First time refinancing if rate cut happens on 17 September. Any tips for newbie? TIA

like
Posting as :
works at
You are currently posting as works at

Make sure you understand the payback period for the closing costs and origination fees you'll be charged to do the refi. You might save more interest by making a lump sum principal payment in the same amount.

like

Run the numbers.

Doing a refi has costs associated with it. If you don’t pay those costs, they got rolled into your loan and/or fees. There’s a break even point where even if you lower your monthly payment now, you’re “behind” in paying the loan off. Know how all of those numbers work!

If you need a lower monthly payment now, that’s fine as long as you know that your principal and/or payoff calendar are changing with this decision.

As long as you’ve ran the numbers and they all make sense, then go ahead and sign the papers!

I refinanced my first property 3 times in 7 years. And in every situation, the numbers made sense. I’ve now owned 4 properties, and done 8 refinances on top of that. I’m almost immune to them. I can run the numbers in about 10 minutes and know if it makes sense for me.

like

It’s a little complex to write out here, but basically look at your principal now, look at the costs it takes to refinance, then figure out when your principal will be back to the same level. Then project out how long you plan to stay there, and see how much you would save either in total payments or principal paydown by paying the costs up front.

Wait until next spring. This is the first rate cut, with sentiment pointing toward further rates cuts during future fed meetings.

In the rate decline from 2001 to 2020 I refinanced at least 3 times (maybe 4) and I never paid for a refi. Hit the bottom perfectly with a 2.125 rate.

like

Honestly, wait it out. IF rates do come down, that signals a trajectory. If this were me, I’d listen to fed meetings and wait till fed says they’re keeping rates the same

Eg, you don’t want to refinance in September, then they signal another rate cut in December. This stuff gets expensive!

There’s a point where refinancing now (or after the expected rate cut in September) may be worth it compared to waiting to hear about the “bottom”. It may take 18 to 24 months to hit the bottom, and there’s nothing that says you can’t save some money now and even more money when the bottom comes.

like

Related Posts

Which app do you use to buy stocks? Is cash app safe or should I go the old school route of Fidelity or Charles Schwab?

like

Best place to park money for someone 60+ ? Fam is selling prop and will have $300K+. They make some small investments in property partnerships, but mostly will need to park this and make something. Money market ? Maybe 5% in index fund or something ? Suggestions, ideas would be helpful.

like

How much have you saved from refinancing your student loan?

Buying a house with monthly expense of $4900, although my current rent is only $2350. My total HHI with my husband is about $310K. I’m feeling weary of spending this much but we live in a HCOL area near a major city and we have high taxes. It’s hard to find anything decent under $800K. Should I just suck it up in order to be a homeowner?

like

When in your pregnancy did you (1) purchase life insurance and (2) have a will drawn up?

like

Specific question for fish based in the UK.
Could you let me know what your employer contributions to your company pension scheme are?
For instance, they contribute half of your contribution up to a maximum of 3%. Before any tax incentives etc.
Interested to see the variances, it seems to be substantial from what I've seen. If it changes with level/seniority, please make that clear as well so we can differentiate between companywide averages and individual circumstances / positioning.

like
like

y’all doing too much on LinkedIn… comparing having a baby to paying off debt. Great accomplishment but wtf is this post??? It’s so long I’ll have to include second part in another photo

Post Photo
like

Let's say through a combination of aggressive saving, high income, and savvy investments, I manage to save several million by the time I'm 40.

If at that time I decided to pursue my passion and go to law school so that I can be an affordable attorney for worthy causes, will my age hold me back from getting into law school?

likeupliftinghelpful

I racked up about $20k in credit card debt due to a confluence of things happening at once (move, school expenses , etc ). I have a fair amount of paper assets but not a much free cash. Assets are down a decent amount with the current market cycle and I’d prefer not to sell them to cover the debt , although they easily could. Any suggestions how to handle the credit card debt without racking up tons of ongoing card interest?

like

For those of you who hold cryptos, what multiple of your initial investment is your current balance?

like

What is your credit limit on CCR? We're going through some life changes (wedding, rings, travel, etc.) and was recently surprised to find my credit limit is only $30K even after being a solid customer. What are the ways I can get an increase in the credit limit?

like

Hello fishes, will be really insightful to understand cost of living in Doha for a single person. Rent + food and other expenses manageable at 8-10k QAR/ month?

like

Those of you with 50%+ of your comp in bonus, do you factor that in when budgeting living expenses? Obviously we expect it but bonuses are never guaranteed.

like

Looking for some software or tools recommendations for
1. Plan for retirement- I am looking to do the following calculations : calculate total corpus required at retirement based on inflation lifestyle etc. , calculate total amount my investments will grow at retirement age ( 401 k , savings etc, ). These two figures should give me an idea where the additional amount i need to invest.

