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If you bought a house last year and it has decreased 15k in value and you need to refinance next year because your interest rate will no longer be fixed how can you refinance with no equity?
Wiki User
∙ 13y ago
It is possible to refinance "out of equity" and take a loan that is more than the home is worth in certain cases. I don't recommend this option. If you were forced to sell your home because your job is relocating you, or you can no longer afford the payments, you are then in a very bad position. In order to sell you will have to come to the closing table with money.
The first thing I would do is contact your current company and see if they have a fixed rate conversion option without doing a full refinance. Some lenders will charge you a fee to convert an adjustable rate to a fixed rate. If they want you to refinance, you are better off shopping around. Your current mortgage company will not give you any breaks to refinance.
The other option is to have an appraisal done closer to the time the adjustment will happen. You may be able to get a more favorable value.
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If you are in a situation where you have no equity there are still a select lenders that are financing 100% of the appraised value. I personally have two lenders that will lend 115% to an "A" paper borrower. Having negative equity is never a great thing to have, but if your back is against the wall and you plan on staying in the property for the long term, this may be the only feasable option. Having negative equity negates the detrement of missing a mortgage payment and having a poor credit history. If you credit is healthy now, and you plan on staying in the property for the long term, refinance as soon as possible. If you need to relocate due to job displacement, maybe consider using the property as a rental rather than selling. Use the money you would have brought to the settlement table to knock off your principal and get a good tenant in the building. Selling without equity should not be an option unless your in dire straits. Also, Finding an FHA approved lender will greaten your chances of being able to refinance. The new FHA "secure" that was implemented by George W Bush was implemented(pending Jan 2008) for home owners with little equity and adjustable rate mortgages that will expire. In this current mortgage market FHA is the only way to go to get a low equity or ARM fixed at a competive interest rate. Even if you miss a payment after the loan adjusts this will not be counted as long as the payment history prior to the rate adjustment is a 0x30 rating (No lates in 12-24 months) FHA would be you best option if you need to refinance.
Wiki User
∙ 13y ago
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A friend bought a new truck and i cosigned the document with him can you get my name off the document because you were pressured to sign the document?
Can you get him to refinance--and would he qualify??
If your parents bought a house in their names because your credit could not secure a loan can your wife and you later refinance in your names only?
You would have to 'buy' the house from your parents, but if you can qualify for a loan, there shouldn't be a problem.
If you bought a house and had it financed with a cosigner are they on the deed and if you are able to refinance yourself can you do it without them?
Since you are both on the loan you are both on the title. You can refinance without them on the loan but would need them to sign the title over or transfer at close.
Is the interest on used car loans higher than the interest on new car loans?
The interest on used car loans are definitely higher than new car loans.The rate is higher because the car is usually not bought from a car sales house
What does decresing mean?
Decreasing. And it means "to get smaller." For example, "I bought a car, so the amount of money in my wallet decreased."
Does a refinance in 2008 on a first house bought count as a first time home buy in 2008?
I am assuming you are looking for a first time home buyer credit. No this is a refinance not purchase. Closing Costs could possibly still be deducted on taxes but check with your tax advisor on that.
Does general motors have a vested interest in Kia Motors?
No, but they have an interest in Daewoo. Ford at one time owned an interest in Kia until Kia was bought by Hyundai.
How much money will I save if I refinance?
You may not save anything. It depends on what you're refinancing from and to, whether the value of your house has fallen since you bought it, and your current credit situation.
Can you refinance your house after getting a home equity line of credit?
Technically, yes, but the home equity line of credit is a lien against your home and will have to be paid off when you refinance the house. In reality, many people find that the unpaid balance on the HELOC, plus the unpaid balance on the original mortgage, exceeds the amount the bank will lend on the refinance. Before you apply for the refinance, just talk with your lender. They can probably walk you through the numbers on the phone and determine pretty quickly whether or not you have enough equity to refinance. If you bought your home several years ago, you may have to have an appraisal done to find out the maximum amount the bank will lend.
When Amanda bought a car for 8500 her loan was for five years at a 4.6 interest rate how much will Amanda pay for her car total including interest?
9708.14
Amanda bought a car for 8500. Her loan was for five years at a 4.6 interest rate. How much will Amanda pay for her car total including interest?
9708.14
When Amanda bought a car for 8500 her loan was for five years at 4.6 interest rate how much will Amanda pay for her car total including interest?
9708.14
