Portfolio loans are held by the lender rather than sold on the secondary market. Point availability varies significantly by lender. Some portfolio lenders offer discount points, while others have fixed pricing without point options.
If points are available, the same break-even math applies. However, because portfolio loans often have more flexible underwriting, the rate structure may differ from conventional loans. Patrick Kevin Fagan helps clients explore portfolio loan options from lenders serving San Antonio and the Texas Hill Country.
Availability
Not all portfolio lenders offer discount points. Some lenders set a fixed rate for their portfolio products with no adjustment options. Others offer a full rate sheet with point pricing just like conventional loans. The key is to ask upfront whether points are available. Patrick Kevin Fagan helps San Antonio borrowers find portfolio lenders that match their needs.
Variations
Portfolio loan pricing varies more than conventional loan pricing because there is no standardized secondary market. Some lenders offer aggressive point pricing to attract borrowers, while others offer limited adjustment options. Shopping multiple portfolio lenders is essential. Patrick Kevin Fagan helps clients compare portfolio loan options from different lenders.
Alternatives
If points are not available on a portfolio loan, consider alternative strategies. A larger down payment may lower the rate. Adjustable-rate portfolio products may offer a lower starting rate. Compare the total cost across options. Call 210-317-6514 to discuss your portfolio loan situation with Patrick.
