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Joined: Mar 2013
Posts: 15,426 Likes: 16
Old Mossy Horns
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Old Mossy Horns
Joined: Mar 2013
Posts: 15,426 Likes: 16 |
I had rather go the 30 year route versus the 15 year route. I'll pay it off in about the same time frame or quicker, but can liquidate some money if I get in a bind.
83% of all statistics are made up.
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Joined: Dec 2012
Posts: 1,160
6 point
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6 point
Joined: Dec 2012
Posts: 1,160 |
local, local, local.... Using an online lender is a lot like going to the gun counter at walmart. You might get somebody who knows what they're doing, or you might get somebody who just went through orientation and doesn't have a clue If you use a local lender; they will sell the mortgage anyway not all local lenders sell mortgages, I work for the AU Federal Credit Union (even though I misquoted our rates earlier in this thread, sheesh) and we don't ever sell Mortgages. We do everything in house. But, you are correct that a lot of people now a days don't keep mortgages long.
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Joined: Dec 2014
Posts: 5,034
12 point
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12 point
Joined: Dec 2014
Posts: 5,034 |
Who cares if they sell it? The terms remain the same. What matters is the initial loan closing process and choosing the wrong person for that can be a nightmare. If you use a local lender, you can go sit down in their office if you're having questions or issues. They want to make you happy because they're in your community and depend on referral business. Online lenders don't care, you're just a file number and if they mess up it's just not a big deal. Good luck in whatever you decide...
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Joined: Jun 2015
Posts: 15,535 Likes: 89
Old Mossy Horns
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Old Mossy Horns
Joined: Jun 2015
Posts: 15,535 Likes: 89 |
local, local, local.... Using an online lender is a lot like going to the gun counter at walmart. You might get somebody who knows what they're doing, or you might get somebody who just went through orientation and doesn't have a clue If you use a local lender; they will sell the mortgage anyway not all local lenders sell mortgages, I work for the AU Federal Credit Union (even though I misquoted our rates earlier in this thread, sheesh) and we don't ever sell Mortgages. We do everything in house. But, you are correct that a lot of people now a days don't keep mortgages long. No biggie at all on the misquote. It appears that it's the best deal I've found.
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Joined: Oct 2014
Posts: 872
6 point
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6 point
Joined: Oct 2014
Posts: 872 |
If you want to stick local I know that AU Federal Credit Union has rates on 15 year of 3.25% and 20 year for 3.5% (non negotiable, sorry) and as long as you keep your mortgage for 5 years they pay all closing costs associated with the loan and don't have an origination fee. We also don't sell our mortgages, we keep them on our books until they are closed.
Just giving you some information, I have no interest or benefit if you use them, just wanted to give you the information, especially closing costs, can save you some cash up front. Yep. Refinanced balance a couple months back with local credit union and it was like a breath of fresh air.
May we all die in bed at 95, shot by a jealous spouse
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Joined: Dec 2014
Posts: 2,245 Likes: 4
8 point
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8 point
Joined: Dec 2014
Posts: 2,245 Likes: 4 |
Not my business but be very very careful buying a condo in the Auburn market. Three of the engineers that worked for me bought condo’s and all three have taken a beating on them. I know Auburn is a hot market but no matter what they tell you it is volatile.
Life is difficult
Science prevails over bulldoodoo and superstition every time
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Joined: Jan 2015
Posts: 3,068 Likes: 20
10 point
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10 point
Joined: Jan 2015
Posts: 3,068 Likes: 20 |
Quicken Loans.....it's about the easiest thing you could possibly use. Especially with all the time you spend on the road. EVERY aspect of it is done online except for the closing. Trust me, it's awesome. Agreed; refinance with Quicken last year,competitive and one of the easiest transactions ever. Much more thorough than the local broker I used on initial purchase 3 years ago; and they flipped the mortgage in a few months. Three houses done with them and all were quicker and easier than local lender.
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Joined: Jun 2015
Posts: 15,535 Likes: 89
Old Mossy Horns
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Old Mossy Horns
Joined: Jun 2015
Posts: 15,535 Likes: 89 |
Not my business but be very very careful buying a condo in the Auburn market. Three of the engineers that worked for me bought condo’s and all three have taken a beating on them. I know Auburn is a hot market but no matter what they tell you it is volatile. Do you know what condo complexes they bought In?
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Joined: Oct 2013
Posts: 3,170 Likes: 6
10 point
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10 point
Joined: Oct 2013
Posts: 3,170 Likes: 6 |
If you are not against it check on a home out of town you should be able to get more home, especially being in a college town. 10-15 years mortgage no more. Loan is basically off current debt/income ratio. Find the best rate and cheapest cost everybody seems to do home loans these days. All loan sources will give you a sheet with all cost. If estimated cost are not listed request them or move on to next source. Most important use an older more experienced closing attorney and verify all the terms are as discussed or don't sign until as agreed.
