Thursday, April 26, 2012

Costco now offering mortgages!

Are you a member of Costco?  They now offer mortgages!  I read about this today on CNN Money and liked the idea.  Rates are super low right now and I'd have to agree with the article when it says it is probably best for those who want to refi and drop their payment.  Would I use this service?  Yes, I would.  Who doesn't want to get lender quotes without having to call each and every one and feel them out for rates and closing costs.

One thing I'd definitely suggest is that you look up the assessed value of your home since many Americans are underwater.  When we last checked into refinancing, a bank looked up our value and we were pretty much a couple thousand under water if they used assessed value (bear in mind, that's not market value necessarily) so we were advised to hang tight for now.  Lending restrictions are definitely tighter, so your mileage may vary.  Still, it's worth the time to check out all of your options.  You might not think a 1/4 or 1/8th of a point interest is a lot of money, but over the long haul, it's a significant amount of dough! 

What do you think of this service offered by Costco? 

1 comment:

Chris said...

Interesting. But, the man they focused on really has me puzzled. He refi'd his 15 year mortgage to a 30 year?????