July 21, 2006
Mortgage refinance, even with bad credit, can get you a good rate and release home equity cash loans. Calculate the best rate countrywide – Minnesota to Virginia to California
It’s time to refinance your mortgage. You have made your payments on time, your credit is good (if you had bad credit and followed the advice on our mortgage page your bad credit is repaired), you have made extra payments as we suggested, so you have more equity.
Now you want to use some of your home equity to invest in a house in Florida or California, or start a commercial venture. Get a quote here for the best rate on a first or second mortgage.
Refinance your first mortgage, or take a second mortgage? Check your mortgage documents or call your mortgage broker to see if there are penalty fees to pay off your present mortgage. Your present mortgage lender may give you more money on your equity with no fees if they know you are shopping for the best deal. Check GMAC rates for a benchmark of what rates are available.
Some mortgages have a built in line of credit at the same rate as the mortgage. If you do not have this feature in your present loan, you may be able to add it for no charge or a low charge.
VirtualBank Mortgage Loans provides low cost mortgage refinancing online; get a free quote with a mortgage calculator and see how competitive they are.
When you fill out the Mortgage application, include ALL your income. Do you get a disability payment, child support, stock dividends, or other income aside form you regular salary? Do you have bonus or commission income?
If you have poor credit and must pay a higher rate, get a mortgage with a three year term as rates are a bit lower on three year mortgages. Make all your payments on time, and pay all your other bills on time for that three years. Your credit will be repaired, you will have some home equity, and you will have a history of making your mortgage payments on time. Then, apply for a five year term mortgage at the lowest rate.
If you have other payments in addition to your Mortgage Loan, it may be wise to borrow more on the Mortgage and pay off your Car Loan, credit card debt, or other debt. This will probably make your total payment lower, so you can borrow more to buy the Home you want.
Once you apply for a Mortgage, don’t change jobs or credit cards or make major purchases until your loan is finalized and you have made the first payment.
Don’t cancel credit cards or get new credit cards within a few months before you apply for a Mortgage. It may make your credit rating drop.
Don’t buy anything big until your mortgage is approved and you have made your first payment! If you buy $5000 worth of furniture for your new house just before the Mortgage is finalized, the lender may do a last minute credit check, find your debt ratio too high, and cancel the loan!