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Dani00518
Gorgeous
Member since 5/05 2730 total posts
Name:
Danielle
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Those that refinanced recently...I Need your help ASAP....
We were set to close this week on our refinance and all of a sudden our good faith estimate changed drastically and I am ready to walk away....I'm starting to feel like I am getting scammed. So anyway, I have a couple of questions......if you did escrow taxes (in NY, Nassau county) how many months did they require? Also, don't they wave the NY State Tax on a refinance? What other fees did you pay? I see the following fees in addition to the NY State tax of 4,341.00:
Closing fee $350
Title Insurance Binder $$850.00
Attorny Fee $500
Recording Fee $250
Thanks!
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Posted 1/15/10 7:54 AM  |
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lululu
LIF Adult
Member since 7/05 9511 total posts
Name:
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Re: Those that refinanced recently...I Need your help ASAP....
The taxes will just be a timing difference. The re-fi will not affect what you actually pay in taxes for the year. Does that make sense? So no matter what they make you bring to closing you would have had to pay anyway or you will get it back.
As for the other fees, they all sound about right. I think that overall it cost us about $3k out of pocket to re-fi.
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| Posted 1/15/10 7:56 AM |
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Dani00518
Gorgeous
Member since 5/05 2730 total posts
Name:
Danielle
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Re: Those that refinanced recently...I Need your help ASAP....
Posted by lululu
The taxes will just be a timing difference. The re-fi will not affect what you actually pay in taxes for the year. Does that make sense? So no matter what they make you bring to closing you would have had to pay anyway or you will get it back.
As for the other fees, they all sound about right. I think that overall it cost us about $3k out of pocket to re-fi.
What about NY State Tax?
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| Posted 1/15/10 8:07 AM |
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Deeluvsvinny
DONE
Member since 10/08 4952 total posts
Name:
Whatever
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Re: Those that refinanced recently...I Need your help ASAP....
For NYS tax- I am assuming you mean mortgage tax. You do have to pay this again if you did not do a CEMA (Consolidation, Extension, Modification Agreement). Then you would have only paid tax on the difference of the old money (principal balance owed) and the new money (mew mortgage amount). I would ask the attorney/mortgage person why they didn't do a cema. Where is the property??
Also, for the property taxes..when are yours due? When is the closing? They usually hold 2-3 months in reserves, but if say your taxes are due within the next month or so, they would collect the full amount up front at closing pplus the 2-3 months reserves. However, if you escrowed for taxes in your old mortgage, they probably have the same amount in escrow and you will get that back from them after the closing. I would call the old mortgage co and ask how much they have in escrow.
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| Posted 1/15/10 9:53 AM |
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Dani00518
Gorgeous
Member since 5/05 2730 total posts
Name:
Danielle
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Re: Those that refinanced recently...I Need your help ASAP....
Posted by Deeluvsvinny
For NYS tax- I am assuming you mean mortgage tax. You do have to pay this again if you did not do a CEMA (Consolidation, Extension, Modification Agreement). Then you would have only paid tax on the difference of the old money (principal balance owed) and the new money (mew mortgage amount). I would ask the attorney/mortgage person why they didn't do a cema. Where is the property??
Also, for the property taxes..when are yours due? When is the closing? They usually hold 2-3 months in reserves, but if say your taxes are due within the next month or so, they would collect the full amount up front at closing pplus the 2-3 months reserves. However, if you escrowed for taxes in your old mortgage, they probably have the same amount in escrow and you will get that back from them after the closing. I would call the old mortgage co and ask how much they have in escrow.
The property is in merrick.....My current bank has about 3700 in escroe right now......and as for the mortgage tax.....my original loan was for 417 and this loan amount is for the same.
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| Posted 1/15/10 10:22 AM |
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2kids2cats
My babies
Member since 6/05 5229 total posts
Name:
f
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Re: Those that refinanced recently...I Need your help ASAP....
Our refinance through the broke we used originally was a disaster to say the least. Our total cost was supposed to be about $7,000 tops...well the day before closing she emailed me and said, have a certified check for $13,480. I almost had a heart attack.
I called and flipped out and she said due to the closing day they added the next month of escrow or something and taxes...I was FURIOUS!!
We got back abut $4,000 from our previous escrow but I still feel she totally lied to us knowing exactly what the costs would have been. We ended up saving over $600 a month so we followed through with it but I gave her a piece of my mind after the closing and would recommend that a person go directly to the bank when refinancing and remove the middle man.
Those added costs on yours are not outrageous...but just make sure you read all the fine print. Good luck!
