Seeking lower rate - When to Refi?

[Anonymous]

Hey all!  Quick question here and hoping for some advice.  Bought my first home with my wife July of this year (7/2019).  At the time of our home purchase, mortgage was based on my credit, which at the time was about 610 according to our mortgage broker.  That gave us a 4.75% interest rate.  He explained that rates will continue to drop and that he wants to get me into a lower rate and thus suggested refinancing  in maybe about 6 months or so.  So, my question(s) are as follows:

  1.Is it common now a days to refinance so quickly?

  2. What should I get my score to in order to get a lower rate?

  3.What are the benefits/drawbacks of refinancing?

Thanks all.

[CreditInspired]

---

@Anonymous wrote:

Hey all!  Quick question here and hoping for some advice.  Bought my first home with my wife July of this year (7/2019).  At the time of our home purchase, mortgage was based on my credit, which at the time was about 610 according to our mortgage broker.  That gave us a 4.75% interest rate.  He explained that rates will continue to drop and that he wants to get me into a lower rate and thus suggested refinancing  in maybe about 6 months or so.  So, my question(s) are as follows:

  1.Is it common now a days to refinance so quickly?

  2. What should I get my score to in order to get a lower rate?

  3.What are the benefits/drawbacks of refinancing?

Thanks all.

---

Hi and welcome,

Is your loan FHA? If yes, you can do an FHA streamline. However, you must have made 6 payments and have you made the last 3 payments on time with a near perfect 12-month payment history. 

[Anonymous]

---

@CreditInspired wrote:

---

@Anonymous wrote:

Hey all!  Quick question here and hoping for some advice.  Bought my first home with my wife July of this year (7/2019).  At the time of our home purchase, mortgage was based on my credit, which at the time was about 610 according to our mortgage broker.  That gave us a 4.75% interest rate.  He explained that rates will continue to drop and that he wants to get me into a lower rate and thus suggested refinancing  in maybe about 6 months or so.  So, my question(s) are as follows:

  1.Is it common now a days to refinance so quickly?

  2. What should I get my score to in order to get a lower rate?

  3.What are the benefits/drawbacks of refinancing?

Thanks all.

---

Hi and welcome,

Is your loan FHA? If yes, you can do an FHA streamline. However, you must have made 6 payments and have you made the last 3 payments on time with a near perfect 12-month payment history. 

---

Thanks!  Yes, it is FHA.  Thanks for the info on the 6 payments.  We have made 3 thus far on time, so it looks like I have to get 3 more in.  That won't be a problem.  Thanks!!

[NC_Mtg_Loaner]

See if you can't work to get your score up to 680+ as that will surely help and then keep your eyes peeled on the US 10 YR Treasury Bond yield.  It is the barometer for mortgage rates and whenever the recession or a slow down materialize, get yourself in a position to pull the trigger. 

[Anonymous]

---

@NC_Mtg_Loaner wrote:

See if you can't work to get your score up to 680+ as that will surely help and then keep your eyes peeled on the US 10 YR Treasury Bond yield.  It is the barometer for mortgage rates and whenever the recession or a slow down materialize, get yourself in a position to pull the trigger. 

---

Great advice, thank you!!

[CreditInspired]

---

@Anonymous wrote:

---

@CreditInspired wrote:

---

@Anonymous wrote:

Hey all!  Quick question here and hoping for some advice.  Bought my first home with my wife July of this year (7/2019).  At the time of our home purchase, mortgage was based on my credit, which at the time was about 610 according to our mortgage broker.  That gave us a 4.75% interest rate.  He explained that rates will continue to drop and that he wants to get me into a lower rate and thus suggested refinancing  in maybe about 6 months or so.  So, my question(s) are as follows:

  1.Is it common now a days to refinance so quickly?

  2. What should I get my score to in order to get a lower rate?

  3.What are the benefits/drawbacks of refinancing?

Thanks all.

---

Hi and welcome,

Is your loan FHA? If yes, you can do an FHA streamline. However, you must have made 6 payments and have you made the last 3 payments on time with a near perfect 12-month payment history. 

---

Thanks!  Yes, it is FHA.  Thanks for the info on the 6 payments.  We have made 3 thus far on time, so it looks like I have to get 3 more in.  That won't be a problem.  Thanks!!

---

You're welcome. Here is a link for some additional info.

https://www.fha.com/fha_article?id=27