Asked 11/24/2008 02:08 pm CT (Sparks, NV)
I own a single family home with a mortgage balance of approx $175K on a 6.25% FHA 30-yr fixed. The home's market value has declined steadily and is now worth approx $140K. I am not behind on any payments yet, and my credit is excellent with a current FICO of 768. I'm expecting a 20% reduction in work hours - and thus a 20% reduction in income - effective 1/1/09. This loss of job hours will inevitably result in falling behind on the mortgage payments at their current level. Will I likely be more successful in approaching the mortgage company for a loan modification for 1) a substantially lower interest rate on the current balance (propose approx 3%); or 2) reducing the balance to the realistic market value; or 3) some other measure or combination of the above?
Asked 01/03/2008 04:50 pm CT (San Francisco, CA)
I have been behind on my payments due to recent divorce and medical disability, but I was able to get 1st loan modified and was approved at a lower interest before it got foreclose. But when I called GMAC bank for my 2nd loan for help, the representative told me that GMAC already put my loan as Bad Debt and the only options I have is to negoatiate to pay it full or make payment arreangement and they can't modify my 2nd loan. They also told me that my 1st loan was noted in their account a forelosure. Since they declared my loan as bad debt, what's the best thing for me to do? I don't have the money to pay off the 2nd loan. please advise. Thank you for your help.
Asked 06/02/2007 03:01 pm CT (Indianapolis, IN)
I have an FHA mortgage that I've had for almost a year. The FHA rep sent me a letter saying that I could qualify for a lower interest rate (I'm a 7.0% now and could go as low as 5.875%) Is this an ok thing to do? Or am I going to pay penalities? Also, do I now get another 30 year mortgage even though I've paid for one year already?
You will not be required to pay any penalties with an FHA mortgage. You may actually quali...
[ Total Answers: 1 ]
Asked 04/19/2007 06:45 pm CT (Dallas, TX)
I just purchased my home 10 months ago. My credit was not the best so I got a higher interest rate than I wanted. I wanted to know how soon can I refinance to get a lower interest rate now that my credit has improved drastically.
You need to talk to a mortgage professional to give an evaluation if you refinance how much will it ...
[ Total Answers: 4 ]
Asked 03/28/2007 04:02 pm CT (Tower City, PA)
How long must you have your mortgage before you are able to refinance it with another company to get a lower interest rate?
If you don't have a prepayment penalty, you can refinance as soon as you want. Realistically, you u...
[ Total Answers: 1 ]
Asked 12/06/2006 04:26 pm CT (Reno, NV)
My broker calls me on a regular basis with loan deals. I have refused all ARMs and No interest offers, but this new one has me thinking. Because I am a customer of his, he is offering the same loan I have now (30 year fixed w/ escgrow accounts) w/ a lower interest rate that save me $100 a month. There are no refinance costs or appraisals, and my loan amount is not supposed to go up at all unless there are interest costs from the current mortgage holder. He says this is just a service he offers to his clients that have refinanced with him before. My questions are simple: 1) What is the catch, where does his company make their money? 2)Does it hurt my credit to keep refinancing or my ability to get financing?
3) What questions should I ask to identify possible hidden fees and charges?
What you have been taught about mortgage lending, including the rate and fee type of t...
[ Total Answers: 2 ]