This was an end of the year rate & term refinance for a past client. They had a fixed loan that was soon to roll to an adjustable rate mortgage with a big bump to the interest rate, which is why they asked if we could help get them locked into another 5 year fixed but with a favorable prepay period.
There were no real challenges to the transaction besides the fact that we had multiple borrowers which called out for lots more documentation to be collected and applications to be completed.
We Placed them into a 5 year interest only program, with a 3,2,1% prepay this way if the rates drop they can get out in 3 years or sooner with little prepay penalty. It got a little stressful at closing due to the Christmas holidays and borrowers travel plans. Nevertheless, the loan closed and we hope to be working with them again in the future.