To lower my interest rate do i have to refinance?

Herminia
I bought my first home in September 2008 and got a 7% interest rate. I have never been delinquent on a payment or missed a payment and I'd like to have my rate lowered. Do I just call my mortgage company and ask for their policy or will I need to go through the whole refinance process? My house is worth less now than when I bought it so I'm worried I wont qualify for refinancing, however my payments are manageable, and I have a steady job. Any advice?

Hannelore
Call your mortgage company and ask them if they have any kind of "streamline" program that can lower your interest without actually all the expense of refinancing.If the first call does not go well, wait a week and call again. You will get someone new and you will say slightly different things and you might get a different answer.I would call four or five times before a gave up. Review what you said in each call and what the clerk said back to you with a friend after each call. I got help on the third call.

Arletta
Yes, you go through the whole mortgage process again. AND re-pay all the closing fee's. Your home being worth less is a problem, and because you are making all your payments on time, you don't qualify for any government help ( your home is not in jeopardy )...people had to be irresponsible to get the governments help...go figure! But, what you may want to consider is making extra principle payments. When you make a mortgage payment, pay an extra "x" dollars. It's important that you talk to your mortgage holder to find out how to make a principle payment, if done wrong it could end up in your escrow account instead of lowering your loan balance. You should be able to speak to someone at your bank that can help you understand the process and show "what if" scenarios's if you make extra payments.

Alonso
Generally, yes. If by any chance you have an FHA loan, look into the FHA "Streamline" refi option.

Barrett
You most likely will need to refinance.