Refinancing Mortgage/HARP2/Down the rabbit hole!
So, I've recently taken on looking into refinancing for a lower percentage rate, and I know how Alice felt when she dropped down the rabbit hole!!
First of all, we're not in a bad position. We're at a fixed 5 1/4, have never been late on a payment and aren't in danger of falling behind. So if this doesn't work out it's not the end of the world.
However, why is it so difficult?! I called our loan "servicer" who said that they show that we don't qualify for HARP2 (getting refi'd for a lower % without an appraisal or closing costs), but they think that we should. Called our loan "holder" and they show that we do qualify, but are offering zero help beyond that. Spoke to a housing specialist and was told that we have to go through an "open access" lender to get that program. An independent mortgage guy who came with high recommendations can't get it for us, but could definitely do a straight up refi as long as we will appraise for at least 80%. Our home value has definitely dropped, but we can't seem to figure out just exactly what it would appraise for.
I don't want to have to pay closing costs if we can work within that program. However, I don't mind paying them as long as I know the appraisal will come in at the right amount and that we'd be able to go down at least a full point. Haven't gotten up the energy to try talking to an "open access" lender yet (the housing specialist directed me to a website that lists them).
Has anyone waded through this mess or understand it at all?? Any advice would be most welcome! :mickey: