What If I Get The Wrong Mortgage?

Mortgage Loans

There is a vast range of mortgages offered today. Loans from a traditional 30 year fixed loan to any number of new loans, loans that charge interest only, and loans than even charge less than interest, loan terms for 40 years, 45 years, and 50 years.

Longer loan terms present a borrower a lower monthly payment than a similar loan with a 30 year term.

Wrong Mortgage Amount

You may not have borrowed the correct amount in your mortgage.

From a refinance, most of the cash proceeds might have gone to pay off debts you weren’t planning to pay off, such as your car loans or your student loans leaving you with less cash than you anticipated.

You might consider obtaining a second loan in addition to your current loan. You could also replace your current second mortgage with another, larger second mortgage or refinance all of your current mortgages.

After 6 months or 12 months lenders will typically allow you to cash out of your property again depending on how much cash you intend to take out.

Wrong Loan

You may have been surprised at the last minute by a higher interest rate or may have refinanced with the wrong loan type.

You may be able to refinance again shortly if you are not looking to cash out additional money.

A letter of explanation to the lender may help make your case for loan approval if you explain why you are refinancing again so quickly.