Looking to re-finance and some some questions on first quote

Bank of america put the value at 135 without doing an actual appraisal on it.

Can we do the conventional if we dont have 20% equity in the house?

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FHA streamline is the easy way to do the loan for them..

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Thanks. The guy at gmfs just told my wife the same thing.

On another note, does the rate quoted sound good or should we do more shopping around?

That's a pretty good rate, they've been easing up in the last week or so. BoA will probably be your cheapest route since you're with them now and they are waiving some fees/costs for $1,800 in closing costs. GMFS and/or a banks/brokers are likely to be in the $2,500-3,500 range on total closing costs. If you have 20% equity, you won't have PMI with FHA or conventional, if not, you will, either way.

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hawkeye007

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john the 20yr rate is 3.75% this morning conventional...i cant say anything bad about gmfs i used to work for them..except there closing cost are crazy high..

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GMFS started by Tee Brown. That's the son-in-law and his son of the founder of United Companies, who took over for the man that founded UC. They started UC Lending and things took off for them in the late 90's "renting" desk space at banks as they pioneered sub-prime lending.

They took rejected bank loan applicants and wrote them loans.

GMFS came out of UC Lending's ashes when they tanked in the very late 90's, along with a few other companies here around town (Homeowner's Loan, etc).

GMFS will try to use their "in-house" Homeowner's Company, their "in-house" title company, etc. Employees there have created Title Plus (which works with other companies but has a very strong lean to GMFS) and the Insurance company to maximize their profits.

From personal experience, their loan officer I was hooked up with by a realtor last year was knowledgeable, but solicited me for a multi-level-marketing product called Protandim at a business lunch I thought was designed to go over the status of my loan application.

I've been in the business, and I've seen a lot of stuff, but that truly turned me off. We used a clause in our contract to decide against buying the home we focused on at that time (The builder built at base flood elavation, and the insurance costs for flood were sky-high as a result).

But even though he approved us through GMFS just four months prior, I went to another company when we decided to build late last year.

I would recommend NOLA Lending Group. They did a great job for me.

I closed at 3.625 a few weeks ago with less than a point in closing costs. As with any transaction of this size, keep your eyes peeled.

I made this example for some other poster who wanted to refinance. If you know your way around Excel, you can use my formulas by changing the appropriate numbers:

Mortgage refi Excel formulas