Forum Thread

PenFed Lowers Mortgage Rates Again! 5/5 2.75%, 30 Yr 3.375% (Limited Time Offer)

Rokket 4,367 12,507 September 6, 2012 at 09:37 PM in Home & Home Improvement (11)
Deal
Score
+29
218,501 Views
Get Deal

Thread Details

Last Edited by widgit September 7, 2012 at 03:17 AM
Today I received an email from PenFed (Pentagon Federal Credit Union) touting new lower mortgage rates: "Limited-Time Offer -- PenFed Lowers Mortgage Rates AGAIN!"

The 5/5 adjustable rate mortgage is now just 2.75%, with no origination fees and PenFed paying closing costs up to $10K. (There's also the 5 year HEL with a 1.99% rate; the HEL rate is not new.)
https://www.penfed.org/55-Adjusta...-Mortgage/
https://www.penfed.org/Home-Equit...-Overview/

The 30-year fixed rate mortgage is now just 3.375%, with no origination fees (per fine print on the application page).
https://www.penfed.org/30-Year-Fixed-Mortgage/

PenFed used to charge a 1% origination fee on all fixed rate mortgages, but right now the 30-year fixed rate mortgage seems to be exempt!

There are many ways to join PenFed; for example, you can make a donation to the National Military Family Association. The PenFed website has further details: https://www.penfed.org/
If you purchase something through a post on our site, Slickdeals may get a small share of the sale.

Community Wiki

Last Edited by rdmustang1 May 1, 2013 at 08:12 AM
EVEN BETTER! PenFed 5/5 down to 2.5% with 0 points


...
A good site to follow daily rate movements and lender intraday price movements: http://www.mortgagenewsdaily.com/mortgage_rates/
...

PenFed Calculator
https://penfed.mortgagewebcenter....asp?PID=22

This post can be edited by most users to provide up-to-date information about developments of this thread based on user responses, and user findings. Feel free to add, change or remove information shown here as it becomes available. This includes new coupons, rebates, ideas, thread summary, and similar items.

Once a Thread Wiki is added to a thread, "Create Wiki" button will disappear. If you would like to learn more about Thread Wiki feature, click here.

704 Comments

1 2 3 4 5

Sign up for a Slickdeals account to remove this ad.

#16
Quote from Enchiladas View Post :
That's what I'm wondering. My current loan is through Penfed at 4.675%, and we're going to be in this home for 6-8 more years. Is it worthwhile for me to refinance?

Yes, most definitely you should if this loan has no/minimal fees. Assuming you have $150K in loans at 30 years, you're easily saving $38K+ in interest as well as shave a little over $100 in monthly payments, therefore recouping your fees within probably 4 to 7 months depending on fees.


Mortgage attributes Loan 1 Loan 2
Loan duration 30.00 years 30.00 years
Principal due $.00 $.00
Principal paid $150,000.00 $150,000.00
Total interest expense $127,635.02 $88,730.37
Down payment $.00 $.00
Points $.00 $.00
Other loan costs $.00 $.00
Private mortgage insurance (PMI) NA* NA*
Total mortgage cost $277,635.02 $238,730.37
Savings . . . $38,904.65
Reply Helpful Comment? 0 0
#17
Apparently my experience was totally different. The people I worked with were dumb dumb dumb. They first refused me a loan even though I could've paid cash for the house. (When I pointed that out all I got was more "dumb" from them.) Then it was a nightmare of delays. My person would be gone for a week but no one would pick up the work. I finally went elsewhere.
Reply Helpful Comment? 0 0
#18
First refinance, but when you refi, do you need to put down 20% deposit again?
Reply Helpful Comment? 0 0
#19
Quote from wakko View Post :
First refinance, but when you refi, do you need to put down 20% deposit again?

Well not if your place has 20% worth of equity.
Reply Helpful Comment? 0 0
#20
Tried for the 5/5 ARM. A bit disappointing as you are responsible for up front fees/appraisal even if you don't get approved as was my case. My house dropped 35% in value since 2009 so way to upside down to refi. Going to go with the FHA streamline refi at 2.75%.
Reply Helpful Comment? 0 0
#21
Quote from wakko View Post :
First refinance, but when you refi, do you need to put down 20% deposit again?
Negative. When you put the 20% down on the original purchase, you don't actually "lose" that money. It just becomes equity in your home rather than cash in your pocket.

When you refinance you still have that equity.

Just be warned that if your home has lost substantial value since your initial purchase (like most people nowadays) then it makes the refinance process a little trickier. I'd love a refinance right now but my home wouldn't appraise for anything close to what I would need it to.
Reply Helpful Comment? 0 0
#22
Anyone know there min LTV for refi's? Is it the standard 20% or will they go lower?
Reply Helpful Comment? 0 0

Sign up for a Slickdeals account to remove this ad.

