Hi Parma, She also said that the owner of a loan company told her that there's a law (and this is where it gets stupid) saying that you can go to your mortgage company and demand they lower your rate if you can show your home has lost a lot of its value. He said he did it with Countrywide, (our lender, also). He also said that they will try to do something else but if you stick to your guns, they have to lower it. Urban legend? Either urban legend, or a broker full of beans! *IF* your loan was sold to Freddie of Fannie, you *MAY* benefit from the upcoming Homeowner Affordability Modification Plan (HAMP) or Homeowner Affordability & Stability Plan (HASP - refinances.) More details here (go to my SECOND post inthis thread for good links); http://ths.gardenweb.com/forums/load/realestate/msg0314583220481.html?3 Homeowner Affordability and Stability Plan The industry is awaiting clarifying details from the Fed... due either April 1st, or (more likely) May 1st, at the earliest (depending on who's rumours are to be believed.) Anything already accomplished (i.e. with Countrywide or other lenders) was an open market Loan Modification negotiated prior to Obama beginning to tease us about the issuance of federal guidelines. Once the trickle-out of fed guidelines, pretty much most (or all?) of the servicing companies have frozen all negotiations while we wait for them to discover if they'll get more sugar by awaiting the government plans. Luck! Dave Donhoff Leverage Planner Here is a link that might be useful: Homeowner Affordability and Stability Plan

As you rightly assumed, in a refi, there is a 3 day right of recission under Federal and many state's laws. You sign all the paperwork, but don't get the money until the 3 days (business days) have expired. You can't waive the right. What's happening is that the closing company is protecting themselves and you. The settlement or funding date is the first date they can send out the payoff funds to the bank. The payoff letter can be written several ways, with an exact payoff amount on a certain day with a per diem for additional days or it can give a payoff amount effective through a future date (often the end of the month). The closing agent will figure out the amount for the payoff as of the funding date plus 1 and then will add a few extra days cushion. Why? If FedEx is late, if the clerk at the bank doesn't process it, whatever, if the funds are insufficient, then your loan is not paid off until the bank gets that extra hundred fifty bucks you wouldn't let the closing agent send. You get additional per diems and alot of hassle. You blame the closing agent and the bank, they blame you. Fun all around. Of course if you send too much, the bank is supposed to refund you the difference and they will....eventually. I usually see 2-3 days extra after the settlement day +1, so 7 days is a bit much, but you will get the difference back and you will be reassured that enough money was sent to payoff the loan.

can not be proven as once you accept that offer, you would never know what subsequent offers would be. I hear it all the time and just laugh. Usually it is out of the mouth of the realtors, who indeed have a vested interest in you taking the "best" offer...... demerara, the reason we know statistically is because when "the first offer" doesnt go thru for whatever reasons, subsequent offers are lower. Could it be that usually its out of the mouth of a realtor, because the realtor has seen the history of such a situation? Believe it or not, most realtors do try to get their sellers the highest selling price. I think its really ironic that if a realtor recommends their seller take the offer, they get accused of trying to make a quick sale. If they try to negotiate higher for them, they get accused of being greedy and trying to get more commission money.

"And the re-fi's reset the 30 year clock if the purpose is to lower monthly payments to make them manageable or to just have more money in your pocket." I usually refi for the remainder of the present mortage. The latest refi was only 2 years in though, so it is another 30. Previous refis have been for 20 years on a mortage with 21 left. You can also keep making the larger payments at a savings in interest but a penalty in liquidity. It would be pretty risky to borrow in the future (at a likely higher rate) to invest the money elsewhere. For the time being I am just keeping the savings as cash.