How much do points affect a mortgage and are points an “extra” cut the lender makes over higher rates
I had an appointment with a mortgage broker today and having been close to pre-qualifying 2 years ago I had an idea that I was about to be taken on the same type of “ride” I just wish that seeing what they were trying to do I think it might have helped if they kissed me first =p
I have the feeling that a FHA loan will get me the best intrest rate for all of my individual factors. No outstanding credit at the moment and only one of three credit reporting agencies even give me a score (660) So with a 6.5 intrest rate in mind. I thought Id entertain the idea of meeting with this broker( who was very aggressive on the phone )at first for the realtor called two lenders and I had them both calling me at home and giving info w/o knowing who was whom… another story =p
Not knowing the exact details of the 2 offers that were presented on the table I can just say one was 7.5 + 2 points and the other was 8.5 +1 points both very similar numbers on about 225k with 34 down Lender makes 6k?