Refinancing a home not in foreclouser?

Elli
We are not in danger of foreclosing, but my mom keeps telling us we should try to refinance our house to get a lower interest rate. Here's the problem. We filed bankruptcy a few years ago(we did this after we brought our house). From what I understand, if we were to refinance, we would not get the same interest rate, it would probably be higher. My mom keeps saying that they are really trying to help people with their homes. Is it worth every trying to refinance?

Enola
Not with your present credit rating. Just sit tight until it improves.

Asha
It wouldn't hurt to check into it. But yes, most likely you are going to have a higher interest rate. You also have to figure you're going to have to pay 'closing costs' again. How long have you been paying on your mortgage? If you took out a 30 year note and have paid 7 years..then you refinance for 30 years, you're going to be paying back mostly interest again. It's a lot to think about and sometimes it is the smart thing to do, especially if you can take your original 30 year note and take a re fi out for only 20 or 15 years.

Guadalupe
There's no harm in looking to see if you can get a lower rate. You are not obligated to refinance with anyone. Nor are you locked in with a certain lender even if they are quoting you a higher rate. Until, you sign the new loan papers at closing, you are free to turn them down.The caveat is the number of credit checks may hinder getting a better rate. Use online sites like lending tree so there's only one check instead of 20.

Beryl
Interest rates have been staying below 6 %. Just compare that to your current interest rate. It's ultimately your decision, not your mom's.Also, just because mortgage companies are giving 5.5% interest rates doesn't mean you will get that. It depends on your credit like you were saying. So you might end up with a 6% interest rate. Seems like I heard it's only worth it if you save 2 % or so. I don't remember.

Colton
You will want the interest rate to be a least 1% lower to make it worth your while due to closing costs etc. How about calling your current mortgage company and seeing if you can work out a lower rate? If you are current on your mortgage payments maybe they will work with you.

Akiko
if the bk has been discharged 3 or more years then yes look into it as FHA can do. Now if trying to avoid mip and there is enough equity to do so then conforming note will do but you must be more than 4 years past the bkI am a mortgage banker in TN & KY

Jerrell
unless you are at least 6 years past the BK, you probably won;t get a better rate than you already have

Kenyetta
AJ is correct except that he doesn't understand how credit inquires affect your credit. It doesn't matter if you have 20 inquires or 1, because they all count as 1 as long as they are within a 14 day period. This provision was specifically put into the formula for credit scores to allow people to shop around and have their credit checked by multiple banks while they shop for one loan. Anyway, you should ask around. A recent bankruptcy will certainly make it harder to get a low rate, but if you have some equity in your home and you can afford the payments, its not impossible. I just went to a bank yesterday to talk about a possible refinance and they have 30 year fixed rates as low as 4.75% right now. It never hurts to do some research, but it could end up saving you thousands of dollars and potentially years on your loan if you find something that works out. Additional Info: Never give personal information to someone who contacts you. You should find a loan officer by asking friends and family for trustworthy referals. Its also safe to just walk into a bank and ask to speak to a loan consultant, but never ever ever give personal info or do business with someone who contacts you online. How do you know this is really a loan officer and not a scam artist?