Refinancing Nightmares

flip_it_fast · #1 02-15-2011, 03:11 AM

I just read a few stories about people who tried to refinance their homes while the mortgage interest rates were low so that they could lower their monthly payments and pay off their homes sooner. Their stories are nighmares!

One couple, when they bought their house they got it for $30,000 less than asking price. The home actually appraised a decent amount higher than what they paid. So when they went to refinance just a few years later to lower their monthly payments they were quite shocked that the appraiser actually valued their house for less than what they were paying! They had figured that the house would hold more value, especially after some upgrades. But no it didn't. They tried to fight it but to no avail. They ended up not refinancing.

Another couple faced major obstacles getting refinanced and also eventually gave up. Their house appraised just fine for refinancing but because lenders had tightened up their lending practices, the husbands self-employment didn't qualify them even though he was self-employed when they were approved to begin with when they purchased the house. They said his income was too unsteady. Unsteady even though he had not been without steady income while others were being laid off.

Sometimes you just can't win for losing. I feel terrible for these people. It's a shame they couldn't take advantage of the lower interest rates.

flippinout · #2 02-15-2011, 05:17 AM

The foreclosures that took place has made it so the banks have tightened up so much on loans that it is next to impossible to get one for a home or to refinance.

And it doesnt matter whether the people applying for the loans have a higher than average income or not, they still can and are turned down.

Some banks had been really picky about making loans or refinancing and now they have cut back even more. And thats a shame that people cant take advantage of the lower interest rates.

The government needs to straighten out this whole mess and make it easier on us. I mean after all, we are the ones out there bustin our behinds to make a buck and pay our taxes only to be told that we can even get a personal loan in an emergency let alone get a home or refinancing loan.

realestatehound · #3 02-15-2011, 06:41 PM

If it is left up to the president no one will be able to buy a home unless they are rich. He has bills out now that will do away with fanniemae and freddiemac and make it all private. The experts think that this will drive interest rates up to 8% or above and dowm payments will go much higher and closing cost will skyrocket. Right now here in Ky. the biggest part of our business is first time home buyers and they get 100% loans. If the president has his way a home buyer trying to buy a $100,000 would have to have at least $20,000 and he is trying to get more. So how will his bill help America, it won't but it sure will help the Japanese and Chinies that are buying up our country. Sorry about the spelling. Go president, take another vacation on the American people.

badmomma · #4 02-15-2011, 09:57 PM

It is a sad state of affairs and I hate to see this. I do believe that our dear president must have taken a few golfballs to the head on all of those golf trips he's taking.

Why is it that we even bother to vote? Seriously I am sick of the lies that they tell us to get us to vote them into office. Once they get in they forget about the country and the people but they don't forget how to get the money to line their pockets.

flippinout · #5 02-16-2011, 06:10 AM

Oh, this situation with the president and this bill really tees me off. It seems that he is trying his best to put the screws to us all in any way possible. Come on, we need help, not more rules and regulations that are making it virtually impossible to get anywhere these days.

Work on the countrys budget and cut government spending. Help us little people a bit here, after all we voted you in. Stop hurting us.

loumatt · #6 02-16-2011, 06:15 PM

More of the same unfortunately and so depressing and worrysome.How are any of us honestly going to make a dime in this kind of environment?

I think the days of honest presidents and politicians are now over.
These guys continue throwing our country's future away and are probably owned before they are even sworn in.

Can you even imagine a politician who is honest in Washington??
Probably would not even be a option to be elected in our the system.
At least most of us got a glimpse of a great country.

Doesn't the whole situation seem like a bad dream you want to wake up from.I still can't believe it.JMO.

badmomma · #7 02-17-2011, 02:04 AM

I wish that things were better but am not sure that it will ever improve. Can you imagine that maybe this is how the pilgrims felt when they were fighting for their freedom from England.

Remember the phrase,"No taxation without representation." We are the living relatives of these people their heart and dedication to freedom is within us. We just need to stand up for the rights that they fought so hare for us to have.