Feeling good about my 3.75% 30 yt mortgage

[Anonymous]

Anonymous wrote:

Anonymous wrote:Builder and mortgage broker told me I was crazy 2 years ago to lock in at 3.75% for 30 years. My builder went into great detail describing his 2.75% ARM and how much he was saving. Did I pay more for a couple years? Yes. Rates could be close to 6% by then end of this year - and I’ve got 3.75% basically forever.

You gonna own that house and not refinance for the next 28 years?

Why would you refinance? You sell when you sell, but until then keep the rate.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Builder and mortgage broker told me I was crazy 2 years ago to lock in at 3.75% for 30 years. My builder went into great detail describing his 2.75% ARM and how much he was saving. Did I pay more for a couple years? Yes. Rates could be close to 6% by then end of this year - and I’ve got 3.75% basically forever.

You gonna own that house and not refinance for the next 28 years?

Why would you refinance? You sell when you sell, but until then keep the rate.

I think PP's point was if they do move and/or refinance, they would have come out ahead with the ARM.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Builder and mortgage broker told me I was crazy 2 years ago to lock in at 3.75% for 30 years. My builder went into great detail describing his 2.75% ARM and how much he was saving. Did I pay more for a couple years? Yes. Rates could be close to 6% by then end of this year - and I’ve got 3.75% basically forever.

You gonna own that house and not refinance for the next 28 years?

Why would you refinance? You sell when you sell, but until then keep the rate.

I think PP's point was if they do move and/or refinance, they would have come out ahead with the ARM.

Having sold a ‘forever’ home, I get the idea behind the pp’s question. But...if you think you’ll be someplace long enough to go through a full cycle of rising rates as we do every 10 years, it would be foolish not to lock in at 3.5% for 30 yrs.

[Anonymous]

Everyone with a fixed rate income in the last eight or so years has to feel good right now. The Fed minutes that came out today have the word 'inflation' in almost every paragraph.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Congratulations. 30 yr 2.625% here, looking to try and increase monthly payments soon.

When did you get 2.625 for a 30? You'd be hard pressed to get that for 15 when rates were at their lowest.

NP here. We refied from 3.5% on a 30 year to 2.5% for a 15 year in 9/2016.

[Anonymous]

We are at 2.875 for a 15 year with no points. I felt pretty good about it, but I guess there are a few people here that have me beat.

[Anonymous]

ARMs reset annually after the 3 or 5 year period, usually capped at 1% per year. If rates float to 5 or 6%, you could be doubling your interest payment. That could easily add up to 1k per month on a 500k loan. Or you need to refi, probably at a higher rate, and with the costs that go with refinancing.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Builder and mortgage broker told me I was crazy 2 years ago to lock in at 3.75% for 30 years. My builder went into great detail describing his 2.75% ARM and how much he was saving. Did I pay more for a couple years? Yes. Rates could be close to 6% by then end of this year - and I’ve got 3.75% basically forever.

You gonna own that house and not refinance for the next 28 years?

Rates are never going to go below 3.75 again...

[Anonymous]

Anonymous wrote:We are at 2.875 for a 15 year with no points. I felt pretty good about it, but I guess there are a few people here that have me beat.

We refinance in 2012 to a 15 years at 2.375% with no points, consolidated two of our rentals into it too.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Builder and mortgage broker told me I was crazy 2 years ago to lock in at 3.75% for 30 years. My builder went into great detail describing his 2.75% ARM and how much he was saving. Did I pay more for a couple years? Yes. Rates could be close to 6% by then end of this year - and I’ve got 3.75% basically forever.

You gonna own that house and not refinance for the next 28 years?

Rates are never going to go below 3.75 again...

Never is a long time-oh wise one of DCUM.

[Anonymous]

Also at 2.625% for 15 years with no points. I haven't seen anything lower since.

[Anonymous]

We got 3.2 fixed on a 15 year mortgage. Feels pretty good.

[Anonymous]

Feeling good about my 15 year mortgage, OP!

[Anonymous]

Anonymous wrote:We are at 2.875 for a 15 year with no points. I felt pretty good about it, but I guess there are a few people here that have me beat.

I have the same. I was actually quoted 2.625, but wasn't quite ready to pull the trigger. Was annoyed it went up a bit, but it is still a historically low rate.

[Anonymous]

Anonymous wrote:

Anonymous wrote:We are at 2.875 for a 15 year with no points. I felt pretty good about it, but I guess there are a few people here that have me beat.

I have the same. I was actually quoted 2.625, but wasn't quite ready to pull the trigger. Was annoyed it went up a bit, but it is still a historically low rate.

I’m a 2.5% PP. I think we accidentally found a low point (late summer 2016.) We didn’t do anything special to get that rate, just called few places, picked one, and closed. We do plan to be in the house at least until it is paid off (our youngest will be 20 then) so it it made sense for us.