Refinance Mortgage Rates

Last year, we refinanced our mortgage with a loan officer. Deal done.

We received a phone call from that loan officer stating that he could do some sort of a quick refinance again and reduce our rate by another point or so. We told him that we were irritated that it cost us ten grand last time and he said that this type of refi would be little or no cost to us.

We said we were only mildly curious but would like to know more details about what he called us to sell to us, and we would also talk to the mortgage guy directly at our bank to see how they compare. He said he would put some numbers together and asked if we knew what our credit scores are. We told him what we knew they are, and said very plainly and clearly "BUT DO NOT PULL MY CREDIT."

He pulled it anyways. We have a credit disclosure from him with a current score and a list of factors affecting the score.

So my question now is this – did he pull the credit report illegally? If so, what is our recourse?

We have a previous business relationship with him, but not a current business relationship. He solicited to us to start a new business deal. Even if that is enough, would verbal agreement over the phone be sufficient? If he misunderstood what was said over the phone could he legally pull our credit or would he still be required to get a signature?

Europe’s top competition official Neelie Kroes discusses the international financial crisis and specifically how state capital injections work as a crisis instrument in Europe.

www.HomeMortgage.com HomeMortgage.com answers the question, Why refinance? by providing a handy Should I Refinance? calculator designed to show you how much you can save! HomeMortgage.com also has a rent vs. buy calculator designed to help you decide if you should purchase a home! Feel empowered in knowing youre learning the answer to, Why refinance? Visit www.HomeMortgage.com today!

Should I risk losing the possability of selling my condo by temporarily taking it off the market to refinance my existing mortgages to take advantage of historically low interest rates? Current 1’st mortgage is at mid 5% and 2′nd mortgage is prime + 1. How long would the condo need to be off the market in order to do this?

Do you think housing sales will increase soon and do you know that the housing situation is near Las Vegas NV?

Cyberproblem: Prepayment vs. Investment Analysis.
In managing one’s own finances, as well as those of a business, there are numerous decision situations where applications of "Time Value of Money" (TVM) concepts and methods help one assess the financial consequences of alternative courses of action. One such situation is the decision to prepay part or all of one’s mortgage or loan balance by making extra periodic principal payments. As one makes extra principal payments, the loan balance is reduced faster. This means you pay less interest over the life of the loan and the loan will be repaid earlier (i.e. fewer payments). For example, a person might decide to pay .00 per month extra (i.e. if their mortgage payment was 0 per month, they might pay 0 each month, extra) on a mortgage loan. The extra payment of would be applied each month to reduce the principal balance. However, there are important factors to consider before making this decision. For example, if the mortgage loan is on the person’s primary residence, the interest on the loan may be tax deductible. This reduces the net, after-tax cost of the loan.
To consider the financial consequences of this decision, you can search the Internet for free financial calculators, including some that will assist with a prepayment versus investment scenario analysis. Before using a Web site, you will need to amortize the loan you will use as input data for the analysis.

Suppose you purchase a home for 0,000 and obtain a 90% mortgage loan, 30-year maturity, at a fixed annual interest rate of 8.0%, with deferred monthly payments. What is the monthly payment for principal and interest (P&I) on this loan?
The loan amount is 0,000 x 0.90 = 5,000 The calculator keystrokes follow. PV = – 5,000; N = 360 (30yrs x 12 per year); I = 8.0%/12 = 0.6667; FV = 0 (the loan will be paid off at maturity); SOLVE for PMT = 0.62 Note: If you enter the interest rate at 0.6667% per month you get the payment above. If you carry full precision on your calculator, the PMT = 0.62.
The data you will need for the prepayment scenario include the following.
Loan Balance: 5000
Current Payment: 0.62
Additional Payment: .00
Loan Interest Rate: 8.0%
Loan Interest Deductibility: YES
Investment Rate Return: 6.00%*
Tax Bracket: 30.00%
Investment Type: After-Tax
*The Investment rate return is your opportunity cost estimate. It is the annual rate you think you can earn on the extra principal payment if you did not make extra principal payments on your mortgage but instead, invested it.
Now visit the website http://www.mortgage-calc.com/mortgage/index.html, and select Prepayment vs. Investment.
a.After 12 months of making extra payments, what will be the loan balance?
b.After 12 months of making the regular payment and investing the , what will be the loan balance?
c.Under the regular payment and investing option, excluding the tax due on the interest earned, what is the investment balance after 12 months?
d.Compare the scenarios of investment versus prepayment by examining the 60th payment, which occurs at the end of the fifth year. What is the difference between the (a) interest portion of that payment, (b) tax deduction for interest, and (c) principal balance? Finally, how much is in the investment account?
e.(a) How long does it take to repay the entire loan under the prepayment option? (b) What is the total interest paid over the life of the loan?
f.Compare the total interest paid under each scenario? How much less in interest do you pay under the prepayment option?
g.If you make an extra .00 principal payment per month, what are the opportunity cost considerations?
h.What are the relevant cash flows to consider in this decision? For example, do you consider the tax implications and if so, then how?
i.Do you go out to lunch too often? Go to this site http://marketplacemoney.publicradio.org/toolbox/calculators/LunchSaver.htmland use the Lunch Savings Calculator to see how much money you can save by not going out to lunch. If this site does not function for you, search the Internet for a similar calculator. Suppose you usually spend .00 a day when you go out to lunch, when bringing your lunch to school/work would only cost you about .00 a day. Since there are approximately 20 weekdays in a month, enter that value for the days eaten per month. How much money would you save after 15 years if you could earn a 10% yield on the money you save? If this site does not function for you, search the Internet for a similar calculator. If you do use a different site, provide the URL to your instructor.

