OT - PSA - Mortgage Rates

JohnEggGio

If you haven't yet done it - you should look at refinancing any home mortgage you might have.  30-year fixed rates, no points, is out there.  Whispers of inflation suggest these rates might not last.

That is all.

PS: yeah, I know there's an "OT" area, but wanted more eyes.  Bye!

Cornholio

We just bought in 2019 and have refinanced a few times because rates were dropping and the interest savings has been too good to pass up. Just closed at 2.75% last month which is a lot better than the over 4% rate we started with. 

Gulfcoastguy

I own my house. I would love to do some major changes but not enough to put my title on the line. I will have a new car note soon though. 

dmchicago

Gulfcoastguy said:

I own my house. I would love to do some major changes but not enough to put my title on the line. I will have a new car note soon though. 

Can I suggest a Kia or Hyundai?

Ozzie_Isaac

dmchicago said:

Gulfcoastguy said:

I own my house. I would love to do some major changes but not enough to put my title on the line. I will have a new car note soon though. 

Can I suggest a Kia or Hyundai?

No Hyundai or Kias please, but a Genesis GV80 may be in the cards.

JohnInCarolina

dmchicago said:

Gulfcoastguy said:

I own my house. I would love to do some major changes but not enough to put my title on the line. I will have a new car note soon though. 

Can I suggest a Kia or Hyundai?

JohnEggGio

Come on guys, stay focused...  You can also get 3.29 for 75 months on a new auto - oddly, though, they'll only go 48 months on Hyundai or Kia...but 84 months on a Genesis.  Go figure...

Gulfcoastguy

dmchicago said:

Gulfcoastguy said:

I own my house. I would love to do some major changes but not enough to put my title on the line. I will have a new car note soon though. 

Can I suggest a Kia or Hyundai?

Come on man! I can at least afford a used Yugo!

lousubcap

It's all about OPM-Other People's Money!  

JohnEggGio

Gawd - in that first post I forgot the "under 3%" part. Dang - can't use alcohol as my excuse - brain fart!

PigBeanUs

JohnEggGio said:ok

Come on guys, stay focused...  You can also get 3.29 for 75 months on a new auto - oddly, though, they'll only go 48 months on Hyundai or Kia...but 84 months on a Genesis.  Go figure...

If a person has to finance a car for 84 months, they probably can’t afford the car

CornfedMA

PigBeanUs said:

JohnEggGio said:ok

Come on guys, stay focused...  You can also get 3.29 for 75 months on a new auto - oddly, though, they'll only go 48 months on Hyundai or Kia...but 84 months on a Genesis.  Go figure...

If a person has to finance a car for 84 months, they probably can’t afford the car

Not necessarily. Just refinanced about everything we could, including the wife’s car. We’re now sub 2% on it and the rate stayed the same whether it was 36 or 60 months. With money that cheap, it makes sense to string it out as long as possible. Hell, I’d keep the loan after the car is gone if I could. If you can’t make more than 2% with that available cash, you don’t deserve to be borrowing. 

alaskanassasin

CornfedMA said:

PigBeanUs said:

JohnEggGio said:ok

Come on guys, stay focused...  You can also get 3.29 for 75 months on a new auto - oddly, though, they'll only go 48 months on Hyundai or Kia...but 84 months on a Genesis.  Go figure...

If a person has to finance a car for 84 months, they probably can’t afford the car

Not necessarily. Just refinanced about everything we could, including the wife’s car. We’re now sub 2% on it and the rate stayed the same whether it was 36 or 60 months. With money that cheap, it makes sense to string it out as long as possible. Hell, I’d keep the loan after the car is gone if I could. If you can’t make more than 2% with that available cash, you don’t deserve to be borrowing. 

 Why don’t you go to the bank take out a loan and invest it?

CornfedMA

Go for it and let me know what the rate is. Hint- it’s not anywhere near 2% and that’s not the point. The car loan is cheap money and I have it anyway, so why not use it to my advantage??

alaskanassasin

CornfedMA said:

Go for it and let me know what the rate is. Hint- it’s not anywhere near 2% and that’s not the point. The car loan is cheap money and I have it anyway, so why not use it to my advantage??

It is the same thing. Just a different way of looking at it. 

poster

Curious what mortgage rate and car rate are approximately in your areas?
A 5 year fixed mortgage term is about 2.2% here. I bought my truck new last year for 0% (from dealer), but used was at 6% (bank or dealer). Coincidentally the vehicle lender the GM dealer used happened to be my bank. 

