Refinance Mortgage Loans For Bad Credit Can Solve Your Money WoesPosted by Nick Niesen on October 29th, 2010 You have been tossing and turning all night. Each time you check your alarm clock, you are amazed at how quickly a minute transforms into an eternity. Your heart starts thumping, you feel dizzy, and that pepperoni pizza you had for dinner sits in your stomach like a boulder. Big events in our lives can cause big stress to develop. A million thoughts rush through our head as we focus on anything that could go wrong. This prevents us from getting a good night's sleep, and then performing at our optimum potential the next day. In dealing with any problems, such as when we need to refinance mortgage loans for bad credit, the best approach is always to find the best solution to the problem. Only Known Problems Can Be Solved New Solutions for Everyday Problems ARMs and Balloons * In particular, consider the first loan that you took out. If you had an adjustable-rate mortgage, or ARM, for a few years, your loan's interest rate may have gone up. So the monthly payments on an alike fixed-rate mortgage at the current rate might actually be lower than your current monthly ARM payments. * If you take a new fixed-rate loan, you should consider the costs and interest rates. Shorter-term loans - for example, 15 years - are ideal if you want to speedily build equity. But if a longer-term loan commitment is not a problem, then perhaps you might consider a 30-year loan. * The balloon mortgage is another type of fixed-rate mortgage. These loans have lower interest rates for shorter-term financing-typically for seven years. You must refinance again or pay off the remaining balance at one time at the term's end. Life is full of problems, and sometimes solving them is not easy. So, when we refinance mortgage loans for bad credit, we should make sure that our solution does not create new problems. Like it? Share it!More by this author |