Q: Will late mortgage payments in the past twelve months, with 670 credit score and strong income keep me from being able to refinance?
A: Since the FHA program makes money available for people with FICO scores all the way down to as low as 580, your low credit score shouldn't be much of an issue. Your strong income characteristics will of course be welcomed. However, those mortgage lates within the last twelve months may be a deal-breaker. Many lenders are being more cautious, and it is likely that your loan would be subject to manual underwriting and only eligible for approval on a case-by-case basis. Your best bet is to talk to a few lenders to see if they think you might make it over the hurdles.
Can I qualify to refinance?
Recommended Reading
-
The plumbing in my home is failing. Is there help?
You should first check with your homeowner's insurance company to see how much of any damage might be covered. -
When do you predict the housing market to turn around?
There are already signs that pockets here and there are starting to recover. -
Why didn’t my bank notify me of my reduced HELOC?
If you mean "advance notification," the answer would be "no." -
How do I get answers regarding CAIVRS?
HSH.com's article, “On the feds' deadbeat database? Here's how to get off it,” explains what CAIVRS is, why you may be on it, and how to get off it. -
Can I lower my interest rate without refinancing?
In general, lenders require borrowers to refinance in order to lower their mortgage rate. However, there is another way to lower your mortgage rate without refinancing: a loan modification.
