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Company Loan Type APR Est. Pmt.

refinance or second mortgage?

Posted on: 19th Jul, 2011 05:06 am
just bought a house last october for 287,000, the loan was 297,000. too soon to refinance or second mortgage? the interest is 6.5% and i need money my oldest will attend college in the fall! plan to keep the house for at least 10 years, if not more.

thanks
Annie, what I don't get is how you obtained a mortgage loan in the amount of $297K, yet you purchased the home for $287K. That's unheard of.

As for your intentions to take some money out of the "equity" - there is no equity based on what you've described. You owe more than the property is worth, and there's not a lender around these days who'll see fit to putting out more money in such a situation.

Are your numbers correct, or did you make a mistake?
Posted on: 19th Jul, 2011 07:18 am
If you have a fannie mae, or freddie mac loan, or an FHA loan, they do loans up to 125% but only for rate and term. You may be able to lower your payments. There is another company who is starting 125% seconds - cashcallmortgage...Never worked with them, and they are the company who used to do personal loans, now doing 1st and 2nd mortgages.
Posted on: 19th Jul, 2011 04:19 pm
The numbers don't make any sense so you need to review what you actually got.

Regarding equity, there is none available even if the numbers were reversed ($297,000 purchase price/$287,000 loan).
Posted on: 20th Jul, 2011 01:22 am
You've got the wrong numbers, it's not really possible. Can you review your figures so that we can have a closer look at your situation.
Posted on: 20th Jul, 2011 01:33 am
Hallelujah for a consensus.
Posted on: 20th Jul, 2011 11:49 am
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