Low rates boost loan activity Toledo Blade
With mortgage rates at record lows, Marty Sutter would like for more customers to refinance their home loans at Genoa Bank. Unfortunately, he said, it's difficult to find homeowners who qualify.
Mr. Sutter, president of the Genoa-based bank, said 99 percent of his mortgage customers are current on their loans and make timely payments. But the recession has left many with lower incomes and depleted home values, making them ineligible for refinancing that could lower their interest rate.
"We're trying," said Mr. Sutter, who expects Genoa Bank's mortgage business to decline 68 percent this year compared with five years ago. "We want to approve people, but values and job times and employment are having a significant impact."
The average rate for 30-year fixed-rate loans was 4.32 percent nationally last week, and the average for a 15-year fixed-rate was 3.5 percent, according to mortgage provider Freddie Mac.
Frank Nothaft, vice president and chief economist for the government-controlled firm, said the 30-year rate is the lowest this year, and the 15-year rate is the lowest since Freddie Mac began releasing weekly rate reports 20 years ago.
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Mortgage Information : How to Refinance a First & Second Mortgage
Refinancing a first and second mortgage together is a simple process that is quite similar to a first mortgage refinance, but the two loans are ...
Where can I find the best HELOC rates to refinance my second mortgage?
My current rate is near 10%, and I'd like to find a HELOC rate of prime minus 1%, no fees, and accepting a LTV of 90%
I agree, www.bankrate.com has rates from many different lenders, and links to specific places to obtain loans, like lowermybills.com. the HELOC rates are around 7%, but I'm not sure if they will allow an LTV of 90%.
http://www.bankrate.com/brm/rate/brm_loansearch.asp
Out of all of the banks that I have worked with, I find that CHASE, WELLS FARGO, and US BANK offer great rates and very low hassle.
So like I say, what you are going to do with it, should play a factor in selecting the propor HELOC.
Pen Fed CU regularly has extremely good rates on both HELOCs and regular home equity loans.
https://www.penfed.org/index.asp
You won't get such terms as prime minus 1% on a 2nd mtg either, have you thought about what's the avg. rate you are paying for BOTH your 1st and 2nd mtg.? Consider refinancing and consolidating both mtgs into one.
Can I refinance a second mortgage with another bank to get a lower rate?
You can always shop around as much as you want; you are a consumer and you have the right to do business with whomever you want! Credit Unions and commercial banks are always looking for good people to lend money to. There are web-based companies that shop for you then get a commission if you do business with the firms they recommend. You have many options! Keep in mind that credit is very tight right now and without strong credit scores you'll be offered higher rates on loans and in some cases, with low scores, no offers at all.
Then yu wood hafta konvins banker...kan yu?
refinans requie kloes kosts. Banker mae insist on get hous revalued.
Can we refinance our second mortgage?
We bought a house last year with two mortgages. Because we only put down 10% for the loan, having the second mortgage of 10% of the loan, this way we don't have to pay for the insurance. This second mortgage has an interest rate of 9.75% while our other mortgage is at 6%. We want to refinance this second mortgage to a lower rate. Can we do that? Is there anything that preventing us from refinance just this second mortgage? There is no early payment (repayment) penalty on both of our mortgages. Thank you very much for your help.
most likely you wont be able to just do the second you will have to do the first as well combining them together. You should have done better research though. If you have good credit and a good history of paying on time then you could have been elidgable for programs that have no PMI up to 90%. My company has these if you are interested email me. cheeba0228@yahoo.com
Log into:http://www.4refinancemortgage.com/yourmortgagebasics/second_mortgage.html
http://www.4refinancemortgage.com/index.html and learn
all the basis and insight into mortgage refinancing.
http://www.help-with-your-rent-mortgage.org
Hope this helps!
1.How are property prices holding up in your area?
2.How strong is your credit profile now?
3.Are you willing and able to verify your income and/or assets?
Something that you need to be wary of are the modifications recently done to the Loan Level Pricing Adjustments made by Fannie Mae and Freedie Mac. Basically these are premiums that lenders are forced to assess onto interest rates depending on how risky a loan is. For instance, the rate of a 95% loan on an investment property will be significantly higher than the rate of an 80% loan on your own home because of the pricing adjustments assessed on rates on investment properties and loans above 80% due to the greater risk they represent to lenders.
Even more imperative is the need to make a decision that is inline with your long term financial plans. This means that any new financing you obtain should take into account your children’s 529 college savings plan (if applicable), any major expenses you’re contemplating in the immediate future (a new car, the purchase of a second home, the birth of a child, etc., etc.), your present investment strategy, your insurance needs and obligations or other important financial plans that can be complicated or even derailed if you make the wrong decision about your mortgage financing now.
