Bought a house a month ago at 6.99% Interest.
I recently purchased a home for $647k at 6.99% about a month or so ago. Since then the rates have dropped dramatically. I got a hold of a wholesaler brokerage firm who quoted me approximately $3k to $4k to refinance with his firm. This cost includes loan fee, appraisal waiver, closing cost, and total fees. FYI this third party works with Rocket Mortgage and is strictly funded by them. I heard some horror stories from Rocket Mortgage but that was mainly on closing on the house. This would be to refi.
If I switch to the new loan, my mortgage immediately goes from $4300 to $3874 (savings over $426 a month). It looks like the cost to make up the fees for switching would take only about 9-10 to make up the difference.
It seems like a no brainer to me. Is there some catch. I thought Refinancing would cost $10k - $15k.
I told the broker I would think about it in the meantime.
Edit: Heres my updated post who i spoke to recently and got a quote from NBKC banks