Mortgage Lenders - Who are you using?

[Peter1142]

Nope no points and 3.75% rate, which was excellent at the time.

Of course, I have that horrendous FHA mortgage insurance

[Movin_on_up]

Yes, the PMI...   As I'm putting down 10% almost everything I've seen has PMI (and this is not an eligible FHA as it's not a primary).  Although I was offered one 5/1 ARM from one of the local banks at 3.1% that does not have the PMI.   I'm running numbers today to see what makes sense.  Not so keen on ARMs as the rates should only go up.

[Peter1142]

I do believe most of those closing cost credits were only for FHA... which you are correct obviously can't be used for an investment property.

[Revelate]

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@frugalQ wrote:
I'm going to play devils advocate: if you purchase an investment property and the "bubble bursts", wouldn't that benefit you as the rental market will pick up?

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Not certain that rental markets necessarily track mortgage ones anymore.

To wit, here in a suburb of LA, homes are back to the pre-bubble prices; however, rents are tracking well ahead of where they were in 2006.  Granted California has shot off it's own foot with Prop 13 when it comes to any sort of normalcy in the real-estate market, but I imagine Cali isn't the only one with a similar rental issue even if the reasons might be different.