currently we have 400k on a 20 year mortgage at 3 and 7/8 percent.
We can move to 3 1/8 percent 15 year mortgage. The guy says this should save us around 70k over the life of the mortgage.
The monthly payment would be 300 more a month, which wouldn't matter to us.
The fees would be
closing coordination 315
flood certification 14
lenders title 792
mortgage recorrding 55
VA Recording 1337
daily interest 174
Some of these seem a bit fishy, whats the difference between underwriting and processing, for example?
The only other info I can think of is that we tend to make a few extra payments a year, and that we have already refinanced once from our initial mortgage (last october, so we are barely into our 20 year mortgage). That time, we went from 4 7/8 to 3 7/8, and paid no fees.
Im just trying to decide if this is a good deal, and if some of those fees are bogus.
So, after about 1 minute of google searching, I found on zillow a bunch of offers
3.125% 265 in fees
3% ~850 in fees
2.875% ~2600 in fees
all 15 years. The difference in saving over the life of the mortgage is 4300 between each 1/8 %. Im seriously considering higher two rates. Note the highest was the other guys best offer, with over 2k saving in fees. I talked to the guy with the new offer; he sent me a nifty spreadsheet where I enter the current/destination loans, and it shows the amortization for all the payments. You can edit any payment and see how it affects the rest of your payments.
Now my concern is this seems to good to be true, given the pre-edit offer. The company is first financial mortgage. Could this be a fraud?
Below is the summary sheet of the three offers.