topic Re: Wells Fargo FHA rates accurate? in Mortgage Loans

Wells Fargo FHA rates accurate?

Anonymous — Fri, 07 Jun 2019 22:31:21 GMT

So im in the middle of building a home and Im using the builders prefered lender. Im at a point where im wondering if I should apply elsewhere just so I can try to negotiate a lower rate. Ive come across Wells Fargo and they have a current FHA rate of 3.75 account to there website which is really low from what I keep hearing right now. My LO is telling me about 4.25% after I bought a point. How accurate is this? Are these rates they advertise on there website actually correct? Currently Im at 709 mid score if it matters. Thanks

https://www.wellsfargo.com/mortgage/rates/purchase-assumptions?prod=1

Re: Wells Fargo FHA rates accurate?

nunya — Fri, 07 Jun 2019 22:42:35 GMT

Advertised rates are probably their best rates.
I'm in process with a loan with the same advertised rate. My initial hypothetical was for 780ish and that got their best rate. When I went ahead with the app, my mid came back 760ish and my rate went up 0.125. So I opted to buy down to 3.75. If UW approves I may try to delay closing another month and have them pull my credit again.

Re: Wells Fargo FHA rates accurate?

Mortgage-Specialist — Fri, 07 Jun 2019 22:42:40 GMT

You sent a link for a conventional but you can in fact get a 3.75% FHA rate 30 yr fixed

Re: Wells Fargo FHA rates accurate?

CreditInspired — Fri, 07 Jun 2019 23:41:43 GMT

@Anonymous wrote:
So im in the middle of building a home and Im using the builders prefered lender. Im at a point where im wondering if I should apply elsewhere just so I can try to negotiate a lower rate. Ive come across Wells Fargo and they have a current FHA rate of 3.75 account to there website which is really low from what I keep hearing right now. My LO is telling me about 4.25% after I bought a point. How accurate is this? Are these rates they advertise on there website actually correct? Currently Im at 709 mid score if it matters. Thanks

https://www.wellsfargo.com/mortgage/rates/purchase-assumptions?prod=1

Hi and welcome to MyFICO

99% of the time the advertised rates (their lowest) are reserved for those with scores 760+

Re: Wells Fargo FHA rates accurate?

JVille — Sat, 08 Jun 2019 08:38:37 GMT

When will your home be done? The rate today is worthless if you can’t close in 30 days. If getting an FHA loan when your FHA case # is issued it will be near impossible to get that case # moved to a different lender. It’s based on the property address and another lender can not come in and do an FHA loan and get a new case # for that address. Has you case # been issued?

Re: Wells Fargo FHA rates accurate?

NC_Mtg_Loaner — Sat, 08 Jun 2019 11:32:43 GMT

Rates have been dropping lately as the market has finally realized that they never should have gone up last year.

Re: Wells Fargo FHA rates accurate?

Madein84 — Sun, 09 Jun 2019 01:58:40 GMT

My Fico mortgage middle score is 660 and my rate on a 30 year FHA is 3.87. So if you’re mortgage score is above 700, your rate could probably get a better rate with a different lender. I would advise shopping around.

Hunting and element gave me the same rate. Premia gave me 4.5. I went w Huntington.

Re: Wells Fargo FHA rates accurate?

Anonymous — Mon, 10 Jun 2019 13:34:15 GMT

Yes, my mistake. Those rates are indeed for a conventional loan.

Re: Wells Fargo FHA rates accurate?

Anonymous — Mon, 10 Jun 2019 13:39:02 GMT

@Madein84 wrote:
My Fico mortgage middle score is 660 and my rate on a 30 year FHA is 3.87. So if you’re mortgage score is above 700, your rate could probably get a better rate with a different lender. I would advise shopping around.
Hunting and element gave me the same rate. Premia gave me 4.5. I went w Huntington.

Hmmm that seems like a good rate too me.

Re: Wells Fargo FHA rates accurate?

