Refinancing Home and Second mortgage....

[jrudicel]

My wife and I were discharged Ch 7 in june of 05. We keep our house and second mortgage through the BK. Since BK, I have cleaned up most of the credit reports and now have scores in the 600-650 range. I have a 300.00 orchard bank card, she has a 500.00 capital one card. I just got approved for a 2000.00 Hooters mastercard as well. We redeemed my truck in the BK with US Bank and paid it on time for several months at 21% then refinanced it with WFS Financial at 14%. I am wanting to refinance the house and second mortage into one payment IF it would be the best thing to do.
I make approx 42000 a year, wife at about 5000 a year. My house pmt(including taxes and insurance) is 644 month @8.625 for 30 years. Owe 62500.00 My second mortgage is 25000 and is 323 @13.99 for 20? years. My truck is 345.00 a month. Thats our loans.
House shouse be in the 85000.00 range as well, so it would be a 100 LTV loan.
Any use in trying this or a waste of time? I also dont want a bunch of inquiries as well. What about a mortgage broker?
thanks for any advice...

[tinroofrusted]

My wife and I were discharged Ch 7 in june of 05. We keep our house and second mortgage through the BK. Since BK, I have cleaned up most of the credit reports and now have scores in the 600-650 range. I have a 300.00 orchard bank card, she has a 500.00 capital one card. I just got approved for a 2000.00 Hooters mastercard as well. We redeemed my truck in the BK with US Bank and paid it on time for several months at 21% then refinanced it with WFS Financial at 14%. I am wanting to refinance the house and second mortage into one payment IF it would be the best thing to do.
I make approx 42000 a year, wife at about 5000 a year. My house pmt(including taxes and insurance) is 644 month @8.625 for 30 years. Owe 62500.00 My second mortgage is 25000 and is 323 @13.99 for 20? years. My truck is 345.00 a month. Thats our loans.
House shouse be in the 85000.00 range as well, so it would be a 100 LTV loan.
Any use in trying this or a waste of time? I also dont want a bunch of inquiries as well. What about a mortgage broker?
thanks for any advice...

Hi there.
I work for a mortgage company myself in the processing department. Because you are nto even one year out of discharge, let alone the two years that they like, you are most definitely not going to be able to get 100% LTV.

[Roadrunner]

I think the reason for doing an 80/20 is to avoid PMI. My guess is that if you could find a 100% financing right now, you would not be paying less. As it is, a greater part of your 2nd payment goes to the principal since it is a 20 year loan rather than 30. If you're able to pay any extra toward your mortgage, apply it to that part since it is the higher APR. Perhaps in a year or 2, you'll have paid the loans down a little and your home value will be up. I imagine that with more time after the bankruptcy, and if you can get to where you only need to finance 90-95%, you'll have better options.

[jrudicel]

Thanks guys.. Thats what I thought. I guess I will dump any extra on the second mortgage and just wait a couple years for better options on interest rates and LTV etc. Thanks alot for the input!

[MTG_BANKER_OH]

My wife and I were discharged Ch 7 in june of 05. We keep our house and second mortgage through the BK. Since BK, I have cleaned up most of the credit reports and now have scores in the 600-650 range. I have a 300.00 orchard bank card, she has a 500.00 capital one card. I just got approved for a 2000.00 Hooters mastercard as well. We redeemed my truck in the BK with US Bank and paid it on time for several months at 21% then refinanced it with WFS Financial at 14%. I am wanting to refinance the house and second mortage into one payment IF it would be the best thing to do.
I make approx 42000 a year, wife at about 5000 a year. My house pmt(including taxes and insurance) is 644 month @8.625 for 30 years. Owe 62500.00 My second mortgage is 25000 and is 323 @13.99 for 20? years. My truck is 345.00 a month. Thats our loans.
House shouse be in the 85000.00 range as well, so it would be a 100 LTV loan.
Any use in trying this or a waste of time? I also dont want a bunch of inquiries as well. What about a mortgage broker?
thanks for any advice...

You could refinance your whole mortgage into one loan since your BK is discharged and your scores are over 580. There may not be much in the savings department for you but you can do it. To get the best deal you may be looking at an 80/20 though again. Unless your house will appraise for more then you think. You can get 1 loan 30 year fixed at around 8.5-9% if you have 5% equity or you may be able to get a blended rate of around 8.75 if you do an 80/20 if the 5% equity is not there. You can refinance though if y ou want to or if it is beneficial to do so. It looks like your mortgages may be more then your house is worth. You may want to see what houses are selling for in your area. Honestly the savings may not be much to warrant a refinance though. You can refinance just out of a BK discharge though up to 100% or buy just after a BK discharge up to 100% with a 580 score, do not let anyone else tell you otherwise. There is also a mortgage forum here on the BK forum where you may be able to find some more information.