Posted on: 09th Sep, 2009 04:42 pm
wondering if we would qualify for refinance at 125 % of the value of our home? we just were discharged from chapter 13 bankruptcy in january of 2009. after paying off 75,000.00 back. we also took out a second mortgage at 125 % of the value of our home in 2003. we owe 197,000.00 $ dollars on this house. which i would guess this house is only worth 150,000.00 in the present market. the only problem is my husband is currently unemployed after being laid off oct 2008 to may of 2009. he was then laid off again august 3 of 2009. i am trying to pay everything on my own. my second mortgage is at 10 % interest rate. thank you for your time.
christy slater
christy slater
Probably you may want to check with your bank for loan modification
hi christy,
you will not be able to qualify for a refinance at present. the reason i say this is, you have just been discharged from bankruptcy and most lenders would want you to wait for about 2 years before applying for a new credit. moreover, your husband is not employed at present. looking at these factors, it does not look like you or your husband can qualify for a refinance.
however what you can do is, you can check out with your lender if you qualify for a loan modification. it can reduce your monthly loan payments and help you afford your existing mortgages. you should contact the loss mitigation department of your lender and send them a hardship letter requesting them to modify your loans.
you will not be able to qualify for a refinance at present. the reason i say this is, you have just been discharged from bankruptcy and most lenders would want you to wait for about 2 years before applying for a new credit. moreover, your husband is not employed at present. looking at these factors, it does not look like you or your husband can qualify for a refinance.
however what you can do is, you can check out with your lender if you qualify for a loan modification. it can reduce your monthly loan payments and help you afford your existing mortgages. you should contact the loss mitigation department of your lender and send them a hardship letter requesting them to modify your loans.
you can calculate how much you alone can afford.
i would suggest you to continue with present mortgage till conditions are not in your favour.
you can write hardship letter to your present mortgage lender and request him to waive off the difference. new lender will never accept this offer.
i would suggest you to continue with present mortgage till conditions are not in your favour.
you can write hardship letter to your present mortgage lender and request him to waive off the difference. new lender will never accept this offer.