Mortgage : Home Loans : Refinance : Home Equity Loans

By Louie Latour

If you have a recent bankruptcy on your record and need to refinance your mortgage, you can still qualify for a decent mortgage. Having bad credit will not prevent you from qualifying for a mortgage; poor credit simply means the financing will cost you more. You can qualify for a better interest rate by improving your credit score and shopping for the best mortgage offer. Here are several tips to help get you started.

Refinancing with poor credit or a recent bankruptcy can be an intimidating process. You should wait six months after your bankruptcy has been finalized before you start shopping for a new mortgage. Your goal after a recent bankruptcy should be to rebuild your credit and refinancing your mortgage can have you back on track in as little as two years time.

Reestablish Credit First

You need to take six months prior to applying for a new mortgage to establish credit. Make sure you are paying all of your bills on time and consider opening a credit card to help establish your credit history. If you open a credit card it is important to control your spending and maintain a low balance.

Open a savings account and start squirreling money away. You can improve your application by having cash in the bank; you can raise money by cleaning out your garage and selling things on eBay.

Do Your Homework

Once you have established credit and have a history of on-time payments for at least six months you are ready to start shopping for a mortgage lender. The Internet can help you quickly identify mortgage lenders that cater to homeowners with a bankruptcy or credit problems. You can expect to pay a higher interest rate and fees because of your credit; this is why it is important to shop around for the best deal on your new mortgage loan.

After Refinancing Your Mortgage

After you have completed refinancing your mortgage you need to focus on building up your credit history by making all of your payments on time. Avoid using credit to make large purchases !
and main
tain low balances on your credit cards. As you build equity in your home, put money away in savings, and build a history of on-time payments you will be able to rebuild your credit rating. After two years you should have enough credit history to refinance again with a traditional mortgage lender and qualify for better rates and terms. You can learn more about your mortgage options, including common mortgage and credit mistakes to avoid by registering for a free mortgage guidebook.

To get your free mortgage guidebook visit RefiAdvisor.com using the link below. Louie Latour specializes in showing homeowners how to avoid common mortgage mistakes and predatory lenders. For a free copy of “Mortgage Refinancing: What You Need to Know,” which teaches strategies to find the best mortgage and save thousands of dollars in the process, visit Refiadvisor.com. Claim your free guidebook today at: http://www.refiadvisor.com Refinance After Bankruptcy: How to Get Started

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For additional Mortgage Refinancing information
and resources visit Mortgage Refinancing.
(http://www.refinance-refinance.net)
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This entry was posted on Tuesday, September 19th, 2006 at 2:16 am and is filed under Refinance. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.