Refinancing? Do your homework Omaha World-Herald
Mortgage rates are at a half-century low, and nearly four out of five mortgage applications these days are for refinancing.
If your re-fi is done right, you can cut your monthly payments, reduce interest costs over the life of your loan or both. The time seems ripe, since the interest rates are more likely to rise in the future rather than drop. Most people are paying at least 1 percentage point more than the current average rate, and a 1-point difference on a $100,000 loan can cut your monthly payment by about $60 a month.
A refinancing loan will pay off your old mortgage and set up a new payment schedule. There may even be help if you're underwater — that is, your mortgage is higher than the value of your house.
One key to remember in the process: "Ask questions," said George Akers, executive vice president of First Mortgage Co. of Omaha, and make sure you understand what's being offered and get the details in writing. "Find somebody who seems to communicate with you. How fast do they return your phone calls?"
US Bank Home Mortgage and Refinancing
by Heather Durdil
US Bank Home Mortgage and Refinancing
Article by Ask Bill
Good home mortgage products are offered by one of the nations top banks, US Bank. The US bank home mortgage offers a wide range of mortgage products to its customers. The products include conventional loans, jumbo loans, refinance loans and many others. It is one bank that offers good benefits and customer service or they will have to pay for the inconvenience. The US bank offices can be seen in most of the cities. It helps its customers with online payments and easy record keeping. The US bank home mortgage also provides its customers with online tools like mortgage calculators and view rate charts that can help the customers to sketch the loan plan that may be best for their dream home. The talks with mortgage loan officers of the bank may help you choose the best product, for your prevailing financial position. Like any other bank, US bank has requirements that have to be met by the customer to sign for a mortgage.
Any mortgage loan has some basic criteria set by the bank, which only when met can help you get the loan. This usually begins with verifying your credit history. A good credit history and a favorable credit score can help you to find a low rate loan. If you have had negative reports on your credit history or if your credit score is low, you may only qualify for a high rate mortgage. This may eventually increase your monthly payments. It may be better to repair your credit before applying for a loan, if it had been poor earlier. This requirement with respect to credit history may be common to all types of loans. Applying for a refinance loan may also call for verification of credit history for its approval. With a refinance loan, you may generally pay the existing mortgage by taking a new loan. Refinancing an existing mortgage may get you lower rates, or lower loan terms, or you may also get cash out of the loan that may be used for other purposes.
...Refinance Help. Fill this form and get help!
Poor Credit Home Loans - Some Valuable Facts!
www.realcase.com Lenders assign you a credit score any time you apply for credit. This is there way of them determining whether you are a likely ...
Should I refinance Home Equity loan to consolidate credit card debt (I am buying a new house in 120 days)?
Consider this:
1. I have $30k in credit card debt.
2. I have a 1st mortgage for $200k (4%) and a Home Equity line of $170k (at prime rate) with no additional credit available.
3. I am buying another house at the end of April.
Would I be better off refinancing my Home Equity and Credit Cards into a new Home Equity loan, or just stick with it as is?
I have heard that I may be able to get better rates on my loan for my new house if I refinance. Could this be true?
Thoughts? Opinions? Alternatives?
You don't mention how much equity you have left in the home, but lets assume you have some equity. You would not want to "max out" your equity. Save at least 5-10% since you are going to be buying another home soon. Now if you have equity left to refinance your equity loan & pay down some credit cards, by all means do so. To best improve your credit score, pay off what you can, but at least reduce each credit card so that you have some available credit if any are at or near their limits. These are important factors in credit scoring and will get you a better rate on your new home. Its best not to close the cards that you pay off. Having that available credit will help your score. Close the cards after you secure your new home loan. Good luck!
Does a co-signer need to be on the title to apply for a home equity loan or a home equity line of credit?
I'm thinking about applying for a home equity loan or line of credit for my home but am discouraged by my below average credit score. To refinance, any and all applicants must also be on the title document, so would the same rules apply on a home equity loan or line of credit?
Anyone cosigning for something such as that would have to be on the deed to qualify. Otherwise is is not a home equity loan but a personal loan.
Which is better? Refinance, home equity loan, or home equity line of credit? To buy a car and remodel home.?
