refinance with PenFed?

[orangecat]

So a big bank that has a local office has been calling once a week, trying to get me to apply for credit.. I had a little extra time the last time so when she mentions refinance, I say something about how I need low closing costs. refinance amount would be about 116k, current interest rate 6.375%. So she says closing costs would be about $5k, I say no thanks. Wells Fargo, that's it.

Next day I'm checking out penfed's website. 1% origination fee, but they pay for appraisal, they pay for almost all third party fees. Looks to me like I pay for gov't recording fee, title insurance and 1% orig. and that's it.

Looks to me like it's about $2100. Not including prepaids or insurance. But if I'm not escrowing, do I still need a year's worth of insurance?

Interest rate right now for this 30 year would be 4.875.

Anybody here have any experience with Penfed?

 

[heritage]

They almost certainly are leaving some costs out, for instance, all lenders will require a title policy and there will be related title company expenses. You have some really good questions. I am a mortgage banker and have been making home loans in Texas for 36 years. If you want to PM me, I think I can help you answer the issues of feasibility and such. Brooks Hiller.