Refi your Wells Fargo mortgage, no closing costs

[all168]

I read USA today said wellsfargo will hire several thousands (2 thousand I think) to help their mortgage dept, hope it will speed up their speed and shorten their closing day from 60 to 30 days.

 

[Vic]

Originally posted by: PHL1365

Originally posted by: Vic
Rates up big today after the Fed rate cut, as I predicted more than a month ago back on page 2 of this thread. Yield on the 10 year T-bond is up roughly 200 bps since the Fed announcement.
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Umm, the reason mortgage rates have gone up in the last couple of days is not because the Fed cut short term rates. It is because the Fed did not cut them as much as the market had hoped it would. If there had been a 1/2 percent cut, then I think we would have seen 10-year bond yields fall about 10 basis points. Bond traders for the last 4-6 weeks had already fully factored in at least a 1/4 percent cut in the Fed Funds Rate. Many had even bet money (by buying treasuries at higher prices, forcing bond yields lower) that there would be a 1/2 percent cut. When that 1/2 percent cut did not happen, the market reacted quickly and the prices of treasuries dropped, therefore driving the yields up. Ultimately, it is the bond yields that affect the mortgage market, because borrowers are simply competing with other institutions for capital. That is why mortgage rates are so closely tied to 10 year treasury yields.

BTW, 200 basis points equals 2 percentage points. The 10-year bond yields are only up about 25 basis points (or 0.25 percentage points) since the FOMC announcement.

Pardon me for the typo. You are right, approx 25 basis points. Graph

And the 1/4 point cut instead of the 1/2 point is not the only issue. The Fed also implied that the threat of deflation is less (they are now calling it "dis-inflation"), and they implied that they no longer intend to assert some control over long-term rates by buying long bonds.
The 10 year T-bond yield affects mortgage rates because FNMA/FHLMC Mortgage-Backed Securities (MBS) are considered a similar investment.

 

[Tooch43]

I keep trying to do the Wells Fargo No-Hassel Dealy and it keeps giving me an error message saying that I've entered an invalid field? WTF?

 

[rowcroft]

I'm getting the same message, does anyone have the phone number to call? Thanks,

Rowcroft

 

[rowcroft]

Found the number- 1-800-443-3429

 

[hrbngr]

Vic,

thanks for posting all this great info. might you have a link that can explain how you save by moving to various different lower-rate loans---a kind of step-by-step walkthrough?

I was a finance major and I wanted to just go ahead and do the math so that I feel a little better about the deal...however, I am not even sure I could do a present value calculation w/out the HP finan calc...oh well.

 

[fastman]

Same here, I E-mailed them. I'll let you all know what they say when they reply?

 

[patrickj]

Todays rate is 5.5% on the 30 year fixed...I wonder what the ten year does by market close today? I'm pretty close to doing this. Just want to see if the rate will decrease for tomorrow or if it will stay at 5.5%

 

[fastman]

Heard back from them about error? They said I was using the wrong Zip Code, at least the wrong one on file with them? They gave me a different one to use and it went through. They didn't drop the rate (5.5%) but the payment went down $12.34?

 

[Vic]

Originally posted by: hrbngr
Vic,

thanks for posting all this great info. might you have a link that can explain how you save by moving to various different lower-rate loans---a kind of step-by-step walkthrough?

I was a finance major and I wanted to just go ahead and do the math so that I feel a little better about the deal...however, I am not even sure I could do a present value calculation w/out the HP finan calc...oh well.

Sorry, I can't really think of a good link. I work in the industry and just do all this on my Ti BAII Plus. If you want, enable your PMs and we can discuss this.

<- hates RPN

 

[Beandog]

10yr Bond increased again today and Wells Fargo increased there price on wholesale rates up slightly...they are usually the first to change rates out of the ten banks I use. Mortgage Rates are on the rise, the advice of Barry Habib, one of the Most Quoted Mortgage market analyst is to LOCK...I won't go into detail why but it looks like the Refi boom is dying off...thank god I locked in at 4.75 on a 30yr fixed with no points...I locked many of my customers in too right before the Fed met at 4.875 with a half point...It doesnt appear rates will come down again unless the economic data show some dismal numbers in the next 45 days...and with the FED cutting the discount rates that should intice more short term borrowing, Auto Loans etc, which should help fuel the economic recovery along with the Tax Rebates due out in the next 60 days...the ecomomy should actually show some improvement. This will only drive rates back into the low 6% range. If your locked pat yourself on the back, if your floating you may have to wait another 45 yrs for rates to get that low again

 

[patrickj]

I locked today at 5.5 from 6.125. Not as low as I would have liked, but considering I didn't even know about this for the first six months of my mortgage...I'm not complaining. Now I need to refi the second...Many thanks to the people responsible for contributing to this particular topic. It was very helpful. I watched the 10 year close up slightly and locked at about 4:30 this afternoon.

Maybe I'll be able to do another rate reduction in a few months if rates continue down a little more.

 

[papaschtroumpf]

Anyone was able to refinance again after 3 months? I used this program closing in March and they now tell me that I can;t take advantage of this offer again

 

[Beandog]

Many Banks have policies of 90days to 6 months on their internal programs to be able refinance again. Both FNMA and FreddieMac have no restrictions though, so if your current lender wont do it, then just go to a whole different lender. FHA I believe is still 1yr before you can refinance again.

 

[papaschtroumpf]

If anyone can access the https://mortgage.wellsfargo.com/ratereduction/ web site can you please copy the "additional information" section and any FAQ/Q&A section and either post it here or PM me?
In particular does it say anything about how soon you will qualify again?

Once you exit this web page you can't get back to it again, so make sure you copy it while you're filling it your application, or you'll end up dead in the water like me, with no way to log back in because you already took advantage of the offer.

 

[PHL1365]

Originally posted by: papaschtroumpf
Anyone was able to refinance again after 3 months? I used this program closing in March and they now tell me that I can;t take advantage of this offer again

papaschtroumpf,

I tried the web site and I tried calling to see if I could take advantage of this again. My loan also closed at the end of March. The lady told me that I was not back in their database yet and that it may be 120 days or longer because of their extreme backlog of refi's. If you are able to get this to work, please post here. I'd be interested in seeing what kind of rates you are offered. The CSR that I talked to said that their current rate on this offer is about 5.25 % for 15 years. This seems very high relative to the rest of the market.

 

[papaschtroumpf]

Interestingly they told me that you had to wait a year before being eligible again, but refused to put in in writing.
They can't seem to get is straight. I think we're being scammed, they either don't want people to get a better rate again, or they don't want to add to their backlog.
Either way, I'm trying to prove that they originally said that we could do it again in 90 days, because that's what convinced me to do it then and not wait a little more.

 

[teraeric]

wf sux... i did the web form 5/12; they sent me the prelim disclosures 5/23;they didn't autodebit my payment 7/6; i am now on phone and after 6 different shuffles i find that they denied me because of my 2nd on the porperty, but forgot to mention that to me and oops about killing my autodebit...

i'm now going to find another bank and never do any business with these idiots again...

 

[kassaam]

I closed on the Wells Fargo Rate Reduction Refi at 6% 30-year fixed in May. I called again at the end of June and was told that I was eligible! I locked in at 5.75% 30-year fixed. I have yet to receive the closing docs, however, I got some disclosures that I had to fax back and was assured that everything was fine with the process. I know that 5.75% is not the best rate I can get, but this program takes absolutely no effort on my part and I don't have to prove income, etc.