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Joined: Jun 2015
Posts: 15,535 Likes: 89
Old Mossy Horns
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Old Mossy Horns
Joined: Jun 2015
Posts: 15,535 Likes: 89 |
If you are not against it check on a home out of town you should be able to get more home, especially being in a college town. 10-15 years mortgage no more. Loan is basically off current debt/income ratio. Find the best rate and cheapest cost everybody seems to do home loans these days. All loan sources will give you a sheet with all cost. If estimated cost are not listed request them or move on to next source. Most important use an older more experienced closing attorney and verify all the terms are as discussed or don't sign until as agreed. I'm gone all week and an empty house in the county I believe would be easy pickings for a burglary. Also at that point of being gone most of the week, the idea of not having the exterior upkeep responsibility sounds awesome. I'm not opposed to living out in somewhere in unincorporated Auburn/Opelika but for right now it's not the right fit. The condo I'm thinking of like training wheels for home ownership.
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Joined: Dec 2014
Posts: 2,245 Likes: 4
8 point
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8 point
Joined: Dec 2014
Posts: 2,245 Likes: 4 |
Eagles landing and the other one I am not sure the name it was over around tends chic. I know one of the guys is going to try to sell the one in eagles landing this year and get the pain over with.
Life is difficult
Science prevails over bulldoodoo and superstition every time
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Joined: Nov 2013
Posts: 2,780
10 point
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10 point
Joined: Nov 2013
Posts: 2,780 |
Buy a multi bedroom unit and rent the other rooms out to pay the mortgage. I would be very careful who I picked. Sounds like this is an investment that could go two ways. Place for you to live now and rent later. If so, great idea, just be on your Ps and Qs and just remember stuff rarely works out the way you want it to.
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Joined: Sep 2006
Posts: 2,685
10 point
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10 point
Joined: Sep 2006
Posts: 2,685 |
I had rather go the 30 year route versus the 15 year route. I'll pay it off in about the same time frame or quicker, but can liquidate some money if I get in a bind. I agree, and we are certainly the minority on this board when it comes to this kind of thinking. I would take the longer mortgage and the .25% higher rate and invest the difference in a solid investment paying a much higher return than the interest on the mortgage. This will put you money ahead in the 15 years you would have paid it off even if you started investing the whole amount in 15 years. It also leaves you the option to double up and pay it off in 15 years anyway, if that is your main goal. It won't put you in a jam and run the risk of losing all of your equity in case of a financial hardship in the future. Growing your long term wealth is all about arbitraging your resources. You are still better off with the 30yr mortgage with lower payments even if your only goal is to be debt free and you aren't worried about your overall long term financial picture, because as stated above you can still pay it off in 15 years without putting yourself in as much jeopardy if something happens with your income in the future. I would recommend you read the book "The Bankers Code" if you want to understand more about these concepts.
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Joined: Jun 2015
Posts: 15,535 Likes: 89
Old Mossy Horns
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Old Mossy Horns
Joined: Jun 2015
Posts: 15,535 Likes: 89 |
Buy a multi bedroom unit and rent the other rooms out to pay the mortgage. I would be very careful who I picked. Sounds like this is an investment that could go two ways. Place for you to live now and rent later. If so, great idea, just be on your Ps and Qs and just remember stuff rarely works out the way you want it to. One of the reasons that I am buying a 1bedroom is because it is different and the 1 car garage sets it apart further. Auburn is building loads of units in the 2-5bedrooms range. Aldeers very own Dr. Dolittle lived in a 1bedroom in this same complex when he was in vet school, the condo is 2.5miles from the vet school and perfect for a vet student or someone that doesn't want roommates.
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Joined: Jun 2015
Posts: 15,535 Likes: 89
Old Mossy Horns
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Old Mossy Horns
Joined: Jun 2015
Posts: 15,535 Likes: 89 |
Moved ahead with the Auburn University Credit Union. Thanks to noeyeddeer for the suggestion.
Also moving my car loan saving 1.5%, now at 2.75%.
So far I've been really impressed with the credit union.
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Joined: Feb 2011
Posts: 11,345 Likes: 18
Booner
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Booner
Joined: Feb 2011
Posts: 11,345 Likes: 18 |
You're way too young to be worried about 30 years vs. 15. Do the 30, pay extra every month when you can, any extra goes straight toward principal.
Last edited by hallb; 02/01/18 07:26 PM.
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Joined: Jun 2015
Posts: 15,535 Likes: 89
Old Mossy Horns
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Old Mossy Horns
Joined: Jun 2015
Posts: 15,535 Likes: 89 |
You're way too young to be worried about 30 years vs. 15. Do the 30, pay extra every month when you can, any extra goes straight toward principal. That's why I went with the middle of the road approach, the 20 year. Saving a bit of interest compared to the 30 year, but without the high mandatory monthly payment of a 15 year. I usually like middle of the road on most things.
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