Quote:
Originally Posted by spazzyfry123
Very direct and transparent. I had a conversation with each of the lenders to highlight their shortcomings as it relates to their competition. I then took all of the disclosures (five lenders in total) in a zip file and sent it to each of the lenders after the conversation. By them having full disclosures in writing, they were able to use that as "ammo" with management to justify altering their offerings. I did this all in one day and gave them a timeline to provide their absolute best offer by with the understanding that the best overall package will be getting my business.
This ended up reducing what was my best closing costs by about $12k and what was my best rate by about 2%. Fixed monthly costs are reduced enough to tack on another car payment if we wanted (we don't  ) and upfront closing cost reduction will just be more money towards equity.
Only way to negotiate interest rate will be with a portfolio-based lender or some creativity with someone buying points - but I was adamant to keep the build and the financing separate to avoid missing opportunities to negotiate the build itself. We've probably knocked off at least $50k at this point in addition to the reduction of recurring interest charges. |
Brilliant. Thanks! I do that with car dealers, so why did it never dawn on me to do it here. I think this whole air of “you are lucky we would even consider loaning you money for construction” threw me off my game.