Joined Nov 2007
XBL GT: xGuN Slinger 77
12,711 Posts
222 Reputation
#23
Likely a silly question but can anyone provide ballpark figures for closing costs through penfed on a $400,000 home?
Reply Helpful Comment? 0 0
Joined Nov 2007
XBL GT: xGuN Slinger 77
12,711 Posts
222 Reputation
#24
Quote from Rokket View Post :
The 5/5 adjustable rate mortgage is a no-cost refinance, as far as I can tell. The 30-year fixed rate mortgage does have closing costs, but no origination fees/points. If you click the green "get started" button, you'll see the FAQs which detail closing costs. PenFed does NOT charge any application fees or processing fees. Hope this helps!
just saw this post. Can I see this FAQ without being a member? I'd like to get an idea of closing costs.
Reply Helpful Comment? 0 0
#25
I just got an email about this yesterday and I am just trying to figure out if it is worth it with whatever closing costs there are. I don't think we will be in this house more than 2 years so I am almost wondering if a 5/5 ARM is worth it for us since that gives you 5 years at the low rate.

I might have to look in to it a little more.
Reply Helpful Comment? 0 0
Joined Jun 2011
L9: Master
4,367 Posts
12,507 Reputation
Original Poster
Pro
#26
Quote from Roland Deschain View Post :
just saw this post. Can I see this FAQ without being a member? I'd like to get an idea of closing costs.
Yes, you can! After you click the "get started" button, you'll be taken to the application page and the FAQs are on the left. You don't actually have to apply (or be a member) in order to view the FAQs.

Also, the customer service agents are pretty great; feel free to call them with any questions. I've had a PenFed mortgage and highly recommend them.
Reply Helpful Comment? 0 0
#27
Quote from xceebeex View Post :
I just got an email about this yesterday and I am just trying to figure out if it is worth it with whatever closing costs there are. I don't think we will be in this house more than 2 years so I am almost wondering if a 5/5 ARM is worth it for us since that gives you 5 years at the low rate.

I might have to look in to it a little more.
I have so many idiot friends who will never consider anything other than a 30 year fixed. The reality is that your first 1-3 homes won't last you more than five years. So why pay an additional $150 per month for 25 years of unnecessary security?
Reply Helpful Comment? 0 0
#28
Quote from spooky981 View Post :
I have so many idiot friends who will never consider anything other than a 30 year fixed. The reality is that your first 1-3 homes won't last you more than five years. So why pay an additional $150 per month for 25 years of unnecessary security?
Well this is my first home and I have been in it since March of 2006, so I am going on 7 years. Also, what complicates things for me is that we had a SEVERE flood 1 year ago today which affected home values significantly. My street got hit real bad, but my house was on of the ones least affected because I sit slightly higher. My basement was full of water, the garage had about 4-5 feet in it (which sat slightly lower than my main floor of the house) and then my flooring on the main floor of the home was all damaged.

Long story short, I am not sure how hard of a time I will have selling my house this close to after the flood even though my house wasn't as bad as others and is actually much nicer now since I did a lot of the work myself with the insurance money so I could get nicer things.

Depending on what the closing costs are for the 5/5 ARM, I think it is probably ideal for me though because both my wife and I want out as soon as possible really. My mortgage is on $69k right now too and it is at 6%.
Reply Helpful Comment? 0 0
Joined Nov 2007
XBL GT: xGuN Slinger 77
12,711 Posts
222 Reputation
#29
Quote from mmlovers90 View Post :
We just did a refi on our home two weeks ago with Pedfed...15 year fixed rate VA loan for 2.75%! Excellent service from them...would highly recommend!
I realize some would deem this sensitive information and you may not be willing to divulge..but in case you are willing, would you mind pm'ing me the closing costs you paid as well as the amount you refinanced? I'm also looking at the 15 yr fixed.
Reply Helpful Comment? 0 0

Sign up for a Slickdeals account to remove this ad.

#30
Be careful is all I can add here. While in the Military I needed a small loan, the on-base credit union had loan programs that I was about to go with. Later while walking thru a large mall I walked into the first bank and asked about loans ... that bank and I learned alot! They were amazed at what I was being screwed over for on that loan! From then on I never assumed that anyone had my best interest but me! Now that I made it into my 50's that also applies to AAPR - they too are not in it for you!


A true slickdealer would .... Shop around and keep em honest.
Reply Helpful Comment? 0 0
Last edited by Spartanicus September 7, 2012 at 07:33 AM
Page 2 of 47
1 2 3 4 5
Join the Conversation
Add a Comment
 
Copyright 1999 - 2016. Slickdeals, LLC. All Rights Reserved. Copyright / Infringement Policy  •  Privacy Policy  •  Terms of Service  •  Acceptable Use Policy (Rules)
Link Copied to Clipboard