Best Mortgage Solution for me?

Deal Score0

My house is worth 180k or more. My loan on it is 151k.
My credit score is approx 637-644

Im in State of Tx

My purpose is lower my payments (1156 plus taxes currently)

I want a non income stated loan. I want to be at an arm or a fixed.

I dont want to run my credit everywhere. Can anyone guide me to the right path ?

  1. Reply
    February 11, 2011 at 2:00 am

    talk to a mortgage broker about your options

  2. Reply
    February 11, 2011 at 2:23 am

    don’t get an ARM! My sister is trying to sell her house now to get out of it. I’m in same category as you with same house value and loan and credit range. We refinanced to 15 yr at 5.5

  3. Reply
    February 11, 2011 at 2:59 am

    You’re under 90% LTV and your credit score isn’t bad, so you should be able to qualify for a stated-income ARM. Depends on your employment history and credit history. Any bankruptcies and/or foreclosures in the last 3 years? Are you self-employed?

    You may qualify for an Option ARM with a minimum pay rate of about 2%. Contact me if you’d like to explore your options–I’m in Dallas, TX.

    Rick Lanicek

  4. Reply
    Searchlight Crusade
    February 11, 2011 at 3:54 am

    First off, mortgage hits count different than anything else. All mortgage inquiries within 2 weeks count as exactly one hit together. This is so you can shop for a mortgage as well as you’d shop for any other major item, and puts paid to the old game of mortgage lenders running your credit multiple times to drive your score down.

    Stated income with that score may be able to lower your payments $ 100 or so, but that’s it. Except with an option arm, which are the ultimate nightmare loan. There may be reasons to do them occasionally, but anyone who does more than 5% of their loans as option arms should be avoided. They are not something you want to do on your residence unless the other choices lead to foreclosure.

    Info here on option ARM

    (and lots more on that site, as well)

    30 fixeds are running a minimum of 6 percent, even A paper, which you probably are not. 5/1 ARMs are available down to about 5.5 with a couple of points, maybe 5.625 % interest only.

    Either way, add about $ 7000 to your loan balance. If $ 158,000 is below 80% of the value, I get a payment of about $ 950 IF you are A paper on a 30 year fixed. Maybe about $ 745 if you take the 5/1 interest only ARM, once again, IF you are A paper which you probably are not.

    Shop around. But given your situation, you’re risking having to pay the prepayment penalty if you accept one. So don’t.

    And if you’re in a time critical situation, apply for a back up loan as well. That way if the lender suddenly “discovers” they’ve got to charge you three extra points at the end, you’ve got a fallback plan.

  5. Reply
    February 11, 2011 at 4:21 am

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