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BTW, we were thinking about refinancing his personal home. It is a VA loan and at 4.375%. Do VA loans always have a bit higher percentage rate than conventional or other types? Does the Government/VA determine the loan rate or is it more "open market"? I was told by the current lien-holder that VA loans are higher.

My BF (we live together but he owns the house alone) is locked on a VA streamline refi (high-cost area and 88-89% LTV) at 3.75% with a rebate of 1.625 points. The rebate was 1.875 pts but he took a hit of .25 pt to the rebate because he was just under the highest credit score tier.

So he's basically getting his rate dropped from 4.125% to 3.75% and getting 1.625 pts to use toward the costs and prepaids. I'm waiting to hear back from the mortgage guy as to whether rates have dropped any further since he locked on 9/10 (.35 pts relocking or float down fee).

Good luck to your dad on his refinances!
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