GFE Review USAA/ VA Loan How Is The Deal?

[YHWHUDAH]

USAA $200000

Interest Rate 4.125

Monthly Payment 1139.80 PI&I

Lender Fees

Discount Fee 250

Appraisal Fee 450

Credit Report 14

Flood Certificate 5.25

Processing Fee 685

VA Funding Fee 0

Prepaids and Escrows 458

Hazard Insurance Prem 446.00

Escrows

Hazard Insurance 74.34

County Property Taxes 399.99

Title Expenses

Settle/Close Fee 175

Attorney Fee 300

Title Insurance Fee 350

Recording Fee

Recording – Mtg 70

State Tax Deed 2000

Other Fees

Pest Inspection 50

Seller Credit

Seller Contributions  -23500

Good Faith Deposit Credit  -50

Cash Due For Borrwer 3377.91

I could of got a 3.7 rate, but I would of needed 6000+ in Closing Cost. Should I go for this one? Credit Scores were 656 EQ, 679 TU, and 686 EX per lender. Monthly Income 3988 monthly after taxes. All advice is appreciated. Thanks in advance.

[ShanetheMortgageMan]

I feel it's a pretty solid offer.  What is PI&I?  Principal, interest, and... insurance?  Why not property taxes in there?

Going for the 3.7% (3.75%?) rate is a difference of $43.07 from the 4.125% interest rate.  If it costs $3,000 in additional fees to get that rate, your breakeven point would be nearly 70 months and in my opinion probably wouldn't be worth it.  I like to see a breakeven point within 36 months.

[YHWHUDAH]

Thanks Shane,

My apologies, I mean't Principal, Interest, Taxes, and Hazard Insurance. P & I (969.30), Taxes (133.30), and Hazard Insurance (37.17). Yes, you are right about the rate been that it was $43.07 from the 4.135% rate. I figured the same thing as you did, that it would not be worth the extra 3000 in closing cost.  I just need an expert opinion and you provided it.

Regards,

YHWHudah