If you’re looking for a comprehensive solution to your financing needs feel free to contact me at RLFunding@AOL.com. We are licensed in all 50 states and specialize in TAX FREE mortgages in the state of New York.
Best Regards,
J. Polanco
Financing Advisor
Robbins and Lloyd Mortgage Corp.
347 5th Avenue, Suite 1506
New York, New York 10016
www.RobbinsLloyd.com
Which bank offers the lowest interest rate for mortgage refinance in California?
I need to refinance my second/investment home in Milpitas California and I'm looking for a mortgage broker or a bank that offers lowest interest rate based on 700 or more fico score. Preferably a loan program with minimum monthly payment is preferred.
find the best rate you can find and then add 1% (1 point is what is the standard to add when dealing with an investment home)
A mortgage broker is supposed to find you the best rate from all the companies she works with. If you don't have a good one shop around.
Here is a website to find the average and best rates:
http://www.bankrate.com/brm/default.asp
Can a first mortgage be refinanced to a lower rate if there is also an existing second mortgage?
If a homeowner has a first mortgage and a second mortgage, and would like to refinance the first mortgage at different terms, can this be accomplished - does the existing second mortgage put a monkey-wrench in refinancing the first?
if the 2nd mortgage holder agrees to subordinate it can be done. heres the situation when u refi, the 2nd mortgage automatically becomes the first, therefore ur new mortgage would be in 2nd lein position, which would be at a higher rate than you are figuring on as no one is going to be in 2nd place without a higher rate, therefore, you must approach the current 2nd holder tell them what u r planning and get them to provide in writing the fact that they will subordinate to the new first mortgage. they can say no, depending on how much equity u r planning on taking out. understand if u default the first mortgage holder get paid first, and the second gets whatever is left, if there isnt enough the 2nd holder takes a risk of not getting all his money back. therefore he may allow you to refi the balance, but not take anymore equity out to say consolidate, use for vacation, or just mad cash, however it doesnt hurt to ask, i have done dozens of loans where the 2nd did subordinate, and only a few have refused to cooperate. gl
I have an adjustable rate (currently 9.25%) second mortgage, is now the time to refinance?
You won't know until you do the research but with that adjustable at that rate, I'd sure do that research now.
Fixed rates, depending on your credit score, are running 6-6.125%. That could save you a bundle.
I'd be happy to help you find out what your options are. Feel free to email me.
youch 9.25%?
I would refi as soon as possible! with a fixed rate
Depending on your equity position, there might be better rates available, especially if you choose a fixed-rate, fixed-term loan.
Never hurts to check with a couple local banks and see what's out there. Main thing that will determine if you can get a better rate, outside of your credit scores, is what the combined loan-to-value would be on the new loan.
If you're still in the 90-100% range of your current appraised value, you won't save a whole lot, maybe 1%. 80-90%, 1.5-2%. Under 80%, 2-3% lower.
So, step one, figure out where you're at, as that will be one of the first questions asked. It's not hard to find decent 2nd mortgages at fair rates with no closing costs, so check around with a few and see what you are offered.
When can I refinance my home I just purchased a new home w/a second mortgage w/ a higher interest rate.?
It will all depend on the seasoning requirements of the refinancing lender. Based just on what you have said, I would guess that you did an 80/20 purchase with the second mortgage. Assuming that your lending is through conventional rate lending, most lenders will not look at anything but the original purchase price for at least 6 months. Some lenders are now requiring 12 months of seasoning (having made pymts) on an existing mortgage before you can refinance. Unless you bought the house greatly reduced from market, made extensive improvements, or now have the ability to reduce the principal balance the cost to refinance and rate changes may not be beneficial to you this soon.
The lenders have tightened up on the 100% financing market and on appraisals as the default rates have risen due to economic conditions and the housing bubbles declining in some markets. Depending on where you live may or may not involve some of these influences.
Also, make sure you do not have a Pre-Payment Penalty. If so, you will be hit pretty hard if you refi within that penalty period. These penalties could be from 1-5 years in legnth.
You will also need to see some changes in order to improve your current loan program. What has improved since your current loan? Did your credit scores go up? Did your income go up? Did the value of the property go up? Did rates drop significantly since you purchased?
If nothing changed, you probably would not qualify for a better rate than you just got with the same situation and same qualifications.
Sometimes though, you can just refinance the 2nd mortgage if you shop it around. I have seen some banks offer great rates on 2nds that the primamry mortgage company could not match.
