80/20 LOAN 2013

In May of 2003, my spouse plus I purchased a home. We got an 80/20 loan to pay for the expense. 80% of the loan is a fixed 5.25% rate. 20% of the loan began at 6.25% plus currently sits at 9.25&. The loan will readjust upcoming May. Is the 20% loan considered a next mortgage? How will I refinance it today plus receive a fair rate? My spouse plus I have near-excellent credit.
P.S. because a side note, the home you have the mortgage about is currently value approximately $ 20,000 lower than you paid for it, thus rolling the financing together is impossible.

Answer by shamieya
Yes it is actually a next mortgage. Call a mortgage broker to aid you see the greatest deal for a stand-alone next mortgage. If you are in Florida I will assist you; you are able to email me about yahoo.

Answer by aboryszuk
yes it is very considered a second mortgage its a combo loan thus we wouldnt need to set up an escrow or pay mortgage insurance, i might state keep which first which 5.25 is a ideal rate, there are certain banks available which can provide a stand alond 2nd at a fixed rate, depending found on the amount of equity inside the house, WAMU has ideal rates today in addition to Countrywide, we have the possibility to refi to 1 loan yet in the event you are over 80% loan to value you’ll need to receive escrow plus many likley PMI, however superior chance to we i hope i gave we the answeres we needed

Answer by Jay P
This answer for this depends about how much equity we have inside the home. Have we made any additional payments. Why is easy. If the apartment has declined inside value you might owe over the home is value. This really is the danger we take with 100% financing. Whenever striving to refinance you will want to receive another appraisal performed. If there is not enough equity to borrow against, you’ll have a issue getting a refinanced next mortgage.