REFI OR LOAN MODIFICATION

[Anonymous]

Hi,

I am unsure between a loan modification or a refi my lender is Wells Fargo we bought the house in NJ in spring 2006 I am paying a FIR of 6.75% for the 288k mortgage and 8.75 for a 73k  HILOC. Please advice.

My fico 692 TU 696 EQ 705 my wife EX 702 TU N/A EQ N/A.

Thank you in advance for you time

Frank B

[ShanetheMortgageMan]

How much do you think your home's value/would appraise for now?

Is your wife on the current mortgages, and why no scores for TU & EQ?  Not enough established credit? 

[Anonymous]

Thank you Shane for you prompt response first a house down the block sold for 395k 4 months ago same size same year no upgrades as ours we spend 50k in renovations new bathroom brand new roof  1800sq feet of bamboo floors ,etc.

My wife and I we booth are in the mortgages.

And for you last question she only gets EX credit score but I will ask her to get the other 2.usually around the same 690 to 710 we will check and post it ASAP

Thank you

[Lel]

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FRANKNY wrote:

Thank you Shane for you prompt response first a house down the block sold for 395k 4 months ago same size same year no upgrades as ours we spend 50k in renovations new bathroom brand new roof  1800sq feet of bamboo floors ,etc.

My wife and I we booth are in the mortgages.

And for you last question she only gets EX credit score but I will ask her to get the other 2.usually around the same 690 to 710 we will check and post it ASAP

Thank you

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It sounds possible that you might have 20% equity in your home.  You could do a conventional refinance combining both loans into a single fixed-rate loan at a lower interest rate.

With that much equity, loan modification is NOT the way to go.  You'll be told to refinance your loan.

[ShanetheMortgageMan]

Yeah it appears that you should have at least SOME equity, perhaps maybe not 20% depending how your home compares to that other one, but since your scores are healthy and you have some equity - refinancing would likely be the better option for you to look into.  Since your loan balances total up to only $361k, and you are in NJ, you should have conventional & FHA as refinance options.

[Anonymous]

I went to wells farfo to refinance  and they told me to pay almost 8,000!!! my fico is 660 and i have only one late payment. I almost pay 25% of my loan and they told me that i do not qualify for FHA.