JohnEggGio

PigBeanUs said:

JohnEggGio said:ok

Come on guys, stay focused...  You can also get 3.29 for 75 months on a new auto - oddly, though, they'll only go 48 months on Hyundai or Kia...but 84 months on a Genesis.  Go figure...

If a person has to finance a car for 84 months, they probably can’t afford the car

My post was a joke, referencing the Tiger Woods thread.

TideEggHead

poster said:

Curious what mortgage rate and car rate are approximately in your areas?
A 5 year fixed mortgage term is about 2.2% here. I bought my truck new last year for 0% (from dealer), but used was at 6% (bank or dealer). Coincidentally the vehicle lender the GM dealer used happened to be my bank. 

We purchased a 4runner for the wife in December with a rate of 2.9%, plan to have it paid off at the end of next year. Looked into some land loans last summer that were between 3-4% for 10,15, & 30 years.

dmourati

Refinanced last year from 3.375% 7/1 ARM down to 2.75% fixed 30 year. Our loan is a CA jumbo and those rates were slower to go down. I have a reference if anyone is looking in CA/NY.

bdalqasmal

Refinancing can be a game-changer with those 30-year fixed rates, especially with inflation lurking. It's a timely reminder to seize the opportunity.

Gulfcoastguy

This blast from the past showed how cheap loans used to be.

fishlessman

what are we down to now, 7 percent on a thirty, will prices go up if the rates come down.......prices are still going up here...........

Gulfcoastguy

Way back when my 15 year note on the house was 6% . I just made extra principal payments until the note was more principal than interest. That means I paid it off in 11 years 5 months. 

fishlessman

Gulfcoastguy said:

Way back when my 15 year note on the house was 6% . I just made extra principal payments until the note was more principal than interest. That means I paid it off in 11 years 5 months. 

i dropped it from over 7 to around 2.5 a couple years ago on two mortgages, not sure i want to pay it off quickly at that rate. the extra put in each account does give me the means to create a good slush fund for the new roof, a painter, tree removal etc.   will be interesting to see what happens to values when the rates drop this next time around

RRP

Different times different reasons but back in '93 rather than refinance for 15 years at a fixed 7% I went with a 3 year ARM for 6.625% which 3 years later jumped to 8%, but like @Gulfcoastguy I made extra principal payments monthly right from the very beginning in '93 and knocked that albatross out in '98.

fishlessman

RRP said:

Different times different reasons but back in '93 rather than refinance for 15 years at a fixed 7% I went with a 3 year ARM for 6.625% which 3 years later jumped to 8%, but like @Gulfcoastguy I made extra principal payments monthly right from the very beginning in '93 and knocked that albatross out in '98.

the rules continually change, in 1999 i bought a camp that cost over 3 weeks take home a month with 25 percent down. try and do that today with a bank..... i cant even imagine a kid starting out with todays house prices around here.......starter homes needing alot of work are in the 500k neighborhood around me right now. about 10 times higher than the average gross pay check

Gulfcoastguy

fishlessman said:

Gulfcoastguy said:

Way back when my 15 year note on the house was 6% . I just made extra principal payments until the note was more principal than interest. That means I paid it off in 11 years 5 months. 

i dropped it from over 7 to around 2.5 a couple years ago on two mortgages, not sure i want to pay it off quickly at that rate. the extra put in each account does give me the means to create a good slush fund for the new roof, a painter, tree removal etc.   will be interesting to see what happens to values when the rates drop this next time around

There were circumstances about my employment that made me want to pay it off as soon as possible.

RRP

Gulfcoastguy said:

There were circumstances about my employment that made me want to pay it off as soon as possible.

BINGO!!! Same here. 

And @fishlessman I hear and see the same thing you describe. It's rather scary and with the rampant inflation which is here to stay.

fishlessman

Gulfcoastguy said:

fishlessman said:

Gulfcoastguy said:

Way back when my 15 year note on the house was 6% . I just made extra principal payments until the note was more principal than interest. That means I paid it off in 11 years 5 months. 

i dropped it from over 7 to around 2.5 a couple years ago on two mortgages, not sure i want to pay it off quickly at that rate. the extra put in each account does give me the means to create a good slush fund for the new roof, a painter, tree removal etc.   will be interesting to see what happens to values when the rates drop this next time around

There were circumstances about my employment that made me want to pay it off as soon as possible.

with me, i needed another fishing opportunity, so i bought a second camp on the water better investment than going on fishing trips at the time.......

Ozzie_Isaac

billt01

Ozzie_Isaac said:

Some people get what they vote for..

Some of the issue is the uneducated who are indoctrinated