Compare Mortgage Quotes

FRANCISPRICE · Joined: 04 Apr 2009 Posts: 1 1.72 Dollars($)

Hello

I currently have owned my home for 4.5 yrs. Currently it would appraise at $330000

I am looking into refinancing my mortgages.

My first mortage is:
current: $215000
apr: fixed 6.375%
payment: principal +interest $1452

My 2nd mortgage is a HELOAN:
current: $67000
apr: fixed 7.49%
payment: $760

Am I looking to reduce the amount of payments I make each month and save money over the course of the loans.

Question:
Can I refinance both the primary and secondary HELOan together as one?

Should I refinance the primary separate?

Should I refinance the primary and secondary loans separately?

Any help or suggestions is greatly appreciated.

Thank you,
Frank

smckaybiz · Posted: Sat Apr 04, 2009 2:08 pm Post subject:

Welcome francisprice,

With the rates as low as they are right now that definately sounds like a good idea to me! Currently you are just a little above 85% loan to value ratio so as long as your credit is OK then I'm sure you can qualify for a lower interest rate. My parents just refi'd their first and got a rate as low as 4.85%! If you can qualify for close to the same that would be a huge savings for you over time.

Although I have to admit, I would shoot for a 20 year loan as opposed to a 30 year loan. If you do the math, say your paying 5% interest on a 282K loan, your payment for a 30 years would equal around 1500-1600/month whereas if you took that some loan out for 20 years then your payment would be around 1800-1900/month! That's only 300 more a month to knock your loan off in 10 fewer years, and you're still managing to save yourself atleast 300 dollars a month.

If anyone thinks I'm wrong please explain why but I think you should go for it!

Good luck.

Property State:
Property Type:
Credit Rating:

Company	Loan Type	APR	Est. Pmt.
				Go
				Go
				Go
				Go
				Go
				Go

All times are GMT - 7 Hours

Page 1 of 1

Compare Mortgage Quotes

Help with refinancing 1st and 2nd loans