Posted on: 17th Sep, 2010 01:15 am
currently have a fha loan at 6.25% in tn with a payment of $1630 without the escrow account of $430 for a total payment of $2,59.79. looking to reduce monthly payment.
refinanced with regions in august 2008 to get rid of 2nd 8% mortgage, credit card debt, and remaining auto loan. of course, then the housing market bottomed out. since 2008 regions keeps showing an escrow shortage which i pay but the monthly payment has gone up over $10 a month. i understand that my home insurance went up $59 a year, mip went down over a $1 and this year my taxes will be less because the city rates are much lower and my tax appraisal dropped over $11,000. yet regions insists on using my higher home value and tax rate for this year's escrow and are claiming another shortage. although after paying last year's shortage and my monthly payment went up $6 a month, the 2009 ending escrow balance after paying city and county taxes and home insurance still had a positive balance.
however, when i asked them about the fha streamline refinance they said i was not eligible because they used the new lower tax appraisal. can they use one home value for the escrow account and another to evaluate refinance eligiblity?
any suggestions on how to get a lower payment would be greatly appreciated.
thank you.
refinanced with regions in august 2008 to get rid of 2nd 8% mortgage, credit card debt, and remaining auto loan. of course, then the housing market bottomed out. since 2008 regions keeps showing an escrow shortage which i pay but the monthly payment has gone up over $10 a month. i understand that my home insurance went up $59 a year, mip went down over a $1 and this year my taxes will be less because the city rates are much lower and my tax appraisal dropped over $11,000. yet regions insists on using my higher home value and tax rate for this year's escrow and are claiming another shortage. although after paying last year's shortage and my monthly payment went up $6 a month, the 2009 ending escrow balance after paying city and county taxes and home insurance still had a positive balance.
however, when i asked them about the fha streamline refinance they said i was not eligible because they used the new lower tax appraisal. can they use one home value for the escrow account and another to evaluate refinance eligiblity?
any suggestions on how to get a lower payment would be greatly appreciated.
thank you.
Hi Chill34321,
Welcome to mortgagefit,
I think you should pay the closing cost and then transfer your mortgage to new lender and this could possibly lower your monthly payments.Do not go for no-cost offer (no out of pocket to borrower) since these offers generally have high interest rates.
DIPA
Welcome to mortgagefit,
I think you should pay the closing cost and then transfer your mortgage to new lender and this could possibly lower your monthly payments.Do not go for no-cost offer (no out of pocket to borrower) since these offers generally have high interest rates.
DIPA