Hi all, I've been following along here and applying the techniques I read about in order to up my scores for a refi. Basically, my house appraised at 205k in 1999, I owe around 147k on it right now. My prop taxes are around 4k a year and my current interest rate is 9.375 fixed / 30yr with homecomings. I'd like to refi with all of the lower rates out there. Basically, what I want is this: - 7% or less fixed interest rate / 30yr. - Reasonable costs wrapped into the loan (no cash from me at closing). - Tax escrow added into the loan (ie, not cash provided by me - basically add 4k to the principal), then I'll pay it monthly with my bill. (This isn't absolutely necessary, but it'd be really nice) - 5k out to pay off CC would be excellent gravy, but not necessary. Currently, my wife and I have scores ranging from 550-630 with several 30 days on our mort recently - really like 35-40 day, but I know that being close doesn't matter. There was an issue with our payment due date & I didn't realize that we were being reported late until I started checking my credit a couple of month ago. Our current payment is around $1300/mo, and we make around $86k a year gross... So - is this a possibility at all, or do our scores still need to rise in order to do this? If so, what numbers should I be shooting for as a minimum to get a loan like this? I'm really hoping it's possible since it would save us hundreds a month if we could get the lower rate! Thanks!
As long as your house is worth at least the amount it was appraised at in 1999, this shouldn't be any problem. If needed, I'll be glad to help.
e557373 Your LTV should be under 80% and that is important for what you are wanting to do. Where I see your problem being is with the mortgage lates. If they are consecutive 30 day lates then you have what are called rolling 30's and that is not as bad as having multiple lates in different months. However, without knowing alot more about your overall situation and what the rest of your credit looks like, it is impossible to give you an accurate response. It is possible to get to where you are trying to get to, but you won't be able to go conventional. FHA may be an alternative for you, though you would have to have a good explaination for the lates. Your most likely alternative would be a non-conforming/sub-prime loan and those rates will be a bit higher than you are looking for. I hope this helps you, if you wish to, you can email me off-board and I will be glad to help you to better understand what your options are. fla-tan
Re: This mortgage with these scores excellent post, fla-tan. Can you prove a good reason why you were late?? if your payment due date was changed, and you can prove that, that may give you an override and consider those lates not being considered... A good explanation of why you were late (based on what you said, i will assume that if the due date was the problem then its rolling 30's all in a row). Another explaination would be Medical Reason, Going through family diffuculty, out of the country...