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| Posted 1/15/10 12:35 PM |
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Mommy2Boys
My Boys!!!!
Member since 6/06 14437 total posts
Name:
C
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Re: Those that refinanced recently...I Need your help ASAP....
To refi $400k it came to about $6500 BUT we had to pay taxes which we weren't aware of so it added an additional $4,800k  The title co. told us any taxes due within 3 mo. of refinancing have to be paid at closing.
ETA: They over estimated my taxes for the year so I got a check back for the difference.
Message edited 1/15/2010 12:44:19 PM.
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| Posted 1/15/10 12:43 PM |
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ave1024
I Took The Wrong Road
Member since 12/07 6153 total posts
Name:
That Led To The Wrong Tendencies
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Re: Those that refinanced recently...I Need your help ASAP....
Posted by Dani00518
The property is in merrick.....My current bank has about 3700 in escroe right now......and as for the mortgage tax.....my original loan was for 417 and this loan amount is for the same.
The amount they require to put in escrow is not really that big of a deal because its technically "your money". So you shouldn't really factor that into your closing costs.
If they are requiring you to put in say $6000 in escrow, realize that after you refinance you will be getting a check from the old bank for $3700. So that's only a $2300 difference in that scenario.
Why are you escrowing taxes? Why not just do the re-fi and pay the taxes on your own?
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| Posted 1/15/10 12:48 PM |
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ave1024
I Took The Wrong Road
Member since 12/07 6153 total posts
Name:
That Led To The Wrong Tendencies
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Re: Those that refinanced recently...I Need your help ASAP....
Also realize that if you decide to walk away, the bank will most likely charge you for any expenses they paid up until this point. Like the title fees, appraisals, application fees, etc.
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| Posted 1/15/10 12:49 PM |
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-Lisa-
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Member since 5/05 6530 total posts
Name:
Lisa
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Re: Those that refinanced recently...I Need your help ASAP....
we were able to waive the NYS tax on our refi, by using the same lender. If you change banks, you have to pay that tax again.
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| Posted 1/15/10 12:53 PM |
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Deeluvsvinny
DONE
Member since 10/08 4952 total posts
Name:
Whatever
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Re: Those that refinanced recently...I Need your help ASAP....
Posted by -Lisa-
we were able to waive the NYS tax on our refi, by using the same lender. If you change banks, you have to pay that tax again.
Not necessarily true. You can change banks and save the NYS mortgage tax. You can also still be charged the mortgage tax if you stay with the same bank. It really depends on if you do the CEMA.
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| Posted 1/15/10 1:25 PM |
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Deeluvsvinny
DONE
Member since 10/08 4952 total posts
Name:
Whatever
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Re: Those that refinanced recently...I Need your help ASAP....
Posted by Dani00518
Posted by Deeluvsvinny
For NYS tax- I am assuming you mean mortgage tax. You do have to pay this again if you did not do a CEMA (Consolidation, Extension, Modification Agreement). Then you would have only paid tax on the difference of the old money (principal balance owed) and the new money (mew mortgage amount). I would ask the attorney/mortgage person why they didn't do a cema. Where is the property??
Also, for the property taxes..when are yours due? When is the closing? They usually hold 2-3 months in reserves, but if say your taxes are due within the next month or so, they would collect the full amount up front at closing pplus the 2-3 months reserves. However, if you escrowed for taxes in your old mortgage, they probably have the same amount in escrow and you will get that back from them after the closing. I would call the old mortgage co and ask how much they have in escrow.
The property is in merrick.....My current bank has about 3700 in escroe right now......and as for the mortgage tax.....my original loan was for 417 and this loan amount is for the same.
You really shouldn't be paying any mortgage tax or much anyway. Are you sure you are paying it? Also, tax escrows are not closing costs...what are the total fees you are paying?
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| Posted 1/15/10 1:27 PM |
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hazeleyes33
LIF Adult
Member since 5/05 13060 total posts
Name:
Ginger
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Re: Those that refinanced recently...I Need your help ASAP....
Why are you escrowing taxes? Why not just do the re-fi and pay the taxes on your own?
ITA with you as we just refinanced and are doing our own taxes so the mortgage company is not making money off of my money, I am :)
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| Posted 1/15/10 2:32 PM |
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Dani00518
Gorgeous
Member since 5/05 2730 total posts
Name:
Danielle
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Re: Those that refinanced recently...I Need your help ASAP....
What really is pissing me off is that initally they were only requiring 3 months of taxes escrowed.......now they want 8.....I understand it's tax money but thats alot to throw down all at once when you taxes are 12,000.
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| Posted 1/18/10 2:15 PM |
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