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Rycois
Blessed with 2blue/2pink
Member since 12/05 13341 total posts
Name:
J
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Refinance quote (for Blu-ize)
So I heard back with the REAL number. And the closing costs are as he quoted me over the phone - about $3600. But then the total thing will cost closer to $9K b/c of escrow, school taxes, etc. that would be due in October for me. But, no matter what we have to pay that. I'm guessing, I'm just laying that out, and I get that back in a refund (or in the form of skipping a payment) when I close out the other loan.
Does this make sense? Does anyone know what I'm saying, and understand refinancing enough to explain to me?
TIA
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Posted 8/11/10 12:00 PM  |
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Long Island Weddings
Long Island's Largest Bridal Resource | Prudential Douglas Elliman Real Estate |
-Lisa-
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Member since 5/05 6530 total posts
Name:
Lisa
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Re: Refinance quote (for Blu-ize)
I understand - thats what I was trying to say in my posts on the other thread. Our cost to refi were also low - as I don't consider the taxes & insurance to be costs of the refinance. 
You have to pay your property taxes and homeowners insurance - they are costs you would be incurring regardless of whether you refinanced or not. Perhaps you just wouldn't be paying them in a lump sum as you will now at closing.
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| Posted 8/11/10 12:04 PM |
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Blu-ize
Plan B is Now Plan A
Member since 7/05 32475 total posts
Name:
Susan
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Re: Refinance quote (for Blu-ize)
Thanks for this. I got an online quote from Chase. Waiting for my banker to call me back to verify.
It looks like everything in with no points would be about $7K. Could be less when I haggle..I've done that before and I've refi'd with him before.
Considering a pt which would bring my interest rate down to 4.37 but not sure it's worth it.
I will let you guys know.
Hopefully nothing funky comes up on credit check. I ran my own report with Equifax and there are no negatives on it. Should be a high score.
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| Posted 8/12/10 8:55 AM |
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Lucky09
2017!
Member since 1/06 7539 total posts
Name:
DW
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Re: Refinance quote (for Blu-ize)
Not sure about your particular circumstance, but I know when we did our re-fi we skipped one month of our mortgage payment, which was really nice!
eta: I know we were also able to claim some of the cost to re-fi on our taxes this past year, but for some reason we didn't get as much back as we thought we would...
Message edited 8/12/2010 9:27:05 AM.
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| Posted 8/12/10 9:24 AM |
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ave1024
I Took The Wrong Road
Member since 12/07 6153 total posts
Name:
That Led To The Wrong Tendencies
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Re: Refinance quote (for Blu-ize)
When getting closing cost estimates for re-fis, I wouldn't count any tax escrows as part of your closing costs.
If your re-fi costs are 3k, and tax escrows are 5k... you really aren't "paying" for tax escrows. Those are simply deposits to pre-pay your taxes. They aren't costs.
Also if you are currently escrowing your taxes, you paid these already on the first mortgage. When you re-fi, your original bank mortgage gets closed. A few weeks after you close, your original tax escrows will get returned to you via check.
So technically the money in that check goes towards your tax escrows for the new loan. It should be close to a wash.
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| Posted 8/12/10 9:44 AM |
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Blu-ize
Plan B is Now Plan A
Member since 7/05 32475 total posts
Name:
Susan
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Re: Refinance quote (for Blu-ize)
Posted by ave1024
When getting closing cost estimates for re-fis, I wouldn't count any tax escrows as part of your closing costs.
If your re-fi costs are 3k, and tax escrows are 5k... you really aren't "paying" for tax escrows. Those are simply deposits to pre-pay your taxes. They aren't costs.
Also if you are currently escrowing your taxes, you paid these already on the first mortgage. When you re-fi, your original bank mortgage gets closed. A few weeks after you close, your original tax escrows will get returned to you via check.
So technically the money in that check goes towards your tax escrows for the new loan. It should be close to a wash.
Yes, this makes sense. Let's hope I can do this. I need the tax deduction too.
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| Posted 8/12/10 10:07 AM |
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Rycois
Blessed with 2blue/2pink
Member since 12/05 13341 total posts
Name:
J
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Re: Refinance quote (for Blu-ize)
Posted by Blu-ize
Posted by ave1024
When getting closing cost estimates for re-fis, I wouldn't count any tax escrows as part of your closing costs.
If your re-fi costs are 3k, and tax escrows are 5k... you really aren't "paying" for tax escrows. Those are simply deposits to pre-pay your taxes. They aren't costs.
Also if you are currently escrowing your taxes, you paid these already on the first mortgage. When you re-fi, your original bank mortgage gets closed. A few weeks after you close, your original tax escrows will get returned to you via check.
So technically the money in that check goes towards your tax escrows for the new loan. It should be close to a wash.
Yes, this makes sense. Let's hope I can do this. I need the tax deduction too.
Right, I get this - but can't verbalize it. 
Thank you
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| Posted 8/12/10 11:16 AM |
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