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Can you really refinance after only a year?
My mortgage guy contacted me saying he could give us a better interest rate. We only closed a year ago. I always thought you'd need more equity? I haven't contacted him back yet, as I need more info. first to go on.
Have you done this?
experiences, please! 
Message edited 10/26/2011 4:07:58 PM.
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Posted 10/26/11 4:07 PM  |
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Prudential Douglas Elliman Real Estate
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fdnywife
Mommy of 3 and 4 rescues
Member since 9/09 1841 total posts
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Re: Can you really refinance after only a year?
We did b/c the rates were so much lower. I dont remember much else about the transaction.
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| Posted 10/26/11 6:25 PM |
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Dulcinea
Weekend Warrior
Member since 3/08 2530 total posts
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Dulcinea
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Re: Can you really refinance after only a year?
Yes, you can certainly do it. I closed on my house last September and just talked to a broker about refinancing after finding out on zillow that 30 year term rates are now 3.875 (currently my rate is 4.375).
The refi cost would only be 1800 so it's certainly worth a look. I would save about $130-150/mo depending on how much I want to borrow.... I'll be able to recoop the refi cost in about a year. Still trying to decide if it's worth it.
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| Posted 10/26/11 8:36 PM |
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ItsTime2011
Meh...
Member since 1/11 2148 total posts
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Re: Can you really refinance after only a year?
How is it with this housing market that people can refinance after a year when housing values keep going down. My house is worth A LOT less then what I paid (which was more than reasonable) 3 years ago. There is NO way I could refinance. How do people do it without having to make up the difference which would not help save money.
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| Posted 10/27/11 11:52 AM |
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Re: Can you really refinance after only a year?
Posted by ItsTime2011
How is it with this housing market that people can refinance after a year when housing values keep going down. My house is worth A LOT less then what I paid (which was more than reasonable) 3 years ago. There is NO way I could refinance. How do people do it without having to make up the difference which would not help save money.
I'm confused, forgive me.  You mean like how can people come up with all the BS fees tied to refinancing? or do you mean something else?
I'm really not sure if I'm willing to do this @ this point in time. My broker says my mortgage can go down 200-250 a month and the closing fees would be tied into the new loan. But I haven't crunched the #s yet.
I'm really not in the mood to deal with anything regarding closing again..or all the fine print...not yet. It was a headache last time, and I'm dreading it again. 
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| Posted 10/27/11 11:57 AM |
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KittyGags
LIF Adult
Member since 7/09 5614 total posts
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Re: Can you really refinance after only a year?
We re'fied 16 months after we closed. It was worth it! The rates came down significantly in those 16 months.
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| Posted 10/27/11 12:06 PM |
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ItsTime2011
Meh...
Member since 1/11 2148 total posts
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Re: Can you really refinance after only a year?
Posted by LadyBugN2Buggies
Posted by ItsTime2011
How is it with this housing market that people can refinance after a year when housing values keep going down. My house is worth A LOT less then what I paid (which was more than reasonable) 3 years ago. There is NO way I could refinance. How do people do it without having to make up the difference which would not help save money.
I'm confused, forgive me. You mean like how can people come up with all the BS fees tied to refinancing? or do you mean something else?
I'm really not sure if I'm willing to do this @ this point in time. My broker says my mortgage can go down 200-250 a month and the closing fees would be tied into the new loan. But I haven't crunched the #s yet.
I'm really not in the mood to deal with anything regarding closing again..or all the fine print...not yet. It was a headache last time, and I'm dreading it again.
Perhaps I am the one that is confused. In order to do a refi, you need to have equity in your home above what you paid for it (that is my understanding) I paid in the 180's for my house 3 years ago, right now the house is valued at (and of course this is not according to an an appraisal, but zillow.com - but I can imagine with the values of houses decreasing its at least in the ball park) in the 170's. So my house it not worth more than what I paid for it. If I were to refinance to try and save money I would have to make up the difference between what I owe and what the house is worth so I don't understand how I could possibly refinance. My DH got laid off over a year ago and by the grace of God we have been scraping by on my salary and savings (not to mention he cashed out his 401K) to make the mortgage. I am going to look into the Making Homes Affordable Loan Mod program and see what we can do we are paying 6.5% right now.