Any recommendations?

like

How much can we save in Canada Onsite ? Tech lead role. Avg sal in glass door is $80k .

like

Newbie trying to get a better understanding: is it better to max the 401K or just hit company 401K match and max Roth IRA first?

like

Will be starting a new Job with Visa (credit card) in western Europe soon as Business Dev Director - I am worried about job security as I have family, mortgage .. how stable is the payments industry

like

Recommendation for a CPA/ financial advisor in NY? Have oversea assets and investment property in the States. Can't seem to find anyone legit on Yelp:(

like

More Posts

I feel like a lot of my fellow producer friends are getting absolutely destroyed with their workload this summer (myself included). How are you guys surviving?

Post Photo
likefunny

Who’s the HOP @ W+K NYC?

like

Help me out - I'm starting a HedgeFund. I'm calling it ____________ Capital.

like

Any 🐠s here from IMP consulting?

like

Looking for some book recommendations :)

like

Trying to transfer audit to fdd as a senior. How long can I expect workday application to remain ‘under review’? Waiting to hear back after HR screen on next steps. Thanks !

like

confession:i regret not prioritizing finding a good partner when i was in my college/early career years and envy those who did. it's harder now mid-senior career because you have less time and it actually requires you put time and effort into finding a good relationship

likeupliftinghelpful

Hi,
I have an interview with paytm for mobile application automation profile. Can someone help in telling me what questions can be asked? I hv 5 years of experience and 2 years into Appium.

I need advice about Zoom. Is it easier to have a zoom link with your personal Id or a simple generated one? I want to connect my Zoom link in my clever portal, but for some reason the generated one doesn’t work, but I’m afraid if I switch anything it will mess up the flow. Any experts do we have advice?

likehelpful

I think I need Ex bankers as friend and accountants. I need people who we can discuss deals in the swift world with from time to time. I need people with great ideas in my life

funny

I currently work as a optician, referral coordinator and optometry technician. Busting my butt off wearing all 3 hats and I get paid $20 an hour… I don’t think this is a fare wage considering I’m doing the job of 3 people. I want to negotiate a higher wage any tips of what I should ask for?

like

Hello,

I work in Accenture for Microsoft as an Incident Manager role. How can I secure a job in Microsoft directly and get a role with my current experience in Incident Management?

Open for suggestions 😊

like

How much are your biweekly paychecks after taxes, insurance, 401k contributions, etc. and how much of each paycheck do you tuck into savings?

likesmarthelpful

Does anyone have Organization Design case study experience?? I’m hoping to get some insight to help prep for my Consultant interview in some days with Deloitte.

like

I just realized I missed a hearing for a pro Bono client. The Pro Bono partner knew about it but I’m not sure if they went. I’ve been slammed due to Russia and Ukraine issues. . . How pissed do you think the Pro Bono partner will be?

like

Got offer and accepted but other firm that I applied ask for additional interview. Please advisd how to tell them "no" nicely ?

like

How is wlb in ing account of hcl
Technology -informatica pc

like

Where to buy good quality fancy socks without paying $40 a pair ?

like

What are you guys buying Prime day 2021?

like

Hi Fishes ,
I have been offered the role of software engineer 2b in boa.I have an overall experience of 7+ years. Is this the right designation / am i being low balled?

Additional Posts in The Real Estate Bowl

How do you judge a low ball offer with how the market is changing? Earlier this year, you would look at comps and say this is the value. Now with rates going up and people pulling out, how do you justify the value? (View point from the buyers end)

like

For anyone that has bought a townhome from Lennar, are the walls fairly well insulated for sound?