j.Suppose your investment account earns an average annual return of 9%, and the average rate of inflation is 3%. Go to this site http://www.nwcu.com/Web_Tools_and_Links/Calculators/Reitrement_Planner/ and use the Save a Million Calculator to see how long it would take to have a million dollars. State your answer in total years. Imagine that you started with an initial investment of ,000 and made monthly 0 contributions (assume that your deposits are inflated at the average rate of inflation)? If this site does not function for you, search the Internet for a similar calculator. If you do use a different site, provide the URL to your instructor.
*Adapted from:

Brigham, E. F. & Houston, J. F. Chapter 6 Cyberproblem: Prepayment vs. Investment Analysis in Fundamentals of financial management (10th ed.). Retrieved March 10, 2006, from http://www.swlearning.com/finance/brigham/ffm10e/ffm10e.html

Visit best-refinance-home-mortgage-loan-rates.com If you wish to refinance your mortgage, and are not sure if it is the right solution that will save you money.. This video and website link is for people who think refinancing their home loan. You can get some of the monthly payments down,…

I am not sure whether to refinance with debt consolidation, cash out or a home equity loan or line of credit.

I live in SW Florida where I owe 5,000 for a house surrounded by homes forecloure specialists are enjoying profits from selling at 5,000 (in much better condition than mine), and at least another thousand brand new unoccupied homes nearby. Flood insurance just became mandatory and rates went up.
I bought in ‘06, it was the best I could get then, but in very poor shape compared to the quality of currently available homes. It would take another ,000 just to make it marketable to sell for 5,000.
In ‘06 I had to have two loans on teacher pay, did not have enough reserves for a down payment, assumed value would continue escalating and would refinance/consolidate both loans, with increased equity in a few years, and live here another ten years, retire and go home and live in Texas in a modest, low cost home, for the rest of my life.
Disaster struck.
I modified loan 1 (SAXON) under HAMP – that one payment is 31% of my gross income – one of my 2 "take home" paychecks a month.
I modified Loan 2 (,000 balance) directly with OCWEN, who only gave me a reduced rate (14% TO 2%) for 5 years.
My entire 2nd paycheck is that payment, utilities, food, clothes, car, gas, credit cards, student loans, and other living expenses.
I live hand to mouth and see now that I will never be able to retire/sell this house/move home, etc.
I didn’t want to get rich, but I didn’t expect to pay every dime I make for the rest of my life for basic living because of what I perceive as a national financial disaster – obviously not just a "natural real estate cycle" – evolving from poor economic planning and oversight on the part of the politicians who have been paid by my taxes from my hard work for the last 35 years to assure my (at least basic) quality of life – for life.
Ethics?
It is hard to specify ethical boundaries under such extreme, outlying conditions.
I do know one thing about this crisis:
Ethcial boundaries were crossed at every stage, by many people, over many years.
The argument for the end consumer to suffer – in such an exaggerated way – in order to affirm their ethics – seems profoundly hypocritical.
On the other hand, I am still here, paying my mortgage, even though every other homeowner who purchased a home in this HOA between ‘05 and ‘08 has walked away, so I AM demonstrating ethics.

My question is, "What would you do?"

I wish I could put up a poll and ask every expert what they would do.
Walk away entirely? What then… ? Rent for life…?
Stop paying 2nd lien? What then…? Credit ruined…for how long…? What else….?
Swallow and pay every dime they earn to live a restricted (since ‘06: never go out, no travel, no vacations, no gift giving at holidays, drive old cars, buy used clothes, etc.) life for the next ten or fifteen years, fearing job loss or pay cut daily, only to find out at retirement that I have to walk away from it then, can’t sell it, perhaps have to file bankruptcy, then, and live in government housing for my retirement…?
That seems awfully bleak.
I make too much, they say, to file bankruptcy. hmmm…what would you do?
Thanks for any wisdom you could share.
Synthia