Any lenders out there?

rljones1958 · Joined: 02 Jul 2008 Posts: 2 1.70 Dollars($)

Bought a home from an investor.
Want to refi to a lower apr rate.
bought home for 130,000 nothing down. Owe 125,000. Hasn't been a year. Anyone out there willing to refi even though rates are in the 500's? Haven't missed a payment just want to lower my rate from 10.5 to 6.5 or lower. Anyone out there?

adonis · Posted: Wed Jul 02, 2008 9:41 pm Post subject:

Welcome Rtjones,

You're looking to get a low APR; seems like you aren't aware of the fact that a low APR doesn't mean a low rate of interest. A loan with a low APR may have a higher rate of interest. So, when you compare loans, don't simply go for the APR but check out the interest rate too.

Good to know that you didn't miss a payment. But is your credit score in the 500's? You can try out with FHA loans then. Regarding conventional loan programs, i suppose they'll be a bit tough to get, considering your low score. However, what's your debt-to-income ratio? Lenders would like to check out your financial obligations.

What i suggest is, go through a no-obligation free loan consultation with the community lenders at as they'll be able to analyze which loan option is better for you. And then you can discuss such options in the forums where experts can guide you to choose the best out of them.

Guest 0.10 Dollars($)

Thanks for info I will check into it.

brian1 · Posted: Wed Jul 02, 2008 11:02 pm Post subject:

2 issues score is low and loan to value high.
FHA is tyour best bet but it will only allow you to refi to 97% of the value with no cash out.
When you add in fees for financing and the difference it may cost a few thusand to get it done. You will save a ton over the lif of the loan.

Good Luck
Brian

charlesarmbruster · Posted: Tue Jul 08, 2008 11:03 am Post subject:

I whole-heartedly agree! FHA is your path to a better sleep at night! Good luck!

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