All, I am currently in the short sale process for a new primary residence (I am the buyer). You may have seen my other post regarding our timing. We are about 30 days since we submitted our documents to the bank.

During those same 30 days, I have also been approached by Chase (my current mortgage lender for the home we own) regarding the HARP 2.0 program which would allow us to refi our home at a more competitive rate (4.875% vs our current 6% rate).

My mortgage broker we are using on the short sale had some concerns and suggested that I hold off on the refi until the short sale closes, as it may impact the process with our new lender. i.e., it may appear that we refi'd our current home as primary residence with intent to stay and that the short sale home really is an investment property, even though it would not be.

Of course the short sale is not guaranteed, and the refi would reduce mortgage payments indefinitely, but we do not want to put our short sale at risk. Has anyone had experience with a similar situation or have any other thoughts or concerns that we should be thinking about?

Thanks in advance!

Brian the Buyer

Views: 91

Replies to This Discussion

You should not open or close any new lines of credit during the home buying process including doing a refi or you might risk losing your loan approval on the short sale.

RSS

Members

© 2024   Created by Brett Goldsmith.   Powered by

Badges  |  Report an Issue  |  Terms of Service

********************************** like buttons ************************