question...my current mortgage company called and offered me a "FHA Streamline Refinance". Does anyone know the pro's and con's of this?? My current rate is 7.25%...I am thinking it may not be worth it...any opinions?? p.s I was also going for home equity loan to pay bills and fix house and still have emergency $$. That is actually why I started this journey/stress factor. I have been working with The Lending Tree. Is this advisable?? My scores are not high enough yet to go through original lender for equity loan. They want 700 and I am stuck under the 600 ceiling.
Thank you for the site. I have read all those things. I am looking for personal experiences and all the sites I have visited do no list any downsides of doing this. I am paranoid I guess..."If is sounds too good to be true..." thing
I have heard good things about FHA streamline refinancing (wish my conventional lender offered the same thing!). You may want to go to www.fool.com and check out their newsgroups to see if there's any info posted. What is the interest rate they are offering you? And are there any costs associated? http://www.decisionaide.com/mpcalculators/Menus/MP_Calculators.asp The above site has the best mortgage/refinance calculators that I've seen anywhere.
I am going through the exact same deal. We now have 7.25% and are looking to refi our house. We think we can get it down to 6.25, but we're not sure. We worked with a really cool little non-profit in my city that helped us get some forgiveable loans. That is the only thing prolonging the process for us. Those loans have to be subordinated so we don't have to pay them back. We looked at several conventional loans and the streamline is the best way to go for us!
I have 85000 currently and they want to refinance for 87000 (2000 closing costs). It really wouldnt save alot of money...I think it was approx $90 a month.
Get real. What are the chances of this person owning that house for 30 years? Jenasea9, they should be able to do it at 6%. Is that the proposal? If not, what rate?
I agree that she should hold out for the optimum rate. My point was "saving money is saving money." If that was my last option to have $90 extra a month to spend on my kids or something else, then I would go for it. I am in no way a home owners "brain". I am merely a cheap bast!@# as my loving wife points out
