Most people think it's hard to get a Georgia mortgage refinance after bankruptcy, but it's not as hard as they think. Since you already have a mortgage and will just be replacing it with a new loan, lenders don't see much risk in approving you.
When can you get a new loan?
You will be able to find a lender willing to give you a Georgia mortgage refinance 6 months after you file for bankruptcy. You may be able to refinance even sooner in some cases. Also, you'll find it easier to get a low interest rate the longer you wait.
What will lenders pay attention to?
A lender will look at several things when deciding if you are eligible for a Georgia mortgage refinance after bankruptcy. The lender will look at your income, savings, and ability to pay back the loan, but your credit report will be the most important thing. Lenders want to see that you have tried to pay your current bills and any lines of credit that you opened after you filed for bankruptcy.
How much will it cost to change the loan?
The cost of your Georgia mortgage refinance will depend on how much money you want to borrow, how good your credit is, and how much risk the lender thinks they are taking on. Interest is what will cost the most. At the moment, the average rate on a Georgia refinance loan is 5.53 percent. Borrowers with a low credit score or a bankruptcy on their credit report will probably have to pay 2 to 4 percentage points more than this average. The other big cost of a mortgage refinance in Georgia will be the closing costs. On average, these costs for people in Georgia are just over $3,000. The good news is that your bankruptcy shouldn't change these fees much or at all.
