Grab RSS Feed... by Kiley Black
Mortgage rates are at an all time low making this a perfect time to refinance your home. Many home owners feel that they cannot refinance because of their credit score or because there is a lack of equity in their home. Many also believe that it is not worth it to refinance their home. This is not always the case.
Mortgage refinance may be the fastest way to repair your bad credit. Lenders may be harder on you because of bad credit, but refinancing is still very possible and may be the fastest route to credit repair. Most likely you will have to use a subprime lender, and subprime loans are only a temporary fix. A real estate attorney can help you find a reputable subprime lender. You need to be diligent with your mortgage payments to fix your credit record. Realize that if you have poor credit, it is very possible to re-establish good credit with the right bad credit repair. Essentially, you need to learn from your mistakes and punctually pay every bill.
Often, home owners adopt the route of refinancing their home mortgage, by consolidating all of their debt. In particular, if they are holding credit card debts whose interest rates tend to be costlier than home mortgage rates, they might look to consolidate credit card debt with their mortgage. There is an advantage to this; the overall payout rate tends to be lower than if these debts were to be repaid individually. However, this does draw out the payout duration. For many, this is still a better scenario making the payments more manageable and bringing those payments more in line with current earnings.
A lawyer who does credit counseling can refer you to many people within their network who can help you through the refinancing process and can offer advice to you when considering what would work best for you and your credit score.
