[BMW F22]

Originally Posted by ///WORK-F36

Not at all....a .125% difference in rate is not that big of a change in payment at all.

.125% (as in a tenth of a percent) or .125? I think you meant the former but I want to make sure.

[///WORK-F36]

Originally Posted by BMW F22

.125% (as in a tenth of a percent) or .125? I think you meant the former but I want to make sure.

An eighth of a percent to the rate....such as the rate going from 3.75% to 3.875%

[BMW F22]

Originally Posted by ///WORK-F36

An eighth of a percent to the rate....such as the rate going from 3.75% to 3.875%

That's actually not bad. Mind if I PM you if I have further questions?

[///WORK-F36]

Originally Posted by BMW F22

That's actually not bad. Mind if I PM you if I have further questions?

Not at all

[csu87]

Originally Posted by Alfisti

Christ your banking system is a mess. With all due respect it's such a dog's breakfast, we have 5 banks here and 4 banks back home. Done. All secure, all huge and regulated with an iron fist.

Before you scream "that's communism" and a lack of competition, i am on 1.8% right now for our mortgage and 3.2% for a LOC, so they go at it pretty hard.

looking at current rates, you got a hell of a rate for your mortgage. Guessing you are on the 5yr closed?

Only problem with that is that in 5 years, where will your rate be? With the 30yr mortgages that the US typically does, you know what you will be paying for 30 years. Now if you pay it all off in 5 years, then it doesnt matter.

The comparable rates to the US market's type of mortgage is 8.7% + for a 25yr fixed rate. No where near the mid 3s that you can find in the US. And if you drop the US mortgage to 5yr or even 10yr, you are right at or below what the Canadian rate is.

[Alfisti]

Originally Posted by csu87

looking at current rates, you got a hell of a rate for your mortgage. Guessing you are on the 5yr closed?

Only problem with that is that in 5 years, where will your rate be? With the 30yr mortgages that the US typically does, you know what you will be paying for 30 years. Now if you pay it all off in 5 years, then it doesnt matter.

The comparable rates to the US market's type of mortgage is 8.7% + for a 25yr fixed rate. No where near the mid 3s that you can find in the US. And if you drop the US mortgage to 5yr or even 10yr, you are right at or below what the Canadian rate is.

I am wide open, variable, i hedged that rates would not rise much and have been right. My mortgage is up for renewal again and early discussions indicate that 2% is doable, so a slight increase but still pretty good.

[///WORK-F36]

Originally Posted by csu87

looking at current rates, you got a hell of a rate for your mortgage. Guessing you are on the 5yr closed?

Only problem with that is that in 5 years, where will your rate be? With the 30yr mortgages that the US typically does, you know what you will be paying for 30 years. Now if you pay it all off in 5 years, then it doesnt matter.

The comparable rates to the US market's type of mortgage is 8.7% + for a 25yr fixed rate. No where near the mid 3s that you can find in the US. And if you drop the US mortgage to 5yr or even 10yr, you are right at or below what the Canadian rate is.

IMO from doing this for 15 years, 7/1 ARMS or 15yf are the best options. Most people refinance every 5-7 years, so there's no point in a 30 year fixed since no one keeps a loan anywhere near that long. There are some exceptions to this obviously, but in general this is how I view things.

[dzvero]

Will refinance change property tax?

[dzvero]

Originally Posted by BMW F22

So basically if you don't put 20% down you would end up paying way more due to higher interest/PMI/etc. Almost seems better to just wait and save for down payment.

Unless price increases which will be worst and thats more likely to happen

[///WORK-F36]

Originally Posted by dzvero

Will refinance change property tax?

No, an appraisal is not public record, so when you refi, the home's apprised value is not shared with the county tax assessor. They will do their own annual assessment.

However, if you home appraises less than what the assessor has you taxed at, you can use it to try to get them to lower the taxes.

[dzvero]

Ok thanks

[BMW F22]

Originally Posted by dzvero

Unless price increases which will be worst and thats more likely to happen

I think over the long run, real estate will alwAys go up because population grows. But prices right now are insane and pretty much at the peak. So I don't believe that they will increase in the next few years. If anything, I expect them to go down.

[dzvero]

I see the opposite

[BMW F22]

Originally Posted by dzvero

I see the opposite

Prices have stabilized (maybe even dropped a tiny bit). I could be wrong but I believe we will see a steady stream of tiny decreases in the next 18 months.

[dzvero]

I dont see waiting 10 years as good option

[Pheonix]

Originally Posted by dzvero

I see the opposite

Check out this report and you might think differently afterward.

http://paragon-re.com/Bay_Area_Housing_Affordability


Not to be a downer but sounds like getting a good mortgage wont be your only issue. You will be competing with many many other buyers with well qualifications (along with lots of cash for down payment). In our case, i have 827 score on my FICO (the Mrs is about 800). We qualified for more than our max budget of $1.3mil, gross income of almost $300k/year. With over$375k in Cash. we have been looking for over a year now. Yes, we are are only concentrating on a smaller area of the Peninsula and everything got sold within couple weeks with usually 15-20% over asking. Hopefully your area isn't as crazy.

[Pheonix]

Originally Posted by dzvero

I dont see waiting 10 years as good option

Another good read! No one know when it will happen but history tends to repeat;-)
http://www.paragon-re.com/3_Recessio...les_and_a_Baby

[dzvero]

Originally Posted by Pheonix

Check out this report and you might think differently afterward.

http://paragon-re.com/Bay_Area_Housing_Affordability


Not to be a downer but sounds like getting a good mortgage wont be your only issue. You will be competing with many many other buyers with well qualifications (along with lots of cash for down payment). In our case, i have 827 score on my FICO (the Mrs is about 800). We qualified for more than our max budget of $1.3mil, gross income of almost $300k/year. With over$375k in Cash. we have been looking for over a year now. Yes, we are are only concentrating on a smaller area of the Peninsula and everything got sold within couple weeks with usually 15-20% over asking. Hopefully your area isn't as crazy.

That think is old, its for 2015 and I dont see sign of going down

[Pheonix]

Originally Posted by dzvero

That think is old, its for 2015 and I dont see sign of going down

The report was completed in February, 2016. It is not that old but you are entitled to your opinion.
Yes, my realtor and mortgage person keep telling me that the price will keep going up and the mortgage rates will also going up so i need to buy NOW

[eluded]

If you believe it, its not a lie.

Since the OP posted this thread, requesting a house for 650K, that house has appreciated to ~690K.

Originally Posted by BMW F22

Prices have stabilized (maybe even dropped a tiny bit). I could be wrong but I believe we will see a steady stream of tiny decreases in the next 18 months.