Anonymous — Mon, 10 Jun 2019 13:40:43 GMT

@JVille wrote:
When will your home be done? The rate today is worthless if you can’t close in 30 days. If getting an FHA loan when your FHA case # is issued it will be near impossible to get that case # moved to a different lender. It’s based on the property address and another lender can not come in and do an FHA loan and get a new case # for that address. Has you case # been issued?

Im not sure honestly. Im closing in late august on my new build. How early do they issue a number?

Re: Wells Fargo FHA rates accurate?

Anonymous — Mon, 10 Jun 2019 14:41:29 GMT

I was thinking of applying to new american funding or rocket mortgage? American funding has there rate for FHA listed at 3.25%. Thats with 2 discount points though. Anyone deal with them?

https://www.newamericanfunding.com/mortgage-rates/

Re: Wells Fargo FHA rates accurate?

Mortgage-Specialist — Mon, 10 Jun 2019 16:41:01 GMT

On My rate sheet on a 270k purchase price on FHA loan with 700 credit score shows that it scould cost a lot less then 2 points. It costs just less than 1 point 0.943 That is a difference of $2,854 savings to borrower. A 640 score for that same loan scenario only costs 1.443. So a 640 credit score can in fact obtain a 3.25% loan. I didnt think this would be possible again.

3.2500%

99.0570

Re: Wells Fargo FHA rates accurate?

Anonymous — Mon, 10 Jun 2019 17:06:54 GMT

@Mortgage-Specialist wrote:
On My rate sheet on a 270k purchase price on FHA loan with 700 credit score shows that it scould cost a lot less then 2 points. It costs just less than 1 point 0.943 That is a difference of $2,854 savings to borrower. A 640 score for that same loan scenario only costs 1.443. So a 640 credit score can in fact obtain a 3.25% loan. I didnt think this would be possible again.

3.2500%
99.0570

I wonder why my LO is so high on my percentage? I mean were off by alot. How do they figure out how much each lender tacks on to the rate? From the way I understand it the FHA sets a rate and then anything over that is tacked on by the lender for profit?

Re: Wells Fargo FHA rates accurate?

Mortgage-Specialist — Mon, 10 Jun 2019 17:13:19 GMT

On a 270k loan amount, a 3.75% rate actually would give you 0.5232% of the loan amount toward closing. This means you should get a lender credit of $1,412. This basically means you'd get $1,412 toward title fees.

Par rate would actually be 3.5%

Re: Wells Fargo FHA rates accurate?

Anonymous — Mon, 10 Jun 2019 17:25:46 GMT

Wow, I may also apply with my credit union (UFCU). They have a 3% FHA advertised with 1 point on there website.

Re: Wells Fargo FHA rates accurate?

Anonymous — Tue, 11 Jun 2019 15:25:56 GMT

A few more questions that someone may know off the top of there head so i dont have to start a new thread.

*The 97% Fannie mae is 1st time buyers only? I keep seeing conflicting reports and Fannie Maes website says 1st time only as well.

*To exclude an installment loan is it 5% of your total gross for that one loan? So my installment is $395 per month with 5 months left and my gross is $9300 or so per month.

Thanks

Re: Wells Fargo FHA rates accurate?

CreditInspired — Tue, 11 Jun 2019 15:56:40 GMT

@Anonymous wrote:
A few more questions that someone may know off the top of there head so i dont have to start a new thread.

*The 97% Fannie mae is 1st time buyers only? I keep seeing conflicting reports and Fannie Maes website says 1st time only as well.
*To exclude an installment loan is it 5% of your total gross for that one loan? So my installment is $395 per month with 5 months left and my gross is $9300 or so per month.

Thanks

I want to define 1st time home buyer because I thought it meant “never” owning a home before. Here is the fact:

A first-time homebuyer is an individual who has had no ownership in a principal residence during the 3-year period ending on the date of purchase of the property. This includes a spouse (if either meets the above test, they are considered first-time homebuyers).

Re: Wells Fargo FHA rates accurate?

Anonymous — Tue, 11 Jun 2019 16:03:15 GMT

Ya, unforunatly I sold my last house about a year and a half ago.