CapWest Mortgage: Low Rate Home Loans for Qualified Borrowers
We bought our house around this time last year after more than three months of searching and negotiating. Even though it is believed that winter may not be a good time to buy a home (we started looking in December 2009) because of a smaller inventory, the purchase was made as we were trying to catch the deadline of the tax credit. But that wasn’t the only reason we kind of hurried the transaction. We like the house a lot and we also liked the mortgage rates at that time, both contributed to the quick decision we made.
The prolonged slump of the housing market and the slow recovery of the economy have pushed down not only home prices, but also interest rates of home loans. When we got our original loan in March 2010, the rate for our 15-year fixed rate mortgage was at 4.25% APR. At that time we thought we got a pretty good deal, but the rates kept getting lower as the housing market continued to struggle. Late last year, we refinanced our 15-year mortgage only 4 months after getting the original one because the rate was too low to pass by. By August, rates of 15-year fixed mortgage dropped below 3.75% APR, a new low back then. Despite the original mortgage was only a few months old, we didn’t want the opportunity of saving a little more slip away. So we applied and got a new loan at 3.875% APR. Though the rate wasn’t the lowest when the loan rate was locked, we were very happy with what we got because the refi had no other fee. In fact, we didn’t pay anything for the refi, except taxes
Since then, mortgage rates have fluctuated quite a lot, but overall remained at their lows. According to Bankrate.com, the current national average rates for 30-year fixed mortgage is 4.85% APR, while for 15-year fixed loan, the average rate is 4.06% APR, making it a good time to lock in a good rate, whether it’s for first purchase or for refinancing an existing mortgage. If you are considering your options, you may want to check out CapWest Mortgage for your home loan needs, especially if you have good credit.
CapWest Mortgage is a wholly owned subsidiary of Farmers Bank & Trust, N.A. Farmers Bank & Trust is a family owned bank that has been federally chartered since 1907. CapWest Mortgage can originate home loans, using conventional, FHA, and VA loan products, in all 50 states and it has helped a diverse set of homeowners achieve their dream. In addition, CapWest Mortgage also provides the lowest rates and closing costs available with no miscellaneous, hidden expenses. Being a Fannie Mae direct lender, CapWest has the advantage of keeping rates low with no markups, passing the savings back to the borrower.
CapWest Mortgage is also a Costo approved lender. This means that if you are a member of Costco, whether at Goldstar level or Executive level, you can save even more with CapWest using your Costco membership. For details on how much you can save on mortgage costs with your Costco membership. According to CapWest, lender fee is capped at $600 for Executive members and $750 for other levels of membership.
Since CapWest is a prime lender, you will need to have a good or excellent credit history in order to apply for a loan. If you do have a very good credit score, you can get a free loan quote from CapWest Mortgage and compare it with offers from other lenders to see whether they can indeed save your money. To give you an idea about their rates, I used the free quote and got the current rates of our loan with exact the same term:
- 30 Year Fixed Rate: Rate 4.875%, Points 0.000%, APR 4.898%, Closing Fees, $6,999.83, Payment $2,169.75
- 20 Year Fixed Rate: Rate 4.500%, Points .000%, APR 04.531%, Closing Fees $6,999.83, Payment $2,593.86
- 15 Year Fixed Rate: Rate 4.000%, Points 0.000%, APR 4.039%, Closing Fees $6,999.83, Payment $3,032.72
- 10 Year Fixed Rate: Rate 3.375%, Points 0.000%, APR 3.431%, Closing Fees $6,999.83, Payment $4,030.36
- 5/1 Adjustable Rate: Rate 3.375%, Points 0.000%, APR 3.477%, Closing Fees $6,999.83, Payment $1,812.59
As you can see, the current rate of a 15 year fixed rate loan is only slightly higher than what we got last year.
BTW, CapWest is a partner of Credit Sesame. If you are using Credit Sesame, you can find out much easier if CapWest can give you a good rate based on your credit. More about Credit Sesame can be found in my Credit Sesame review post.
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