Who Can Refinance Mortgages Now !

Who Can Refinance Mortgages Now


If you have a job, and you've maintained a good credit score, the time is coming when you may want to talk to your lender about refinancing.

First, for those who have adjustable rate mortgages (ARMs) tied to United States Treasuries, your ARM may reset lower than where it is now, perhaps even in the 4.5 percent range. (Yes, you read that right -- around 4 percent.) How could this happen? If one year Treasuries are at 1.5 percent, and you have a 3 percent margin attached to your loan, that adds up to a 4.5 percent interest rate.

If you have an ARM tied to LIBOR or some form of interest-only loan, some lenders are offering to lock in adjusting rates for a small fee of $250 for the life of the loan, or even the next 5 years. Find out when and at what interest rate your loan will adjust and then see what it would cost you to convert your ARM to a fixed-rate loan. This could be a great deal, especially if you're sick of not sleeping at night.

In other news: HSBC -- North America is expanding a program with Money Management International (MMI), one of the nation's largest nonprofit credit counseling agencies, that will give homeowners who have had a temporary financial setback up to $7,500. The program, Preserving Homeownership and Savings Education Strategy (PHASES) program, provides financial counseling along with cash to help homeowners get caught up on their mortgage payments. Funds might be limited and not everybody will qualify, but at least it's a help for those who qualify and can enter the program.

The MMI PHASES program is currently available to homeowners in Arizona, California, Connecticut, Florida, Illinois, Maryland, Massachusetts, Michigan, Nevada, New Jersey, New York, Ohio, Pennsylvania, Texas, and Virginia. To find out if you qualify and if the program is open call toll-free 888-589-6959