After reading the Perkin's blog (see blog roll), I thought about trying to see if I could still get my closing cost credit if we went with another builder but the consensus is a resounding, familiar "NO". My contract even states that we lose the closing cost assistance if we choose our own lender. So I think some of you all are getting an actual "credit" that buys down your purchase price of the house and that is different than "closing cost assistance" through NVR. My LO told me that the only way you will still get it is if NVR can't approve your loan and you have to go with another lender because of that. Not if they can't "beat" another lender that you find.
So basically it comes down to this:
closing cost assistance + higher rate (by 0.5%)
or
lower closing costs altogether + lower rate
Tomorrow is my pre-drywall meeting!!!!! Can't wait to start seeing some house progress, every time I go there, there are always people working so I haven't been inside in 5 days or so!
By the way, are any of you building in S.ou.th Ca.r.olin.a? We are building in an area near Gr.e.en.v.ille, curious if any of you are neighbors!
The drywall meeting should be fun you get to see where everything is going to be and get an idea of what it will look like when finished. At least you have done your research and it seems like your shopping around has paid off!
ReplyDeleteYou already know I'm building in SC :) I saw you went to IKEA, assuming it was the one in Charlotte, you were right near me!
ReplyDeleteI completely agree with you. This is the kinda response we are getting from NVR, and they are not earning points from me either!
ReplyDeleteI decided to check out other lenders after reading your blog and they quoted us a rate of 3.25% with much lower points, however, we would lose the incentive $ off our total but over the long haul it washes out if we go with the lower rate.
ReplyDeleteI think interest rates are going to steadily creep up. They are still low, really anything under 5% is great. Our first house we were happy to get 7% and in the 1970's the rates were double digits.
Thanks for posting your experience.
I am not sure if you are already doing this but your new lender can take your deposit and apply it towards your actual mortgage amount. You will definitely be winning at that point with the lower interest and lower closing costs! Not sure if you have a Union Savings bank but their closing is only $299!! :) That is who we are using :)
ReplyDeleteIf they applied my deposit to the mortgage amount, then our payment would be even less but we would have to come out of pocket to pay closing. Our lender doesn't have any fees but we still would have to pay the taxes, prepaids, title insurance...all that other fun stuff that is unavoidable.
DeleteWhat is the site you used to find the permit? I'm building in Greenville county and can't find it! Thanks!
ReplyDeleteWe are in Spartanburg County so I just searched "spartanburg county build permit" and came across it. What is your blog? I want to follow you!
DeleteI have 2 that I do, the one for building is www.buildingourcustommonroe.blogspot.com and my personal is www.crossmylist.com . We are building in Travelers rest which is very close to Greenville/sptbg and I work in Duncan!
DeleteI'm going to try and find the permits, I'm loving watching your progress!