Refinance current home and applying for a new home loan?

Question

My girlfriend currently owns a home which she is trying to refinance - at the same time, she is looking for a new home and wants to apply for a new home loan. But it's taking a long time for the refi to close (can't lock the rate/terms she wants) and she wants to go ahead and apply for the new home loan. Her current mortgage broker won't do both as they are not supposed to refi her current home if they know she is going to buy another primary residence. She is thinking about going to another broker for the new home loan. If she gets the new home loan approved and then the rates for the refi drop - can she still refi her current home- what are the implications and consequences?

maocom1 · Accepted Answer

it depends on which home she is going to live in, the new home will be her primary i take and the refid one will be a second home or investment correct? Is so, if her credit is good enough i dont understand why its taking so long, but don't wait for a magical 3.75% or 4.0% fixed rate to show up, its not going to happen unless she is interested in a a fha 15 year fixed. It might get that low on the fha program, right now conventional 30 fixed are horrible especially if her credit is lower than 720 middle score. The mortgage industry has tightened up and changed if she is in the mid to upper 6's you are not going to get the best rates until at least over 740 middle which is not a large percentage of america. wait about a week and a half rates should be close to or under 5.00% then refinance but again there is a line that lenders are going to stick to and go not that much lower, just look at the bonds in feb 2009 they were in the 2's range and rates were still in the high fours. Apply online at www.fhastreamline911.com for fha streamline refinance rates and fha purchase rates

lonnie w · Answer

Does she have a contract on the new home? If she does not then why should she apply for a purchase loan? If all she wants is a preapproval then her old broker can easily give one to her. Rates are supposed ot drop mid july ealry august. She might want to go to a new broker anyways because her current broker should be offering her options. Also, as long as she plans to stay in her current residence for at least 30 days after she closes then she should be fine. I would stick with the same broker for both transactions.

Anonymous · Answer

Home loans for people with bad credit offer a solution for people who may find it difficult to get loans on account of poor credit ratings.

? · Answer

you are going to need to promote the primary house with a view to qualify for an additional proprietor-occupied mortgage, in any other case you are going to need to positioned 25% down and your int cost might be plenty larger than five%

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Refinance current home and applying for a new home loan?

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