points

[Anonymous]

Im not understanding points and what they mean. Are there 2 different kinds of points? Are there good and bad points?

Anything would be helpful, thank you.

[DallasLoanGuy]

origination fees are usually represented in points.

discount fees are usually represented in points.

they are the same.

points buy a lot of discount right now.

get a gfe with and without points. compare.

real simple.... they payoff on the longrun. get out of the loan(sell/refi) too soon and it is a bad investment.

[Anonymous]

so is it better to use money towards a down payment, or for points, or both?

[ShanetheMortgageMan]

Depends on your plans with the home & mortgage... your loan officer will be able to go over the different options you have and why one would be better for your situation & plans than other options would.