Refinance question

[jdxprs1]

I have a mortgage at 5.375. I owe just under $160k. The home is worth $403k according to zillow.

I have basically clean credit for about the last 12 months. Still working on getting it cleaned up. Currently in the mid and upper 500's on the fico 2,4, and 5 scores and mid 620's on the fico 8 scores.

What scores should I be watching to refinance at a rate low enough to make it worth doing? What scores do I need to achieve to get a rate to make it worth doing?

[Revelate]

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@jdxprs1 wrote:
I have a mortgage at 5.375. I owe just under $160k. The home is worth $403k according to zillow.

I have basically clean credit for about the last 12 months. Still working on getting it cleaned up. Currently in the mid and upper 500's on the fico 2,4, and 5 scores and mid 620's on the fico 8 scores.

What scores should I be watching to refinance at a rate low enough to make it worth doing? What scores do I need to achieve to get a rate to make it worth doing?

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The FICO 5,4,2 variety.

I don't know much on FHA refinances, but a 15 year FHA loan might be an option at least based on a quick Google of rates; I think you basically need to get to 620 before you can do a conventional Fannie one, but then that might be an option since you're under 60% LTV.

[jdxprs1]

Currently have a conventional

[ShanetheMortgageMan]

If you choose a 15-year term or shorter, then with conventional financing the scores don't impact what interest rates you qualify for (620 score is the minmium required though), so I'd make that your first goal. 

What are the delinquent items on your credit that are bringing your scores down?  I ask because a 620 doesn't mean an automatic approval.

[jdxprs1]

2 capital on cards with balances under 1k that are about 5 years old. 2 medical collections under $100. About 5 late payments on mortgage. A fully paid auto loan with ally that had a bunch of late payments. Finally 2 collections accounts each under 1k. One is paid and being removed. The other will be paid but probably not removed.

[Anonymous]

Are you simply looking to refinance to lower your costs, or are you looking to get some cash out?

[jdxprs1]

lower cost and time. leaning towards a 15 year at a much lower rate, so i can lower my payment and shorten the time left to pay off.

[ShanetheMortgageMan]

For the medical collections, search the internet for "WhyChat HIPAA Letter Program Guide".

What MM/YY were the late payments on the mortgage?

Are the Cap 1 accounts collections, charge-offs, in good standing, etc.?

[jdxprs1]

Last late on mortgage was 02/16. The cap one accounts were chargeoffs in the summer of 2012.

[jdxprs1]

Is it worth going through the Hippa process for 134$ and 74$?