Posted on: 09th Sep, 2009 09:29 am
should i refinance my mobile home loan or just let them have it. my interest rate is 17%. i have a double wide mobile home, year 1998. we have been in it since 2002. we have been late serval times on the loan but are now current. our interest rate is 17%. the purchase price was $41,000. our pay off balance isstill over $40,000. my payment each month is $714. we average paying over $7,000 in interest each year. we tried to refinance with company, but the new rate was only .5% less than the current rate. i felt this was a slap in the face. i want to get out of this loan but i don't know what to do. should i let them foreclose, try to short sell, or what. because i do not want to continue to pay for something that i will never be able to pay off. with the amount od money i am paying, i could be making a payment on a real house. please help.
Hi,
I'm surprised that you've been paying 17% interest rate on your mobile home loan!! A 17% interest rate is way too much and it is ridiculous that the lender offers you an interest rate 0.5% less than the current one on refinancing.
You should refinance the loan immediately...not with your current mortgage holder, but with some other lender. The current market rates are quite low. If you have a decent credit, you ought to be able to get an interest rate of around 5-6%. What is your middle score? Do you have any negative items on your credit? How many late payments have you had so far?
Letting the lender foreclose on the property will not be the best option as it will damage your credit and ruin your chances of getting a new loan in future. You should first try to refinance the loan with some other lenders and see if they can offer you a loan at prevailing market rates. In case, you do not qualify for a refinance, you can look to short sell the house. If none of these options work, then only you should think of doing a foreclosure on the home.
I'm surprised that you've been paying 17% interest rate on your mobile home loan!! A 17% interest rate is way too much and it is ridiculous that the lender offers you an interest rate 0.5% less than the current one on refinancing.
You should refinance the loan immediately...not with your current mortgage holder, but with some other lender. The current market rates are quite low. If you have a decent credit, you ought to be able to get an interest rate of around 5-6%. What is your middle score? Do you have any negative items on your credit? How many late payments have you had so far?
Letting the lender foreclose on the property will not be the best option as it will damage your credit and ruin your chances of getting a new loan in future. You should first try to refinance the loan with some other lenders and see if they can offer you a loan at prevailing market rates. In case, you do not qualify for a refinance, you can look to short sell the house. If none of these options work, then only you should think of doing a foreclosure on the home.
is it more beneficial if i refianance?