Are these NPNC Fees Reasonable

From: <Camil@concentric.net>
Subject: Are these NPNC Fees Reasonable
Date: Thu, 12 Nov 1998 14:51:41 -0500 (EST)

Next Article (by Author): landlord URL's ANDREA WELCH
Articles sorted by: [Date] [Author] [Subject]

Dear Persfin Members:

I have a 30 year Mortgage that was Just bought by PNC Mortgage Corp.
I have 25 years left with a balance of approximately 98,000.  My current
interest rate is 8.125%.  I asked PNC could they refinance my Loan
in house without any closing cost and Points.  They could refinance the loan
today 10/12/98
at 7.25 % with the following Fees.

$500.00 out of pocket fees:
   * covers cost of application, appraisal and Lock in Fee.
   
0.25% ($245) origination fee ( I still don't know what this is)

$375.00 Attorney Cost.

Total $1120.00

My Questions are:

 1.  Are these fees above reasonable for refinancing a NPNC mortgage ?

 2. Is 7.25 a good interest rate to refinance a 8.125 interest mortgage ?
       This would give me a annual savings of about 600.00 per year.

 3. In refinancing my 30 year mortgage in which I have paid 5 years into,
should
     I get a new mortgage with a lower rate for the 25 years or should I
refinance for
     30 years ?

 4.  Is there ever a situation you would refinance a mortgage for a longer
period than you
      have left of your you current mortgage, even if the NEW  interest rate
is lower ?  IF so why ?

 5. Based on the Prime Interest rate at anytime what would be considered a
good and fair mortgage loan rate ?
      Prime + ? 

  


- -

Next Article (by Author): landlord URL's ANDREA WELCH
Articles sorted by: [Date] [Author] [Subject]

Go to Jeff Salisbury LWGate Home Page.