My guess is the 1% will be called a discount.
@DaMajor wrote:VA Loan should be eligible for Navy Federal with no origination fee. Just locked 5.25 on my VA loan two weeks ago.
There was no origination fee. They were labeling the points cost as an origination fee. It was very misleading.
As a matter of fact i'll go ahead and throw and update in: I closed on the house this past week. One thing I learned during the process is that the loan costs estimates mean jack crap until you lock in your rate - and even then, the costs fluxuate up until closing day. The estimate I got 2 days before closing was different than the one I got from the title company the morning of.
I had different closing cost projections through the whole process starting at 6k then 8k then 10k all the way to 11.4k on closing day. With little variences in between.
Some things were small, like the well water test they scheduled was not good enough for the VA, so it was an additional 180 bucks or something like that. All these things ended up eating away at other things like seller credits and what not. Bottom line is had I known from the start that the cost variances were going to be so large, I would have accounted for that in my cash on hand for closing. I almost got myself in a situation where I would have had to pull money from my 401k or other source on closing day, which would have resulted in delaying my close as I would have then needed to do documentation to show where the money came from and all that stuff.
