Financing Specialist Expertise Needed
Can anyone explain the difference between a COSI, COFI, and a CODI type of loan?
I have an acquaintance that has a CODI on a secod and really had no idea how to explain it to me. From what they did know is that the loan could have been better if it was a COFI???
Thank you for any light that is shed.[ Edited by JohnLocke on Date 09/13/2004 ]
I found this within 2 minutes of searching....google is wonderful *hint* *hint*
CODI (Certificate Of Deposit Index)
The Cost Of Deposit Index (CODI) is a twelve-month moving average of the three-month certificates of deposit index, as published by the Federal Reserve Board
COFI (Cost Of Funds Index)
Cost Of Funds Index known as the COFI. Calculated and published by the Federal Home Loan Bank of San Francisco since August 1981, the COFI reflects the actual interest expenses for savings and checking accounts incurred during a given month by all savings institutions headquartered in Arizona, California, and Nevada – the three states that make up the 11th District of the Federal Home Loan Bank System.
COSI (Cost of Savings Index)
COSI loans are typically adjustable-rate mortgages priced at a spread to the Cost of Savings Index. COSI measures the average interest rate paid to depositors on checking, savings and CDs. It's not as volatile as other indexes used in pricing adjustable-rate mortgages, so it should lag movements in the other indexes
Google is a very efficient search engine, I agree. Thanks for sharing the definition of the the terms.
It is as clear as mud to me now. I was looking for someone to share insigt on their mechanics to a second mortgage.
Have a splendid day.
BDKoz,,
HOw about being appreciative that myfrogger spent time out of his day at no cost to you to give you info you could easily find on your own. He didn't have to do that, and maybe NO ONE should with your attitude.
Since you are so ungrateful, you should expect to get that back in return, go figure it out yourself........
Sorry you took it that way. Clear as mud means I do not understand the programs. Are you versed in this type of financing? Do you think they would be good to do if you rehab to rent?
Have a great day.
BD,
None of these are lending programs. If you get an adjustable rate mortage then there must be some method for determining what the adjustments will be. Each of these are different indexes which a lender can tie the rate adjustments to.
Mark
OK. I have a hard time understanding the so many different types of programs there are and I am afraid to make a wrong decision and being not versed I get very confused.
Thanks.
Typically these are not used as indexes for second mortgages. If you are looking to purchase or refi a first, personally I have the MTA index on both of my properties, and find it to be a wonderful savings. All indexes you mention plus the MTA are less volatile than treasury.
Talking to a good mortgage broker should also give you insight.
A second mortgage is usually one of two things fixed rate or a home equity line. A home equity line is based on prime plus. The plus is determined by LTV and credit score
Lori
[addsig]
Nobody leaving and 800 to 1,000 new people moving into the state every day. Retail sales still holding up.
Believe it or not this is still paradise.
Come on down! Herb, WPB, FL
People ARE leaving. The investors and realtors are the ones saying there's no problem. This too will change.
And thanks for the invitation, but I was just there, looking for deals. Based on what my eyeballs told me, rather than what my ears were being told/sold, I think I'll stay on high ground, and away from hurricane row.
Speaking of hearing, did you hear that hurricane Jeanne is headed toward Florida today? And Ivan is coming back around to the Gulf side?
Check the weather channel, think about it, and project out a year to what these increased hurricanes will do to the sunshine state. Mother Nature always wins.
i dont mean to be rude MarleneM, and If I come across that way, I am sorry . but I would rather live in florida any day before I think of california.
[ Edited by jameel99 on Date 09/23/2004 ]
Yep, investors DO NOT COME TO FLORIDA, there are no deals to be had here, the sky is falling, retailers don't even take american money anymore, rent is free everywhere, there are no refridgerators to keep meat fresh...
I have not seen one drop in rent or prices or projected population, if you see some, would like to see it.
Actually, rentals are in higher demand as are mobile homes as those that were displaced are looking for new units and or rental places.
I understand that is difficult to not be sarcastic or rude, and have a reasonable discussion.
I hate to be a pessimist, particularly because my own mother is within a few hundred feet of the Atlantic (precisely 18 feet above sea level -I recently measured it myself.)
I posted to this topic because I've only heard the positive side of investing in Florida recently, and thought someone ought to at least voice the other side. What if the meterologists are right, and we will be having severe hurricanes for at least another decade?
Do you honestly think older people will stick around? If not, where will they go? Seems to me that a serious consideration of ALL the facts and related possibilities will make for some terrific investor opportunities. That's what I'm thinking about these days.
If you choose to yuk it up and enjoy the short term, all I can say is good luck. Hurricane Jeanne ought to be arriving within days.