Answers
What does your credit score have to be in order to refinance?
To make a long story short, My grandmother bought our house in her name because my husband and I didn't have enough credit. The plan was that after 2 years we would refinance the house into our names (we have been making the mortgage payments). So when the house was purchased, we made the mistake of getting an adjustable rate instead of fixed, and our monthly payment has gone up $300 already. We desperately need to refinance into a fixed rate before our monthly payment goes up again in February. If we aren't approved, we will have to sell the house. I don't want to mess my grandma's credit up, so selling the house would be our only other alternative. Any advice on what I should do?
Best Answer:
You have time to repair a few credit issues, so find a lender that will pull your credit report and help you to fix some of the things on it if need be. Do it NOW because these can take a few months. It's a farly simple procedure. You can even go online to the 3 major credit bureaus and start fixing your own credit, but you will need some good advise of someone who knows what they are doing to get it done in a timely manner. Good rates are given to 680 and better., but even lower rates in the mid 500s can get a loan,but those are the higher interest rates So chop chop..find a GREAT lender! Good luck!
Answers:
Well for starters do you know what kind of credit score you have? Over 500 you should be able to refinance although what rate and monthly payment may depend. I would suggest to contact a mortgage company and explain your situation see what they can do for you.
Of course, you need to see a loan specialist, but I think if your credit isn't in the toilet, you can refinance. The better it is, the less risk for the bank and the lower your rate.
look into FHA financing...they have no score requirement....and you can finance up to 97.75% of the value for a rate/term refinance...or a 95% cash out