Author Topic: Costco mortgages  (Read 1099 times)

oscarazocar

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Re: Costco mortgages
« Reply #10 on: February 14, 2020, 10:39:20 AM »
If you have stocks or cash that you can shift around, the way to get the best rate is through "relationship pricing" via the private bank arm of the major banks.  All the big banks have this (Citi, Wells, B of A, etc) and have gotten much more aggressive recently.  By moving $250k to $2m of assets over you can get up to 0.625% off the rate on a 30 year fixed loan.  A friend of mine got a 2.625% 30 year fixed with 80% down at Citi on a $1m+ mortgage this fall.  You explicitly only need to keep the money in the account for the closing and can transfer it out the next day, and the reduction is for the life of the loan.  You don't need to know anyone, you can just find a mortgage banker at the private bank (Google, or I can email you some names) and they will give you a quote in short order.

https://online.citi.com/US/JRS/portal/template.do?ID=relationship_pricing_landing
https://www.wsj.com/articles/when-lenders-take-relationship-pricing-to-the-next-level-11564047003


fareastwarriors

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Re: Costco mortgages
« Reply #11 on: February 14, 2020, 12:08:56 PM »
If you have stocks or cash that you can shift around, the way to get the best rate is through "relationship pricing" via the private bank arm of the major banks.  All the big banks have this (Citi, Wells, B of A, etc) and have gotten much more aggressive recently.  By moving $250k to $2m of assets over you can get up to 0.625% off the rate on a 30 year fixed loan.  A friend of mine got a 2.625% 30 year fixed with 80% down at Citi on a $1m+ mortgage this fall.  You explicitly only need to keep the money in the account for the closing and can transfer it out the next day, and the reduction is for the life of the loan.  You don't need to know anyone, you can just find a mortgage banker at the private bank (Google, or I can email you some names) and they will give you a quote in short order.

https://online.citi.com/US/JRS/portal/template.do?ID=relationship_pricing_landing
https://www.wsj.com/articles/when-lenders-take-relationship-pricing-to-the-next-level-11564047003

+1

My friend did that with Citi recently. I don't remember the rate but it was a lot lower than she can get everywhere else publicly.

SharperDingaan

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Re: Costco mortgages
« Reply #12 on: February 14, 2020, 12:50:19 PM »
There are alternatives, with a lot less fuss. https://www.lendingloop.ca/lenders
It is also a Toronto based company, and the only one of its type approved by regulators to operate in all provinces of Canada.
The loans/payments are processed on a blockchain via smart contract, using Etherium registry token.

Not your grandpa's lending, and not your dad's either!

SD
 

fareastwarriors

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Re: Costco mortgages
« Reply #13 on: February 14, 2020, 12:52:38 PM »
There are alternatives, with a lot less fuss. https://www.lendingloop.ca/lenders
It is also a Toronto based company, and the only one of its type approved by regulators to operate in all provinces of Canada.
The loans/payments are processed on a blockchain via smart contract, using Etherium registry token.

Not your grandpa's lending, and not your dad's either!

SD

Isn't this for business only?

SharperDingaan

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Re: Costco mortgages
« Reply #14 on: February 14, 2020, 01:04:17 PM »
Any lender to any borrower.
Most of the individual lending/borrowing is for amounts < 7,500.  The two owners are also about 30, and built the platform in their 3rd year of business school. And not Harvard, or MIT etc., but the way more humble University of Western Ontario.

SD

Spekulatius

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Re: Costco mortgages
« Reply #15 on: February 14, 2020, 03:17:06 PM »
The slightly higher rate is norm. 

Know someone who's bank does this, I think it's a $400 flat closing fee.  Bumps the rate 1/8th of a percent.  Said he earns his fees back in 6mo.  More of a commentary on the US consumer over anything else that they'd rather save a little upfront and pay a little more for 20-30 years.

Yes, but you have the optionality to refinance over and over again at virtually no cost.  I just refinanced mine for 3.375% and minimal cost. My last refinance was last year, same thing. I refinance every half % rate change.

Itís so easy now, from start to finish in 8 days
Life is too short for cheap beer and wine.

LC

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Re: Costco mortgages
« Reply #16 on: February 14, 2020, 04:09:05 PM »
The slightly higher rate is norm. 

Know someone who's bank does this, I think it's a $400 flat closing fee.  Bumps the rate 1/8th of a percent.  Said he earns his fees back in 6mo.  More of a commentary on the US consumer over anything else that they'd rather save a little upfront and pay a little more for 20-30 years.

Yes, but you have the optionality to refinance over and over again at virtually no cost.  I just refinanced mine for 3.375% and minimal cost. My last refinance was last year, same thing. I refinance every half % rate change.

Itís so easy now, from start to finish in 8 days

Really? Do you mind who you used? I refinanced recently and it took a damn month with some (unbeknown to me) Mickey Mouse shop.
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CorpRaider

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Re: Costco mortgages
« Reply #17 on: February 19, 2020, 08:14:56 AM »
I looked into the Costco thing a few years back.  Wasn't favorably impressed.  Found a better rate (counting points) elsewhere (smaller broker).  Also got several annoying calls from two lenders via the program.