Posted on: 16th Jan, 2010 12:48 pm
hello,
i have been waiting for the 'perfect' time to refinance and now i think i waited too long and missed the criteria that i set as a 'go' point. i am trying to make the 'best' option scenerio available now and would like to ask for your input. my situation is as follows...
i am in a home i purchased 3 years ago for 140,000. it appraised at 174,00 then. i financed through chase @ 7% for 30 years. i was in a rush to get done because the property was part of an estate being divided by my wife's siblings. i later found out that chase added 120.00 a month for pmi. i tried unsuccesfully to have them drop the pmi after i had the house re-appraised a year later for 200,000 after several thousand dollars worth of improvements to the property. around 1 1/2 years ago i opened a second mortgage for 40,000 to pay for more upgrades and to pay off credit card dept. now the house has declined in value to around 175,00 from a high of 212,00. i would like to refinance at a lower rate but my balance of both loans is more than the appraised value. is it possible to at least re-finance the first mortgage at a lower rate and then attack the 2nd at a later date. the 2nd is at 13% because i had planned on refinancing both loans into a new first the following year. my income is 125,000 annually and besides my mortgage pmts of 1200.00 and 500.00 i have about 1000.00 in cc and auto pmts. my credit score is around 680-700
what do you think my best option is?
i have been waiting for the 'perfect' time to refinance and now i think i waited too long and missed the criteria that i set as a 'go' point. i am trying to make the 'best' option scenerio available now and would like to ask for your input. my situation is as follows...
i am in a home i purchased 3 years ago for 140,000. it appraised at 174,00 then. i financed through chase @ 7% for 30 years. i was in a rush to get done because the property was part of an estate being divided by my wife's siblings. i later found out that chase added 120.00 a month for pmi. i tried unsuccesfully to have them drop the pmi after i had the house re-appraised a year later for 200,000 after several thousand dollars worth of improvements to the property. around 1 1/2 years ago i opened a second mortgage for 40,000 to pay for more upgrades and to pay off credit card dept. now the house has declined in value to around 175,00 from a high of 212,00. i would like to refinance at a lower rate but my balance of both loans is more than the appraised value. is it possible to at least re-finance the first mortgage at a lower rate and then attack the 2nd at a later date. the 2nd is at 13% because i had planned on refinancing both loans into a new first the following year. my income is 125,000 annually and besides my mortgage pmts of 1200.00 and 500.00 i have about 1000.00 in cc and auto pmts. my credit score is around 680-700
what do you think my best option is?
Randy, if you qualify for the DU REFI PLUS program, then you can refinance up to 125% of the value of your home. To qualify, your loan must be owned by Fannie Mae. To check that, use this Fannie Lookup Tool.
Thanks for the reply, unfortunately it is not a Fannie mae owned loan. Can I still re-finance the first without re-financing the second and then shop around for a better rate second after that?
The existing mortgage is not owned by Fannie Mae.
Check to see if it is owned by Freddie Mac. Call Chase and ask if it is owned by Freddie Mac.
If owned by Freddie Mac you mayt be able to refinance. If not, I would guess there is nothing you can do except keep paying on what you have.
Check to see if it is owned by Freddie Mac. Call Chase and ask if it is owned by Freddie Mac.
If owned by Freddie Mac you mayt be able to refinance. If not, I would guess there is nothing you can do except keep paying on what you have.