Best of luck,
Greg
I have a second mortgage at 8%.Should I refinance now with the funds rate at 4.75%?
Shop around if you like. The rate you might get will depend on a lot of things, such as your credit rating, your income, the value of your home, and the ability of the bank to sell the second mortgage in the financial markets. Nowadays, second mortgages are the higher risk kind of mortgages that are difficult to sell to investors. So your chances of getting a lower rate aren't great.
You also have to factor in any prepayment penalty and any closing costs that might be imposed for a refi of the second mortgage.
The Federal Reserve's interest rate cuts were intended first and foremost to help banks get loans, not to help individual homeowners get loans. You shouldn't expect much of an immediate benefit from the rate cuts.
Should I refinance to put both mortgages together?
We currently have a first mortgage with a balance of $108,000, and a second mortgage with a balance of $42,000. The total that we pay for both per month including taxes and insurance is $1,336. The rate on the first is 6.5% and the second is 9%. Should we consider trying to refinance and put them together? Or just leave them alone?
Important factors in making the decision...............
Will the new loan be at a lower intrest rate?
What will the charges be when you combine ?
Take the re finance charges and decide how long the lower intrest rate mortagage will take to recoup those cost's and do you plan to stay in the house that long.
Let's say the refi cost's $1000 dollars..............Lets say the new loan intrest will save $100 a manth. That will take 10 months before you start to see the benifit of doing this.
I am trying to refinance my mortgages. I have a first mortgage which is fixed at 6.375 % and a second HELOC?
which is currently at 8.5 %. I would like to get one fixed mortgage at a lower rate and payment. Can someone please explain to me what a streamline refinance is? I do not want to get any cash out and have always been current with my payments for 2 1/2 years (Never late)
Sorry I am not an expert, but would say its not as gloomy as you may think, if you can afford to do this.
Does this mean you want to merge both the loans together just to get a better deal? A simple remortgage woud be best, do not reduce the term.
So you dont want to increase the outstanding amount, you dont want to increase the term of the mortgage?
If you want to do this and you can afford the repayments, it may not be too hard.
Have you managed to build up any equity in your home, it would look better if you have.
Lots of people are refinancing at the moment as they come to the end of their fixed rates, but you need to use a mortgage comparision site to look at the deals on offer.
I have not included a site as I dont know what country your in but you can look it it type in the search enginge
mortgage comparision site.
If you can afford the repayments and have proof of earnings High Street lenders would be prepared to listen to you.
Have you got a good track record of repayments, if not you may need to go to a Broker, but remember Brokers are either tied to a particular set of companies or work on commsion so you may not get the best deal for you, they may be more intrersted in their commision than your wallet.
Be careful about upfront fees, (some are stupid figures like £999) and avoid long tie ins. At the moment the interest rate is going down not up so a few months could mean a difference of 0.25 to 1% you only need to see what has happened to the US interest rates this month to see this, as they fear a recession, and are trying to make repayments more affordable to hard pressed US homeowners.
I am in the UK by the way and antipate the UK rates will see a rate cut every 2/3 months.
This will not be like the Black Monday of the early 1990's as the interest rates were much higher and peopls borrowing was more inline with affordability, now rates although much lower affordability is still a problem due to the general high price of housing.
refinance rate for second mortgages - News
New Mortgage Plan to Focus on Lowering Payments - Washington Post
Boston GlobeNew Mortgage Plan to Focus on Lowering Payments For instance, Congress established Hope for Homeowners late last year to help troubled homeowners refinance into new loans. But since that program was Video: Obama's Focus On Foreclosures Obama To Push Housing Ideas Today In Arizona
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A plan for home owners - Detroit Free Press A plan for home owners The much more widespread and economically significant housing problem is the inability to refinance above-market-rate mortgages because of declining home |
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America's New Housing Problem: Unemployment - Forbes America's New Housing Problem: Unemployment They also wrote in defense of adjustable-rate mortgages that there is no data to support the idea that resets increase defaults. They added that mortgages |
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Holding on in the face of foreclosure - The Virginian-Pilot Holding on in the face of foreclosure As work began to wane in 2004, the couple refinanced with an adjustable-rate mortgage to help make ends meet and pay off debt from his business. |
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(FED) Stabilizing the Housing Market: Focus on Communities - Forex Hound (FED) Stabilizing the Housing Market: Focus on Communities However, it also reflects the fact that reduced home equity and tighter mortgage credit have impaired borrowers' ability to refinance their mortgages in |