When to refi?

[Anonymous]

We recently sold our condo (closed on 9/28) and with that, paid off our mortgage and home equitly line of credit.  We also had moved and purchased a new home in another state (no doc loan closed on 7/31 with 9% APR).  My husband works PT and I start work at my new job tomorrow. 

I would like to do a home refinance to lower our monthly payments and I would also like to apply for a home equity line of credit to consolidate our remaining credit card debt.  When should I do a refinance and apply for a new HELOC?  How long will it take until we see a change in our credit scores d/t the pay off of our first mortgage and  HELOC?

[Anonymous]

It takes about 2 months to show as "paid off" and as for the heloc you can get it time as long as there is equity in the subject property. To be able to refinance you have to wait at least a year.

[ShanetheMortgageMan]

Unless you have a prepay penalty and want to avoid paying the prepay penalty, there is no minimum time you must wait in order to refinance.  As soon as you are able to qualify for better terms, you may proceed down that road.

How long has your husband been working part-time for?  Part-time usually needs a full 2 years in order to qualify.  Also, did you recently change jobs or are you going back to work?  If you've recently changed jobs, and as long as you came from a job in the industry and have been in the industry for 2 years, your employment should be fine to qualify.  Even if it hasn't been a full 2 years exceptions are made quite often.

The second your paid off mortgage/HELOC reports to the bureaus (which could be 2 months, or 2 days after being paid off, up to your lender) your score will change... if the HELOC reported as "revolving" and was close to it's limit you should see a pretty hefty increase on the scores.

[Anonymous]

We recently moved to another state but my husband has been with the same company for about 4 years.  He is considered casual/part-time, being called into work when needed.  I have been in the same industry for 6 years and have started a new job (just today), due to our move. 

Thank you in advance for all of the advice. 

[ShanetheMortgageMan]

Then you should be fine as far as employment goes.  You'd just need to sit down with a mortgage professional and determine what terms you could qualify for, and if there is enough benefit for you to refinance.