Asked by linda smith  |  Submitted June 04, 2015

I have a 30 year mortgage at 5.5% from 2009. I have been late but never past the late date. Can I refinance to lower my payment?

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  Answers  |  3

June 04, 2015

should be able to ...assuming you qualify ...good luck and all the best

$commenter.renderDisplayableName() | 10.01.20 @ 13:01


June 12, 2015

There could be a number of options to consider in regard to your mortgage.

A refinance with a new lender is one possibility. At today's low rates, a refinance may make perfect sense, though you would still want to consider how much more time you plan to spend in your current home, among other things. Paying the costs to close a refinance may not be advisable if you plan to move before the lower rates could offset the expenses associated with refinancing.

You may also ask your current lender if they will simply lower your rate. Many lenders are willing to lower rates to keep borrowers from shopping elsewhere. This adjustment to your rate may cost considerably less than a full refinance.

Of course, there are many other considerations for your mortgage. For example, if your cash flow allows, you could consider a mortgage with a shorter term, which could have the advantage of even lower rates and less time for those rates to produce interest. Other circumstances may lead you to pull cash out with a refinance, to provide liquidity. A financial planner privy to your circumstances can provide greater insight and specifics.

$commenter.renderDisplayableName() | 10.01.20 @ 13:01


June 01, 2016

Hi Linda, Although any lender would need more info to give you an accurate answer, the fact your mortgage has been paid "late but not past the late date" should have no impact whatsoever on your ability to refinance. All conventional and government loans have a 15 day grace period, meaning lenders cannot impose late fees if payments are not 15+ days late. Even then, the only impact is the late fee. When mortgage payments are paid 30+ days late, THEN borrowers' credit is impacted, scores are lowered, and the ability to refinance is certainly affected. My best advice is to have a knowledgeable lender review your situation to give you informed options. Doing this is an integral portion of my (and all lenders') jobs.

I write loans nationally, glad to help with any further questions, and I can be contacted through my profile, Thanks, Ted

$commenter.renderDisplayableName() | 10.01.20 @ 13:01