It shouldn't have happened. With an underwater mortgage, reduced income and other issues, it shouldn't have happened but it did. We'd tried to refinance in April 2011 when I realized I might not be returning to work due to medical disability. We were underwater at the moment but there was hope. I would still be drawing 80% of my salary for a few more months and although we had an underwater mortgage it looked like we were less than 125%. Then... we were nudged under by just a few dollars more. It was only a few dollars but it was just enough to disqualify us from refinancing our home. Sigh...
In the fall of 2011, there were rumors that the 125% criteria was going to be lifted as well as the income restriction. This would be good news for us because by now our income had dropped even more. We followed the stories with interest. Then, in January, I received notice from my mortgage company that they believed we would qualify but if we wanted to be considered, when the new program became available, we needed to register which essentially meant we'd get a number to get in line. We got in line along with a whole bunch of other people. At least we were in the line.
At last we were told that the time had come for those who were in line to receive their paperwork to start the refinance process. I have to tell you right now, this is not like it was in the old days. At least I have been told that. I'd never done a refinance before and have only purchased one home. Based on what I am reading, I suspect it is true. Lenders are being flooded with applications to refinance under HARP 2.0. The people I've been working with have been putting in long hours for weeks. I even got called by one of them on a Sunday asking if I could fax in some info so they could have it by Monday morning. The system is currently strained to the limit.
We had a preliminary review in early March. I was told all the reasons why we would not be approved and I told them all the reasons why we should be. In other words, I argued my case and won. We would be moving forward with the refinance process.
All of the paperwork was submitted on March 23rd. The weeks went by. Periodically we would contact one another and I would be thanked for my patience and understanding. Perhaps this would be concluded by the end of April or perhaps May. Sigh...May came and went and now we were well into June.
I got a call on Friday afternoon. Was there any way I could submit my our most recent pay stubs? It just so happened my husband got paid that day, I got paid the day before (a couple of days before the draft would normally come) and I could access the final document I needed online. I was able to get the documents sent by 3:00. Whew!
Early yesterday morning, I got a call. We are closing this evening. However, there is more. You see, I had a particular number in my head of how much less I needed our mortgage payment to be. All along the paperwork had said a number less than that but along the way, I learned the interest rate had dropped just a bit more. I didn't know the exact figure of what the payment would be but I found out yesterday exactly what my new payment would be. It matches that number I was unable to get out of my head.
It has taken 95 days but I am reminded once again that God's timing is perfect. Due to the college my husband works at not being in session, July and August are typically the two worst months for us financially due to the lack of special events on campus. While we were prepared to pay our mortgage in July, now we will not have to. That is a blessing and when we start paying on our new mortgage in August, it will be for a substantially lower amount.
My heart is filled with thanksgiving at the moment. I know that a number of my friends here at CB have been faithfully praying for me over this past year and a half. I also know that those who were aware that I was attempting to refi have been praying for me.
So, I just simply wanted to thank friends for their prayers and give my testimony of what has transpired.