Question by DC: HARP Refinance Loan! is it worth or no?
I owed 400k right now but the house worth 344K. My lender Wells Fargo advised me to refinance to lower my interest rate 6, visit 75% and monthly mortgage by using HARP. So, I asked him then the loan will be $ 344K with the new interest loan. Of course he said no. It will be 400K with lower interest rate than 6.75%. So do you think is it worth or not to do it? please let me know. thank you for your cooperation.
Best answer:
Answer by falsi fiable
HARP is for borrowers who are underwater, but current on their payments. Not all lenders offer HARP loans.
6.75% is a horrible mortgage interest rate. Current rates for people with excellent credit are hovering around 5%, give or take. With good credit (but not excellent) expect to pay about 5.5%.
If you have poor credit, well, you probably won’t qualify to refi.
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It depends on your present interest rate. I am surprised you thought they would gift you 56k, they can’t legally do that.