How does this Interest Rate Sound?

[WindBlazer3]

DW and I are looking at buying first home.  Been working on credit scores and saving down payment.  Myfico.com helped me get my credit scores up to get my first "good" credit cards and play the points game!

Credit:  USAA/Lender pulled 763-770 for me and 723/724/732 for DW

Monthly Debt Payments: $1200/mo (two car loans - no credit cards - no student loans - low DTI)

Reserves:  401k can cover reserves

Location: Fort Bend County, Texas (near Houston)

Property: Single Family Home - Detached

Target Price:  Currently Negotiating, trying to get down to $295k plus seller pays closing  (Inventory builder home, so should be room to negotiate from $310 list price - already came down to $303k w/ throwing in fridge/washer/dryer)

Occupancy: Primary Residence

Transaction Type: Purchase

Planning to put 17-20% down (was dead set on 20% down and building a home, until we stumbled across this inventory home that we figured we might be able to negotiate on and save closing costs, etc.)

USAA quoted me 4.25% interest rate for 30 yr fixed rate mortgage.  Does that sound reasonable?  Looking at the prequalification letter, they show $2200 in discount fees.

Touching base with Highland LoanSource (builder lender) and she said via email they might be at 4.375-4.500 APR - should I even bother having them pull credit report?

I have accounts with Chase Bank and am considering getting preapproved with them to see what APR they quote...  Are there other lenders we should look at?

Trying to avoid having too many inquiries even if it is within the allowed window of multiple inquiries for rate shopping.  DW and I are not opposed to paying points to pay down rate a little more.

Thanks for any feedback and info!!

[ShanetheMortgageMan]

FHA or conventional?  If it's conventional and you can get 4.250% on a 30-year fixed for less than a point at a 720-739 credit score, that is a great rate.

If you look at their website at https://www.usaa.com/inet/pages/bank_mortgage_rates_view_all it's 4.250% with 1.375 in points and that is with a 740 score, usually cost .250 more in points for a 720-739 score.

[dreamer2014]

I would think you would have a lower interest with your situation as you described but I am no expert so I hope you get your question answered. We are looking in the same area, closer to Cinco Ranch, with Richmond, TX address. Hi neigbor!

[DallasLoanGuy]

i agree with Shane....  smokin' good rate.....