It all depends on the interest rate you get. Under no circumstances can you get an ARM loan but if you can get an interest rate the same or lower than your current mortgage rate that's fixed then go ahead & re-fi but STAY AWAY from ARM loans. Also stay away from the line of credit becuase it's too tempting to keep using that money after you pay it down.& most times it's also an adjustable rate. The home equity loan would be your best bet if you don't re-fi because you should be able to get a fixed rate. If you have to get an adjustable rate on the equity loan make sure you have the option to lock the rate at some time in the very near future. Also check into pre-payment penalties. WaMu does give you the option to lock your rate on your equity loan, it's called a FRLO (fixed rate loan option). Good luck with the new car & home improvements.
Be warned though, WaMu customer service sucks, I should know.
Regards
Marty
Could a home equity line of credit loan be refinanced at a lower interest rate?
The short answer to this is Yes. However, there are a lot of factors to consider. For one, how many years do you anticipate you will have the loan? If your payoff is within a year, I wouldn't bother.
Does your current financial institution charge an early payoff penalty? Consider that along with any other fees you will encounter when applying for a new loan.
Make sure you do not fall for a variable interest rate or a balloon type loan.
As you seek a new lender, make sure you compare the closing fees of your loan. You might find a good rate with low closing fees, and then you're way ahead of the game.
Good luck!!
Share ideas on refinancing 2nd loan Home Equity Line of Credit?
Existing mortgage: 80-20. No equity. 1 year since purchase. 2nd loan home equity line of credit has variable APR. Please share ideas to refinance 2nd loan and also consolidate other loan.
It's a bad time to refinance or consolidate with interest rates going up like they are. If you are having trouble making your payments, go to the lenders and tell them - tell them whatever they want to know, answer all their questions truthfully, and ask them to assist you in doing something to make those payments manageable. You have nothing to lose (because if you are having trouble making payments they'll already be aware of that) and everything to gain (banks and mortgage companies don't want to "own" a bunch of foreclosed homes, believe me. It's no easier for them to sell them than any other seller). I wish you the best of luck
Regards
A HELOC is pretty much like a credit card secured by your home therefore you have a credit limit which you can use and repay as much as you want. The drawback on these loans is that the interest is variable than the way the Fed has been increasing short term rates I would DEFINITELY suggest you fix that rate as soon as possible.
A HELOAN works as a normal mortgage where you only take out a certain amount and that is it. All you can do is repay it because its it not a credit line, its a true loan and the benefits for this type of loan is that the rate is fixed for a long time. The only drawback for this type of loan is that the rate is a bit higher than a HELOC.
Here is an article I wrote about HELOCs hope it helps
http://jrealestate.blogspot.com/2006_04_01_jrealestate_archive.html
It is titled "HELOC = Home Equity Line of Credit"
Credit is good I have an investment property that is paid in full should I refinance or get home equity loan.?
I want to consolidate my credit card bills and use some of the cash for more property.
I want to consolidate my bills and use some of the cash to purchase additional properties.
If I were you, I would SELL the investment property, pay off the credit cards, and use any remaining cash to buy more property FREE AND CLEAR.
the payments you would incur.
I can guide you.
free
kkemper@mindspring.com
Keep in mind that any NOO (investment ) refinance or HELOAN is going to have a much higher rate than a standard Primary property refiance
Home Equity line of credit or refinance my loan?
I bought my home in 2007, it was built Oct 2007. I paid 123,400 for it. The home is worth 174,000 (appraised last week) and I wanted to know what would be the best solution for me. Also, the kicker, I am in between jobs right now. I have up to $9,000 if I need it for anything that involved refinancing or fees that come up, but I do not have stable income. I am living off of savings and renter income (and loving it!).
I would like to make improvements to the home and pay off some CC bills from the equity. What would you suggest? If you have any questions I will answer them in the edit section. Thanks
I am in Austin TX. The home value went up and I made no improvements...it was just built in an up and coming part of town (5 minutes to downtown).
