Refinance question upside down house?

Beth
ok im in the situation half the country is in. And need to know what to do bought house in 2006 for 225, 000 and now i owe 223, 000. need to refinance by may 2009 because of my adjustable rate. I have just payed my car off eary so i can be prepared to pay more if i have to. Car was $600 month. I have 2 choices number one increase the value and add granite counter top, new cabinets and new bathroom by the way my kitchen looks like demolition was done and master bathroom the rest of the house looks great. i already did tile hardwood floors, water softner, stainless steel appliances, nuetral pain, molding and builtins. or choice 2 should i just pay extra on mortage like extra $1000 a month and leave the kitchen and bath like it is in a reck banks says i need to be at a 95 % and im at 98% am in the hole like 13, 000 please help which option should i do by the way zillow has my house listed for 213, 000 i know i need to get it appraised to

Antonette
Half of the county is NOT upside down.Get a grip.The number is closer to 1%. Most borrowers stick with fixed rates, and most of us buy homes we can afford to pay for.Why are you talking about remodeling when you can't afford the house now? It sounds more like you need to sell and buy something within your means.

Carolyn
you have to finish your kitchen, but try to not "over do"- if you are living in the area where every house has granite conter taps- go for it, but if not- cut the corners if you can. i will try to put money in savings account and when i'm ready to refinance if there is a need i will bring extra money for the closing to meet lenders requirements for LTV. if you don't have any pre-payment penalty for your loan- you can start shopping for good rate now.( after you finish kitchen) also ask your loan officer to ask appraisal for value check- you don't pay for it and zillow now don't give accurate information's.

Bernice
Your problem is currently the house will not appraise at the loan value, hence currently you probably can not get a lender to refinance a loan which is greater then the note valueSo as you stated you could put monies into upgrading the house in hopes that after the upgrade the house will appraise for the note value or take that monies you where going to use, pay down the note to the point where the house will appraise for the new loan value

Anissa
Hi, I used "Credit Solution" to settle my loans.They managed to reduce my loans up to 58% .It's legitimate.I came across this company on NBC News Special Edition.Check it out here: http://d6b0.easyurl.net

Carlene
Right now it is not lendable, due to the demo state of the kitchen. Finish your project, get it appraised, and then see what your options are.If you pay down the mtg, and the kitchen remains as is, the lender will not lend on it, as there will be a "cost to cure" they will need to assess, and this may further reduce the value of the home by the cost of "curing it", so to speak.Get everything done you need to do. Then refinance into an FHA mortgage (just a type of mortgage, nothing spectacular, and no it is not a conventional loan, per the actual definition of conventional).They do have fixed rate FHA loans, and they can lend up to 97% last time I checked on refi's. Again, get the work done first, THEN begin to pay down the mortgage, and then refi it BEFORE the adjustment period.Laslty, I would not only go to a bank. I would check with two MAJOR banks (eg Wachovia, Bank Of America), the bank you bank with, and then go to lendingtree.com, and check to see if anyone else can do it, and that should give you all the options you need.