Need some guidance/advice

[helpinNE]

My husband and I would like to refinance our current first and second home loan into one loan. I think our home will appraise around $165,000. Our current first mortgage is $120,000 at 5.75% interest. Our second mortgage is $23,000 with an interest rate of 11% (ouch!). Total loan amount seeking is $143,000. Our current first loan is a VA loan (not sure if it matters). Here are some of my issues/questions: If our house appraises at $165,000 (it should as that was the value given to me in 2007 when we considered selling), we will not have 20% equity, will this automatically prohibit us from refinancing the first and second together? In Oct. 2008 I personally declared and had a BK discharged. This does not include my husband. Each of our credit scores now are at least 700. Is my prior BK (discharged 3 years ago) going be a big issue which would prevent us from refinancing? If the above to issues do not automatically prevent us from seeking a refi - how do I find a reputable lender? There are so many out there and honestly, with the banking mess, I am scared to to scammed. Who can we trust??

[Cat Damiano]

Hi helpinNE,



To find a reputable lender that can refi a VA loan, you may want to contact VA loan guaranty office. They should be able to get you pointed in the right direction and answer any questions that you have in regards to the refi.

Loan Guaranty Home Loan Program Home


You may be able to qualify for the VA streamline refinance;

http://www.benefits.va.gov/homeloans/irrrl.asp


http://homeguides.sfgate.com/can-ref...loan-2075.html

[OverandDone]

You can get a rough estimate of your homes value at the zillow.com website by putting in your address. I find that zillow is about 20% higher than what the house will actually sell for.