It's extremely important to understand that with a little time and the right approach getting the absolute best mortgage refinancing is not a huge problem.Companies/businesses that arrange financial products of this nature<!--usually are very profitable and it's a good idea to remember where all the money is generated from. You, the customer are the root of their profits.
http://mortgages-finance.awardspace.com/
http://best-loans.awardspace.com/homeloans.htm
Once you need to finance the buying of your own home with a mortgage, it's very important that you do your research properly and understand all of the variables. When it is essential that you get the absolute best mortgage refinancing-->enter into some research and groundwork on your own because the Internet can equip you with an absolute pot of gold of very helpful data when it is essential that you get the best mortgage refinancing.
Sell, Refinance, or Home Equity Loan?
I am seem to be swiming in debt at this time in my life...I would like to secure some money to help me pay off some bills.. I have equity in my house. Is it best to refinance this high interest loan, sell the home and use the profits to pay my bills, or take out a home equity loan? My first instinct is to stay in the house for a few more years beacuse this area is increasing in value.. How safe are home equity loans? Is refinancing wise with poor credit?
Hello -
I'd say that your instincts are correct, and you should hold onto your home. Congratulations on making such a great choice of buying in an area that continues to appreciate.
May I ask where your located? I always am interested in areas that continue to appreciate.
Home Equity Lines of Credit are the most expensive type of loans you could get and I'd advise strongly not to get one. I understand how tempting they can be with those checks arriving in the mail. Think of this though, if they send you FREE checks in the mail, don't you think you would also qualify for a loan that will allow you to pay off those high rate credit cards?
If you are considering refinancing your home, you likely have many questions. If you are confused, you’re not alone. It can be very confusing. There is a FREE website that will answer all of your questions, and provide the following information:
- How to know whether or not you should refinance
- How to know if you should finance your “up-front” costs
- Why some people choose to refinance to a higher loan rate!
- A FREE Calculator to help you decide
Here is the link -
http://www.freemortgageinformationsoutherncalifornia.com/refi_mortgage.aspx
Then you mention that you have poor credit, how poor is it? Remember that you could refinance now to payoff your intial debt and then if you pay your mortgage on-time for 10 months, that your FICO score should improve from 50-100 points. This would allow you to then refinance again into an even lower monthly payment.
When you apply for a mortgage, the mortgage lender will review your income, liabilities, and most importantly, your credit report to determine if you qualify. Even small credit report inaccuracies can hinder your ability to get the home loan you need and deserve. And credit report inaccuracies are more common than you might imagine.
There is a FREE Report which will teach you:
• What lenders look for on a credit report
• How you can improve your credit score
• How to know if you have inaccurate information on your credit report
• How to obtain a FREE Credit Report
The website link is - http://www.freemortgageinformationsoutherncalifornia.com/credit_secrets.aspx
It is always best to consolidate and payoff bills that have high interest rates. By adjusting ratios on your credit cards and possibly disputing inaccurate information on your credit report, your credit can increase significantly.
Follow your instincts and please let me know if you might have any further questions.
Best Regards,
Darren Meade
what is the difference between home refinance loans,home equity loans and home equity lines of credit?
a refinance loan is basically a loan from another company to buy your house again (you pay off your current loan but pick up a different one in the process). This is usually done to get a lower interest rate.
a home equity loan is simply a loan in any dollar amount that is backed by the equity in your home. You can't usually get loans that exceed your equity.
a home equity line of credit (or HELOC) is essentially a credit account, much like a credit card, where your "limit" is the amount of equity available in your home. It is better than a home equity loan for situations where you need to make lots of purchases, rather than one big purchase where you know the exact amount. If that was the case, the equity loan would work better than the HELOC.
Does a home equity loan affect your credit?
Just wondering if its better to refinance or take out a home equity line of credit as far as credit damage. Thanks!
A home equity line of credit (HELOC) can affect your score more negatively than a typical installment mortgage. The reason is because the amount of revolving debt can adversely affect your score... and a HELOC is revolving. Also, keep in mind from a economic standpoint, HELOC are based on short term rates, which are around 8.75-9%. A refinance mortgage could be as low as 6% or lower, depending on a bunch of variables, of course.
For instance, if you currently have a 5.5% 1st mortgage, and want to take out a 9% 2nd mortgage... it would probably be smarter to get a 6.5% 1st mortgage - or even a 6.75% 1st mortgage. Consider both options with regard to the PURPOSE of the money, and weigh their pluses/minuses side by side.
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