anyone with a good pulse on where rates are headed in the next three months?

what say you said:

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anyone with a good pulse on where rates are headed in the next three months?

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Good question. I want to know what people think about the end of 2021 to mid 2022. Planning on building somewhere in that timeframe

Daily rates are impossible to predict. Mainly due to unpredictable events and data. Example last months jobs report. Everyone predicted losses and and we had 2.5 million added. Rates jumped on that report. There a variety of monthly reports with varying importance. If they come in as predicted then there is little movements.

On a macro level there are three market movers. Economic strength. Inflation. And newly added Covid. It's easier to predict those. The economy is stalled. There is no inflation. And Covid has now been better understood. So all look pretty stable. Find a Covid vaccine? Completely changes the outlook

ac04 said:

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just got 2.875 for 30

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Who with?

We just refied for 30 @ 3% no points.

I'll edit and add my loan guys info if anyone is interested.

I signed my rate lock today. Thought it would finalize last week but now hoping for this week or next.

3%, 30 year as well. Previously was 3.875%. Also, able to have more on the 3% mortgage with the increase the the loan allowance to $510K. My second loan is now straight 15 year vs previous 30/15 and payment lower in that as well. Happy with how everything came out.

planoaggie123 said:

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I signed my rate lock today. Thought it would finalize last week but now hoping for this week or next.

3%, 30 year as well. Previously was 3.875%. Also, able to have more on the 3% mortgage with the increase the the loan allowance to $510K. My second loan is now straight 15 year vs previous 30/15 and payment lower in that as well. Happy with how everything came out.

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Right on!

Locked in yesterday at 3% for 30. If we would have moved on Friday we would have gotten 2.875 per our mortgage guy, he said they spiked yesterday morning. We don't close until 7/28 and he mentioned that if the rates move below 3 in the next 20 days he will re-lock at the lower rate. Anyone ever heard of this?

I have heard of re-locking but never heard of it actually happening in practice.

Seems like rates are tending up just a tad (or at least have leveled off a bit). Congrats!

It's called a float down

When I started this thread I really thought rates would be lower than they are by this point.

fooz said:

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We just refied for 30 @ 3% no points.

I'll edit and add my loan guys info if anyone is interested.

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I am.

I am currently at 3.625%, 4 years into a 30 yr conventional. Current P/I is $1541 a month. I am definitely interested in having a lender take a look for me to see what they can do. Mortgage balance is ~$310k, value is $550k, top tier credit and debt to income is <25%.

PSA the jobs report comes out tomorrow. One day early. We could see significant movement in rates. I would lock today if you can.

From this i assume you are expecting a slight uptick?

No I am not in the prediction business. I gave up forecasting daily movement a month after starting in mortgage.

That was 17 years ago.

Fair enough.

here is an article that expects 3 million jobs gained. Markets move on UNexpected numbers like we had in May.

https://finance.yahoo.com/news/june-jobs-report-preview-economists-expect-the-us-added-3-million-payrolls-lowered-unemployment-rate-170827884.html

62strat said:

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fooz said:

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We just refied for 30 @ 3% no points.

I'll edit and add my loan guys info if anyone is interested.

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I am.

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https://planogfs.mymortgage-online.com/ChrisHarvey.html

eta: our original mortgage loan was sold to wells fargo. Not sure about the refi yet.

Y'all ever dealt with rocket mortgage?

Got this quote today from them:

20 year fixed conventional mortgage
2.75%
Principal and interest payment $1525 roughly
Cost rolled in $2800

My current interest rate now it 4.5%. And the new payment is about $100 more then what I'm paying. Im 2 years into my new 30 year mortgage.

I'd find a mortgage company with a better reputation for giving good rates and refinance to either a 30 year at 2.875 and take the payment reduction and add my own additional principal to cut it to 20, or refinance to a 15 and take a larger interest rate reduction. I prioritize financial flexibility over building equity so I'd lean towards a 30 year. My impression has been that the loan acceleration to a 20 year mortgage typically does not result in enough of a pricing benefit to you to justify the higher payment and you're really just doing the mortgage company a favor by not picking a more standard mortgage.

At least for our product offerings Freddie does not offer 20 year mortgages, so they're less desirable on the secondary market, hence the less beneficial rate reductions.

You should be talking to at least 3 companies before deciding and I wouldn't be talking to many substantially large outfits (Chase, Wells, Quicken aka Rocket), because they're so ubiquitous that they're not out there fighting as hard for your business.

Just my thoughts.

Thanks for the feedback. I'm planning on contacting a few other companies this week as well

Get the price on a 30 and a 20 if you're set on the 20 year just to make sure you're actually getting a good enough interest discount to justify the acceleration on the loan. That's the main part of my advice, you can reduce to 20 on your own by adding principal. I tend to over explain.

There are mortgage professionals on this site that can almost certainly beat what Rocket is offering you at each loan term level.

If I refinanced back in October 2019 for a 15 year @ 3.125%, would it be worth it for me to try to get lower so soon? I get that it's probably a simple math question....but there is part of me that loves the thought of a 30 year @ 2.875%.

No. I'm at 2.625 right now and still no.

Wish I were eligible for that. LTV is ~37% with a balance of 140,000. Can't cash-out to raise LTV and still lower my rate, and LTV is too low to get reasonable rates on a rate and term as far as I can tell. It's frustrating.

Let's do mortgage math. 140k balance

3.125 4375 interest per year
2.625 3675 interest per year
700 per year savings
Closing costs 4700 or so
6.7 year break even. Way too long for a refi.

My math is simple but you get the point

I'm at 140,000, 3.625, would be 1400/yr (roughly) with a 3.5 yr pay back, which isn't ideal, but not a deal breaker for me. If I ever leave this house it would ideally be converted to a rental as I'd already cash flow ~1,000/mo. It's a smaller house (1100 sq ft) with tear downs all around with the builds going up in the 3000-4000 sq ft range and posting for 800k+. Let the developers drag my lot value up while I pay relative pennies living in it or rent it to starter families looking to get in a good neighborhood.

It's just when I use online tools to check available rates the lower loan balance/LTV seems to spike rate offers. That may be just because it's coming from bigger banks.

Sorry if this is a stupid question but are there any closing cost savings to closing 2 mortgages at once (with the same lender)? Am purchasing a new home in a few months, keeping my current to turn into a rental and considering refinancing the current 3.125 (14 yrs left) back to a 30-year to better match rental cash flow. If closing costs are $4-4.5k the math probably isn't worth it but if any discounts by closing 2 at once then I'd consider it. Thoughts?

I refinanced and locked in at 2.875% (no points) on a 30 year last Tuesday (6/29).

can you please share your contact? That's incredible!

I closed a 15 year 2.375 yesterday. Had 17 years left on a 20 year at 3.625. P&I went up about $40.

Buy it down to that at all? What was your closing cost?

No buy down. $3800 rolled back into the loan.

cooler guy and Nobody....

mind sharing who y'all used? I'm wanting to reach out to a few others like hph mentioned.