Mortgage help

[knightryda01]

I'm sure some of you might have more experience with this kinda stuff then I do but I was looking for some suggestions for my situation.

As everone is well aware the bottom dropped out and house values dropped quite a bit.

I have a 30yr fha at 6.1 right now. I owe about $70,000 with 22 years remaining. I was hoping to have enough equity to pay off a $8000 credit card and that would solve all my problems, but due to market conditions I do not. I have not gotten an appraisal but I am doubting that it would improve my situation much if at all.

Due to my paycut and a previous extended layoff things have been a little tough and I was not always able to pay the full payment... But I always covered the pricncipal. I just came out short on the escrow. Right now I am short about 700.00

I remained pro-active as possible, staying on contact with my lender etc. The only programs I have found to help people were ones for people who took out high risk loans and were on the verge of being forclosed on.

So my mortgage company calls me yesterday and supposedly offers me the deal of the f'n century.
A streamlined refiance FHA @ 5.0% (lower then current rates)
they will catch up my escrow shortage (roughly $700)
zero points
all closing costs rolled in

The only negative is I cannot pull any money out to pay off the credit card and the deal has to be done by end of October.

Any suggestion would be greatly appreciated.

[FORD RECOVERY EXPERT]

[knightryda01]

What?

[KahanaReef]

The only way I'd do that is if they gave me a 15 and not a 30 yr. It may be less interest, but you'll be adding 8 years on your mortgage on another 30 yr.

As far as the credit card goes... make the payments you can and cut that thing up.

[Sweet Chops]

If it was me I would look into it. The way I see it is this will lower your payments. Pay the lower paments untill you get back on your feet and pay off you Cedit Card. Then once you have that done make double paments on the house to pay it off faster.

[blackSS01]

If it was me I would look into it. The way I see it is this will lower your payments. Pay the lower paments untill you get back on your feet and pay off you Cedit Card. Then once you have that done make double paments on the house to pay it off faster.