans union and equifax. I want to refi for lower mortgage payments.
I'm not unfortunately!
Thanks a lot!!!
You're welcome!
I have not had a lender give an option of doing a 13, 14, 27 (any number of years) loan amortization. Who really offers it? I would like to inquire with them.
I’ve only been told about 15 or 30 y
Thanks for commenting! To see if you can qualify for a loan, you'll want to reach out to a loan officer who can help. You can click Apply on my website
So If i bought a property 10 years ago for 80k and now is worth 210k, i want to refinance and get cash out from the equity i have. Am i refinancing my 80k for another 30 years on whats left off of it or the refi will be resetting to 210k?
A cash-out (1) refinances the current loan and (2) finances the cash-out amount.
So your loan balance will be whatever your current loan balance is + however much cash you're taking out. You can finance it over any term you want, it doesn't have to be 30 years.
Can one opt for cash-out refi AND streamline refi with an existing FHA? Have some very needed improvements. Thanks! 🙏
Unfortunately, streamlines are just for rate/term refinances.
I currently have an FHA loan for my 1st home here in CA and have accrued over 20% equity in my home, does a Streamline Refinance remove the Mortgage Insurance?
It does not. Only conventional will remove MI
@@WinTheHouseYouLove thought so, thanks a lot!
Question?
So if I have $102,000 left to pay off an FHA 30yr loan, and want to refinance to a fixed rate conventional loan less then the current 3.75% locked rate I have on my FHA? Should I just put my save $10,000 towards the principal balance or use it towards a lower APR on a Conventional loan? We do plan to Keep our TX home forever! Note: I have never made a principal payment for the lat 8 years.. Your advice is important.. any feedback will help me out thx!
I think refinancing into a conventional would be the best plan. It will save you a ton on mortgage insurance cost.
Thank you so much for your reply
Which States are you licensed in? I'm not seeing it in the description or on your website.
I don't personally originate anymore. I can recommend a lender though through the Apply button on my site
@@WinTheHouseYouLove Ahh ok, thank you :-)
Hello Kyle can you refinance a manufactured home
Yes
Hello I am seeking your advice. We have our current loan on a 30 year fixed at 5% the original amount was 157,100 and we are 10 years in with a remaining principal balance of 126,000, home appraised at 165000. We have excellent credit. We are not sure which road to take with our current 2 offers. One offer is a 15 year fixed at 2.5% with an APR of 3.042 and points of 1.173. A cost of 10,062 is rolled in to bring the new loan amount to 134,818. The second offer is loan amount for a cost of 5145.72 rolled in for a loan amount of 130,100 at 2.75% for 15 years no points added. Just having difficulty calculating which is better for our family coming from a 30 year to 15 year loan. We would greatly appreciate your input.
I just started offering a service to do these comparisons. On my website (www.winthehouseyoulove.com/) you can schedule a call if you'd like.
Also, check out my most recent video on 30 vs 15, that might be helpful in making a choice → ua-cam.com/video/_mIjFJnnHzQ/v-deo.html
When you streamline refi do you restart the 30yr by doing so? Thanks in advance
You can select increments like 25, 20, etc
Where should I refinance my mortgage? I’m lost
Go ahead and fill out this form and I can connect you: www.winthehouseyoulove.com/referral
Win The House You Love thank you!
So are u saying that if you refi at 23 years and you take money out from equity? You can still refi for 23 years?. Explain that?
If there is 23 years left on your loan, you can get a new loan with a 23 year term
@@WinTheHouseYouLove so nothing would be taken out from the equity right?....what is in it for the bank or for the homeowner even
@@WinTheHouseYouLove look man i just wish you were honest and teach viewers that refinancing is a bad deal plain and simple. You should teach people how to pay off their mortgage and not keep making a deal with the devil over and over again
If I refi and get cash out, but my term increases, doesnt it still make sense if my payments dont go up, I pay off high interest debts, i do some much needed home improvements, and i invest the rest? It seems to me that paying 3% on that money, then earning more than 3% in investments is a good deal.
That's a solid strategy, especially paying off high interest debt
Thank you..!
You're welcome!
My leader uses points. The rate without points are higher. 4.25 % for 10/1. What can I do?
A 10/1 ARM doesn't sound like a good idea. You can refinance through any lender. If you fill out this form, I can connect you with a broker who can give you a quote: www.winthehouseyoulove.com/referral
I know this is old video but I have question, how many percent the cost refinance from loan amount , because my loan 208.300 and the loan officer said would cost me 5100k , sound to high to me , thank you
That sounds about right. Talk to you lender about escrows.
Most likely, they are collecting escrows and then when your current mortgage is paid off, you'll get a check back from what's currently in your escrow account.
Win The House You Love thank you for your reply, really appreciated.
Great video. I understand the part about how to determine if I should refi based on savings per month divided into the cost...but my goal is to go from having 27 years left at 4% to a 15 year loan at around 2.75%. So my payment will actually go up a bit. How do I determine if I should refi in my current situation?? Thanks!
Ah, great question!
For that, check out this calculator: www.nerdwallet.com/mortgages/refinance-calculator
Ask yourself how badly you want it paid off by when.