Can I refinance a home equity loan if I’ve only had it a couple of months?
Thursday, January 28, 2010 0:07
Problem, we recently had our home up for sale, but have since changed our mind. We applied for a small home equity loan through our local bank (17,000)so my husband could buy a car and we could pay off a couple of bills. In the meantime, a larger mortgage co that we also inquired with about this loan told us that they could consolidate all of our debt, and save us 0 every month even if we doubled our payment. So, we went with the larger co, however after going through the whole process with them , they came back and said that since our home was recently on the market, we would have to wait 60 more days to get a loan. (this would be 100% equity LTV) My question is, if we go with the smaller loan from our local bank (who doesn’t give 100% LTV loans), could we in fact get a home equity loan a few months down the road, pay off the 17000 loan and also pay off the rest of our debt? Is there some rule about how long after you receive a home equity loan before applying for another
PersonalFreedom says:
January 28th, 2010 at 12:07 am
Yes, you can do that. However,
You will have to pay closing costs twice.
There is often a prepayment penalty on Home Equity loans if they are closed in less than 2 or 3 years.
the higher LTV loan will likely have a higher interest rate.
Take both of those into account before you make your decision
internetmortgagepro says:
January 28th, 2010 at 12:07 am
Feel free to contact me, If you send me an email I can give you a number to call me and I would be more than happy to look and this situation and also, (i’m wondering what state you’re in), then i can definitely assess this situation and see what we can do for you.
Nick says:
January 28th, 2010 at 12:07 am
For all your mortgage questions
Try
http://www.platinumquestmortgage.com
or
http://www.mortgagerefinancingatlowrate.blogspot.com
MsTran says:
January 28th, 2010 at 3:09 am
Make the decision to enter into a consolidation plan to eliminate debt fast, and with affordable payments. These savings will increase monthly household income, and living expenses can be met without charging. Enjoy the long term benefits of facing the future without credit cards, and their uncontrollable interest rates.