Anyone who has not been living in a cave for the past year have heard the sob stories from lenders and the sad state of lender balance sheets. Lenders are not interested in loaning money to those with poor credit. And we must confess, it makes perfect sense. When there are indications that the applicant has not paid debts in the past, especially in the recent past, why would the bank want to place themselves in the mix of a bankruptcy waiting to happen? There was a short time period where even auto dealers wanted a minimum 700 credit score.
“They” say the economy is in recovery, but easy credit has not returned.
Here’s one remaining solution where New Jersey borrowers can still refinance with poor credit. But even with this program, there are some limitations and requirements.
Are you an FHA or VA mortgage-holder with a rate that is higher than the current rates for these programs? If yes, then you should inquire about refinancing under the Streamline program. You can refinance your mortgage to a lower rate without having the credit check problem. Note that these requirements still apply:
- No unpaid judgments or liens
- No delinquent child support
- The mortgage must be current. It could have been recently delinquent so long as it is current now.
- No home equity loans in place on the home
We have just one lender that will close an FHA/VA Streamline refinance loan under these terms. 98% of lenders will not. Program guidelines change every day so if this fits your situation, inquire today.
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