Message edited 10/27/2011 12:08:56 PM.
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| Posted 10/27/11 12:07 PM |
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Re: Can you really refinance after only a year?
Posted by ItsTime2011
Posted by LadyBugN2Buggies
Posted by ItsTime2011
How is it with this housing market that people can refinance after a year when housing values keep going down. My house is worth A LOT less then what I paid (which was more than reasonable) 3 years ago. There is NO way I could refinance. How do people do it without having to make up the difference which would not help save money.
I'm confused, forgive me. You mean like how can people come up with all the BS fees tied to refinancing? or do you mean something else?
I'm really not sure if I'm willing to do this @ this point in time. My broker says my mortgage can go down 200-250 a month and the closing fees would be tied into the new loan. But I haven't crunched the #s yet.
I'm really not in the mood to deal with anything regarding closing again..or all the fine print...not yet. It was a headache last time, and I'm dreading it again.
Perhaps I am the one that is confused. In order to do a refi, you need to have equity in your home above what you paid for it (that is my understanding) I paid in the 180's for my house 3 years ago, right now the house is valued at (and of course this is not according to an an appraisal, but zillow.com - but I can imagine with the values of houses decreasing its at least in the ball park) in the 170's. So my house it not worth more than what I paid for it. If I were to refinance to try and save money I would have to make up the difference between what I owe and what the house is worth so I don't understand how I could possibly refinance. My DH got laid off over a year ago and by the grace of God we have been scraping by on my salary and savings (not to mention he cashed out his 401K) to make the mortgage. I am going to look into the Making Homes Affordable Loan Mod program and see what we can do we are paying 6.5% right now.
Ohhh, I gotcha. Yeah, I don't get a lot of it either. I think you need 5% equity in your house. I'm lost on it all. In fact, we even paid MORE for the house than it was appraised for...that's how badly we wanted it. Pretty dumb to do in this market, but I don't regret it because it was this house or bust. So I never thought they'd contact us a year later to refinance. But I don't know much on this topic!
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| Posted 10/27/11 12:13 PM |
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ItsTime2011
Meh...
Member since 1/11 2148 total posts
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Re: Can you really refinance after only a year?
Posted by LadyBugN2Buggies
Ohhh, I gotcha. Yeah, I don't get a lot of it either. I think you need 5% equity in your house. I'm lost on it all. In fact, we even paid MORE for the house than it was appraised for...that's how badly we wanted it. Pretty dumb to do in this market, but I don't regret it because it was this house or bust. So I never thought they'd contact us a year later to refinance. But I don't know much on this topic!
5%? Really? I was told 20%. Although at this point it might as well be a million%. If ya don't got the money, ya don't got the money.
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| Posted 10/27/11 12:15 PM |
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Aries14
Can't plan life...
Member since 8/08 2860 total posts
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Re: Can you really refinance after only a year?
Posted by ItsTime2011
Posted by LadyBugN2Buggies
Ohhh, I gotcha. Yeah, I don't get a lot of it either. I think you need 5% equity in your house. I'm lost on it all. In fact, we even paid MORE for the house than it was appraised for...that's how badly we wanted it. Pretty dumb to do in this market, but I don't regret it because it was this house or bust. So I never thought they'd contact us a year later to refinance. But I don't know much on this topic!
5%? Really? I was told 20%. Although at this point it might as well be a million%. If ya don't got the money, ya don't got the money.
We refi'ed a year after closing for 100% of our loan - we had no equity at all. I think it was called a streamline?? It was just to get a better rate.
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| Posted 10/27/11 2:03 PM |
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