Refinancing Answers

The question…
“I’m in the process of refinancing my house into a lower interest rate and taking out the equity. The title search listed a lien from Mellon Bank. This was a line of credit loan taken out in 1992.
In 2001 we filed bankruptcy & Mellon Bank was notified of the bankruptcy. The house was [...]

Here’s the entire question…
“A friend of mine is in a serious situation. She is strongly considering intentionally defaulting on her mortgage payments in order to be able to move out of her current State. What’s worse is that she is considering obtaining a cash-out refinance on her home before intentionally defaulting. What are the [...]

Here’s the question…
“I live in FL and currently have a fixed rate mortgage with Accredited Home Lenders. I have been contacted by PrimeLending (a PlainsCapital company), saying that they have a “partnership” with AHL and would like to see about moving me into a lower interest rate loan. AHL would pay my closing costs, waive [...]

I’ll reprint the whole question as asked:
“I am getting divorced and have a quick claim deed on my home from my former spouse.. Can I refinance the house and get the formerly joint mortgage in just my name without any additional paperwork. I live in Florida.”
Yes, the “Quit Claim Deed”…not “quick”…everyone makes that mistake…so no [...]

Here’s the readers quesiton…
“We have Wachovia as our lender. We have to stay in our loan until another 10 months or we get hit with a $5,000 fee. I was wanting to refinance b/c we have 2 loans, one for $19,??? and the other for $78,???. Our payment is $916 a month and only $69 [...]

I truncated the whole question down to make for a readable headline, but let me repost it in it’s entirty now before I answer.
“Do I have to go through with my refinance? It is currently in underwriting now. I was told that the lender is going to be Countrywide. I was locked in at 6%. [...]

Here is the question before I answer..
“I have a situation specific refinance question. I purchased a home in CA in 2004 for approx $600k using a 5/1 ARM with a 3.875 percent rate putting $60K down.
In the interim my family had an unexpected financial strain and depleted a HELOC in the amount of $250k.
At this [...]

Maybe.
If your home was worth say $300,000 and now its worth $240,000 with a mortgage of about $200,000, you could since your mortgage is still less than the value.
But my guess is your question, was really more along the lines of, “Can I refinance when my mortgage is greater than my home’s value.”
This state [...]

I would need additional information to give more specific advise on a cash-out refinance to pay for home improvement, but I’ll try without it.
First, a first mortgage cash-out refinance should most likely be avoided since the loan amount will be much bigger than the cash needed and therefore all the costs will be correspondingly bigger [...]

Interesting question:
“I am in the midst of a refinance. I am completing a modified loan on my previous mortgage and that ends on 7/14. I wish to refi - paying off present mortgage and a credit line of $16,000 loan plus about 4,000 in cash. New rate will be 5.6 percent with another provider. Did [...]

I get this question all the time so it about time I answer it for all to see. And the answer is - It “depends”.
It depends on:
Where do you think real estate values for your home will be in 3 years…high than now or lower?
What if home values in 3 years are lower…could you [...]

Question in total republished:
“I owe less then my home in Michigan is worth and now want to buy a home in North Carolina. Can I get a consolidation loan combining my old house AND a new house in order to allow more time to sell the old one? Having two separate mortgage payments is too [...]

Currently (April of 2008), the 30 year fixed par rate, the rate a good shopper could get, is around 5.75%. This is a good rate to “fix in” for the long haul. Given our current administration “likes” the dollar at all-time lows, sooner rather than later, rates will have to rise.
Getting caught in an [...]

Let me reprint the whole question before answering.
“Mortgage just sold to another mortgage company. I have a 5/1 ARM set to adjust Nov 09. I have a HELOC with original loan company and I co-signed on a loan for my niece, bad I know. Mortgage at time of adjust should be 206,000, HELOC right now [...]

The rate doesn’t have to be effected at all. Simply use the chart below to determine the investment property adjustment or “add-on”…and pay it as discount points directly to the lender. The rate will remain par if you negotiated a par rate in the first place.
Investment Property Adjustments:

Here’s the whole question:
“I wanted to know if it was a good idea to consolidate my current mortgage and my home equity loan. I have a 30yr 5.875 mortgage with approximately $157K remaining. I pay about $500 extra a month on the principle so I pay this closer to a 15 yr schedule. My HE [...]

Here’s the scenario…then I’ll answer…
“I owe on my first mortgage $77,000.00 at a fixed rate of 5.25% ( it was a 15 year loan, Monthly payments of $1,180.00 I have around 8 years left to pay ). I also have a equity line of $100,000.00, I used $98,000.00 at a variable rate of 6% now, [...]