Please explain this to me

[iris lilies]

As I understand it, Borrower A may or may not pay higher mortgage fees than Borrower B, it will now depend upon a variety of factors such as credit score, loan to value, debt to income and loan purpose, etc., which can change a borrower's basis points by 100 or more.

In a theoretical estimation I saw from a mortgage broker online, someone applying for a $400,000 mortgage with a credit score of 740 and 20% cash down payment would see their fees increase from around $2000 to about $3500. Someone applying for the same mortgage amount with a credit score of 640 and 3% cash down payment would see their fees decrease from around $11,000 to about $6,000. A borrower with a credit rating in the 500's may see their fees decreased even more as there seems to be a matrix involved that scores those borrowers in order to come up with an appropriate fee, although I've not seen it published anywhere.

So, Borrower A wouldn't necessarily pay more in mortgage fees than Borrower B, but would certainly be paying more in order to subsidize Borrower B. It's called a loan level pricing adjustment, but it's historically been better known as Robbing From Peter To Pay Paul.

I enjoy a credit rating in the mid 830's. If I were Borrower A in the theoretical I mentioned, I wonder how much higher my increase might be?

oh I agree that Biden has changed the formula so that more responsible people are now shouldering a bigger percentage
of the loan costs than they paid in the past. I wanted to see if they are paying in actual dollars more now than the less responsible people.

It both theoretical borrowers have exactly the same metrics (same down payment, same loan to value etc) it seems from your explanation that the responsible guy will still pay less, based entirely on his credit score.

Thanks! I do not like this shift of course but what are ya gonna do? It could be worse, those with better credit s ores could be penalized in actual dollars.

[littlebittybobby]

Okay----Faux, though you didn't specifically axe me dat quession, I will attempt to give the definitive answer. So yeah---you may or may not pay more or less. It's just kind of a crapshoot. Hope that helps you some. Thankk Mee.

[iris lilies]

I had several questions this week, but I couldn’t find this thread, and now I forgot my questions. I’ll probably think of them again.

[iris lilies]

This is an idle question probably no one here has the interest in it, but I’ll give it a try:


Can anyone give me a way to think about Mercedes-Benz car models that allow me to sort out the logic of all their letters and numbers? I cannot make sense of the Way they name models of cars.

just when I think I’ve identified the Mercedes-Benz I really like and might consider buying in the future, it seems to go away. And then there’s a whole slew of new models with new confusing class letters and numbers and suffixes.

It seems like such a Boys’ Club, Mercedes Benz dealing.

[ToomuchStuff]

D in the number means diesel.

[Alan]

From Mercedes Benz:

• S-Class: “Special” Slass (from the German word “Sonderklasse”)
• E-Class: Executive Class (denotes mid-size car models)
• C-Class: Comfort Class (denotes compact car models)
• A-Class: No historical meaning (but refers to sub-compact and hatchback model)
• G-Class: Off-road vehicles (from the German word “Geländewagen”)
• CLA-Class: Refers to an A-Class based coupe design
• GLB-Class: Refers to a B-Class (not sold in Canada) based design
• GLA-Class: Refers to an A-Class based lightweight SUV
• GLC-Class: Refers to a C-Class based compact SUV
• GLE-Class: Refers to an E-Class based mid-size SUV
• GLS-Class: Refers to an S-Class based SUV with the finest the brand has to offer

The numbers typically reflect the gasoline engine displacement or performance level, providing a glimpse into the car's capabilities. For example, a Mercedes-Benz E 350 would suggest a model from the E-Class with a 3.5-liter engine.

[iris lilies]

From Mercedes Benz:

• S-Class: “Special” Slass (from the German word “Sonderklasse”)
• E-Class: Executive Class (denotes mid-size car models)
• C-Class: Comfort Class (denotes compact car models)
• A-Class: No historical meaning (but refers to sub-compact and hatchback model)
• G-Class: Off-road vehicles (from the German word “Geländewagen”)
• CLA-Class: Refers to an A-Class based coupe design
• GLB-Class: Refers to a B-Class (not sold in Canada) based design
• GLA-Class: Refers to an A-Class based lightweight SUV
• GLC-Class: Refers to a C-Class based compact SUV
• GLE-Class: Refers to an E-Class based mid-size SUV
• GLS-Class: Refers to an S-Class based SUV with the finest the brand has to offer

The numbers typically reflect the gasoline engine displacement or performance level, providing a glimpse into the car's capabilities. For example, a Mercedes-Benz E 350 would suggest a model from the E-Class with a 3.5-liter engine.

Hmmm, ok thanks but It is not shedding light on the thing I’m looking for. There’s a really hot looking sporty car that is gorgeous, I was thinking it is “CLK” But maybe not. Then there’s that little sports car they stopped making about 2017, I had my eye on that one for a long time.

Then there was the SLK’s (?) sport cars of yesteryear. Is still very confusing. so maybe it is a S car, the ?special car.

But if you want me to explain Girl’s Club stuff to you such as diamond grading, I would be happy to tell you what G VVS2 means in the GIA world.

[Alan]

Hmmm, ok thanks but It is not shedding light on the thing I’m looking for. There’s a really hot looking sporty car that is gorgeous, I was thinking it is “CLK” But maybe not. Then there’s that little sports car they stopped making about 2017, I had my eye on that one for a long time.

Then there was the SLK’s (?) sport cars of yesteryear. Is still very confusing. so maybe it is a S car, the ?special car.

But if you want me to explain Girl’s Club stuff to you such as diamond grading, I would be happy to tell you what G VVS2 means in the GIA world.

I believe they changed/updated their naming conventions around 2016 or so and what I posted above only relates to current models. I remember the SLK, SLA and several other models but have no idea how some of those models correlate to current. Sorry...and let's not even get into the AMG, Maybach and current EV models.

[ToomuchStuff]

https://en.wikipedia.org/wiki/Mercedes-Benz_CLK-Class

[iris lilies]

I believe they changed/updated their naming conventions around 2016 or so and what I posted above only relates to current models. I remember the SLK, SLA and several other models but have no idea how some of those models correlate to current. Sorry...and let's not even get into the AMG, Maybach and current EV models.

You mention the AMG, and I think that’s the one I saw in a parking lot that made me want it.