What is the best way to refinance a mortage?

Question

I currently have a fixed rate of about 12%, and I was wanting to see what my options were for refinancing. Can I trust such online services as Ditech.com or Loantree.com?

Answer 1

The last response is correct...you need to have a professional look at your situation.

The main key everyone out there needs to remember is that every person in america have different finances, employment, credit, bills, etc. Each and every person qualify for something different. On top of that every lender has diffeent guidelines in which they lend money..

My advice is that you work with a company that is partners with multiple investors. There are a couple reasons i suggest that:

1. If a loan officer can shop your loan to multiple lenders they are bound to find one or more willing tho lend to you. They then can find the best of the offer, and allow the investors to compete for your business. This means lower rates and costs for you!

2. If you on your own call multiple banks to see what you qualify for, each and every lender will have to pull a seperate credit report. The more times it is pulled the worse your credit gets. Now, when you work with a loan officer that can shop among their investors, they only have to pull one credit report, and use that copy to shop mortgage lenders for you..

So not only do you keep your credit score where it is, you dont have to worry about any of the busy work..you let the loan officer do it for you..

As for the question about Ditech, and lendingtree, these are companies that you will end up paying much higher closing costs, and interest rates as well. The other thing is that they take tremendously longer to close your loan. Being that they are online companies, they do not service your loan. They sell your loan 30 days after they close it for you. I would suggest working with a BANK that partners with multiple lenders to bank all loans IN HOUSE!!

My name is Jason Fry, and I am a loan officer with Providential Bancorp, a nationwide mortgage lender. We are partnered with over 80 different investors that all have different options. I'd be happy to assist you in a refinance, or at least be able to let you know exactly what YOU QUALIFY FOR. You can then make a more informed, and educated decision whether it would be the right move for you.

Feel free to give me a call at 312-264-6448, or
you can email me at [e-mail].

Thank You,

Jason Fry
Providential Bancorp

Answer 2

12%!!!! How old is this loan, and how much do you owe on it? These answers will impact the answer to your question.

Generally speaking, YES, you should refinance a 12% loan.

Your biggest concern during refinance is the closing costs, so shop around for the lowest closing costs. In general, if you owe say $62,000 on the house, you should make sure you are refinancing only $62,000 - don't let them roll up closing costs into the new loan!!!

It is possible that you can find a bank who is willing to accept say 6 to 10% of your interest instead of some other bank and would waive the closing costs to do it - they know they will easily make up the $2,000 in closing costs over the life of the loan. Be an informed shopper and you'll see they negotiate to meet your terms.

I could recommend any of the sites you mentioned. Odds are good that these are only "closing companies". This means as soon as the close on your new loan they will sell it to a "servicing company" who then handles the processing of your monthly check. So, what is in it for the closing company? That $2,000+ in closing costs is what!

Good Luck.

Answer 3

For Finance and credit solutions I always recommend this site where you can find all the solutions. http://your-finance.us/index.html?src=efHgoQ3sjD

RE :What is the best way to refinance a mortage?
I currently have a fixed rate of about 12%, and I was wanting to see what my options were for refinancing. Can I trust such online services as Ditech.com or Loantree.com?
Follow 5 answers

Answer 4

I would go to a mortgage broker. They usually work with about 20-30 mortgage lenders and will try to get you the best deal.

If your mortgage rate is 12%, you either have a very old mortgage from the 1980s, or very poor credit.

Good luck

Answer 5

Good grief, did you understand half of what that guy was saying.

12 percent rate indicates you have had some problems with your credit in the past. Have a professional look at it with you and decide from there.

Answer 6

Whatever yopu do, don't hesitate to shop your rate !

Don't know about these companies.