June 6th, 2014
- We would like to refinance. We currently have an adjustable rate in the high 2% range along with an equity line. We would like to consolidate both loans. We are planning to sell the home in about 3 years, what option do we have? If your timeframe is 3 years, are you interested in another adjustable rate? With a 5-yr ARM, you would have the flexibility of another 2 years, should your current plan change. Current rates for our bank portfolio program are in the high 2% range and would allow you to potentially consolidate both you first and second mortgage pending appraisal.
- We own a home through inheritance. I have brothers and sisters who are also inclusive in the inheritance. Two of us would like to continue ownership while the others would like to sell. How does this work? With an estate, you need to determine how much each person exiting ownership would receive as part of their distribution. Since you have ownership with the transfer through the will, you would refinance the property through a cash-out refinance, pay off any existing debt and distribute additional funds to your brothers and sisters. Other things you would need to determine include whether you would include closing costs or if they would be brought to the table. This may change slightly with the appraisal, there may be more or less to distribute.
- I am in the process of a divorce. I would like to buy a home, but we currently own a home. I'm not sure yet whether I want to stay in our current residence or start fresh. My soon-to-be ex may want to stay in the house. It is all very overwhelming, what are our options? You do need to decide whether you are keeping your existing home or who is staying there. It sounds like you have some decisions to make. If you choose to stay in your current home, you would refinance the other spouse off the title and note. If you determine to purchase elsewhere, then you would proceed in that direction. Either way, a formal separation agreement would divide responsibilities and assets. If you can work this out amicably, great. If you need to seek the opinion of an attorney, this would also be an option.
Jennifer Keenan, Senior Mortgage Consultant
NMLS# 101837, Tidewater Home Funding (757) 366-8690