Posted on: 05th Nov, 2010 03:25 am
i have a 30 year fha loan for 185000 at 5.5%. i have made payments for just over a year now at about 1150 a month.
i have an offer to refinance the fha loan. the mortgage company has offered to pay all closing costs and refinance at 4.375% my monthly pmi stays the same and my monthly p&i goes to 909.75. they said i will skip my december payment and january would be my first payment. also, they said my principal balance would be reduced by almost 1000 dollars and i will be receiving almost 1000 in cash.
should i refinance?
i have an offer to refinance the fha loan. the mortgage company has offered to pay all closing costs and refinance at 4.375% my monthly pmi stays the same and my monthly p&i goes to 909.75. they said i will skip my december payment and january would be my first payment. also, they said my principal balance would be reduced by almost 1000 dollars and i will be receiving almost 1000 in cash.
should i refinance?
recommendations?!!
Hi Guest,
If you're planning to stay in the property for a long period of time, then it will be a good option to refinance your mortgage. However, you should also take into consideration whether or not you'll be able to pay off the dues once you refinance the mortgage. If the payments are affordable for you, then you can go ahead and refinance the loan.
Thanks
If you're planning to stay in the property for a long period of time, then it will be a good option to refinance your mortgage. However, you should also take into consideration whether or not you'll be able to pay off the dues once you refinance the mortgage. If the payments are affordable for you, then you can go ahead and refinance the loan.
Thanks
jameshogg,
thanks for the reply. what do you ,ean when you refer to being "able to pay off the dues once you refinance the mortgage"? can you clarify? thanks!!!
thanks for the reply. what do you ,ean when you refer to being "able to pay off the dues once you refinance the mortgage"? can you clarify? thanks!!!
Hi Guest!
Welcome to forums!
Once you refinance the loan, you'll receive the cash proceeds. You can use this cash proceeds to pay off the existing mortgage.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
Once you refinance the loan, you'll receive the cash proceeds. You can use this cash proceeds to pay off the existing mortgage.
Feel free to ask if you've further queries.
Sussane
Sorry, but I've been in the business for years and I do a ton of FHA Streamlines.
The math you were given does not add up at all. Get a Good Faith Estimate and Truth in Lending Statement from at least 2 lenders.
On the mortgage insurance, the FHA mortgage insurance recently went up to .85%, so it will not stay the same. When you bought your home last year, the rate was lower. FHA guidelines change constantly.
Your Loan Officer is giving very bad info and it is inexcusable.
The math you were given does not add up at all. Get a Good Faith Estimate and Truth in Lending Statement from at least 2 lenders.
On the mortgage insurance, the FHA mortgage insurance recently went up to .85%, so it will not stay the same. When you bought your home last year, the rate was lower. FHA guidelines change constantly.
Your Loan Officer is giving very bad info and it is inexcusable.