What, if any, were your main complaints?

like

Is a sloped floor of 1/2” over 10’ noticeable? I have to make room for conduit and cannot trench in my current place

likesmart

Having trouble selling my (retired) dad's house. It needs a lot of work, but has great character. What if I buy it myself for a low, low price? Then I would be able to get a FHA 203k loan to do the updates. Rent it out or put it back on the market in the spring.

like

Any investors in the woodlands Texas for single family homes, rent looks good as per Zillow , good school district and houses are still affordable compared to Dallas and Austin

like

How did you get started with your personal investing in stocks? I am 26, F, have some money in savings, 401k, stocks and just started my own business albeit small. I’m extremely interested in real estate investing have been reading and listening to podcasts. Any advice?

like

What's the best city in UK to buy a buy to let property, with best returns?

like

I have over 12 years in B2B sales/sales management experience along with a graduate degree. I am wanting to shift gears and I am at a point where I can invest time in myself to learn through practical experience. The new industry I am wanting to pursue is real estate investment. I have read all the books but want some hands on experience on the property management side. How could I best leverage my skills for a role in this, and what should my expectations be for negotiation in compensation?

I’ve been thinking about getting into real estate investing. Not right now but later down the road. I’ve been trying to save up for a down payment. What are some good resources for a beginner? Blogs, YouTube, books etc I’m not looking for paid courses because I will be learning at a slow pace. Any help will be appreciated.

like

Anyone punched out of state 4-10 unit apt building? How did you find the listing?

like

Is it okay to buy a home worth 660K for a couple earning 325K TC together? The HOA and taxes for this home bring the monthly payment up to ~4.8K which is ~32% of our monthly take home after tax…we’re first time home buyers, any advise is appreciated!

like

Hi guys! Looking to learn about real estate investing! I am a senior in college graduating with a degree in finance so I understand certain aspects, but am looking to learn more on my own about real estate specifically!

What books would you recommend I read?

like

For any of you real estate investors, what tools or sources did you learn from when getting started. Can’t find a mentor currently so want to find some highly recommended books or videos. If focused on the tri-state area (NY, NJ, Long Island mainly) that would be even better. My hope is to buy and rent out a apartment while also owning a house and house hacking that by renting part of it out. Trying to understand all the steps, traps, and how to find if it’s a good investment.

like

What is the term for giving your home buyers a credit for immediate renovations they will have to do before or upon moving in? And how does it affect the seller?

like

Finally got an offer accepted on a home I love! (In DC) Spent months searching. Next thing is getting to the closing date.

Now I feel super anxious about everything going thru and getting the keys. How difficult is that process of getting to close, have heard the underwriting portion could be a headache?

like

If anyone has problems with leaks or anything facade related I work in facade restoration, preservation, rehabilitation, retrofitting in NYC. I’d be happy to discuss potential solutions.

like

Better mortgage vs. Rocket mortgage - anyone shopped with both and what swing your decision?

like

Any one knows what’s the easiest way to order a radon test for new construction?

like

I recently bought my 1st home in TX. I want to get into real estate and eventually own/rent out multiple homes. Are there any good recommendations/tips on books/articles/websites that others have used to get started?

I've read about HELOC and cash out refinance to get a 2nd home but articles are so scattered that it gets confusing which is better in terms of tax benefits and immediate costs, etc. Anything others have found helpful that summarized how to get started would be great!

like

From a financial standpoint in this market, which would be a better approach in Austin -

1. Buy a ~8-850k house that meets most of our ideal criteria (size, schools, interiors etc) to stay long term

2. Buy a ~5-550k house that’s not ideal with the plan of moving into an ideal home in 4-5 years when kid is ready for school.

How easy is it to get a mortgage for the second home?

Household income - 300k

Happy to add more details as needed

Thanks

New to Fishbowl?

Download the Fishbowl app to
unlock all discussions on Fishbowl.
That was just a preview…
Sign Up to see all discussions
  • Discover what it’s like to work at companies from real professionals
  • Get candid advice from people in your field in a safe space
  • Chat and network with other professionals in your field
Sign up in seconds to unlock all discussions on Fishbowl.

Already a user?
Login here

Share

Embed this post

Copy and paste embed code on your site

Preview

Download the
Fishbowl app

See what’s happening in your industry
from the palm of your hand.

A phone with Fishbowl app

Scan your QR code to download
Fishbowl app on your mobile

Download app

Sign up for free to view this conversation on Fishbowl

By continuing you agree to Terms of Use and Privacy Policy

Already have an account? Log in

Sign up for free to continue using Fishbowl

By continuing you agree to Terms of Use(New) and Privacy Policy(New)
Messaging rates may apply

Already have an account? Log in

For account settings, visit Fishbowl on Desktop Browser or

General

Legal