A place to discuss home mortgage
Consumers who are under water with the mortgage, however, will not qualify to refinance with the program. A minimum of 5 percent is required in equity to apply for refinancing. Some consumers think the home mortgage rates will decrease even more, so will wait to refinance until then. Their gamble may pay off, or the rates may creep back up. One of the risks for homeowners who are in areas hit with declining prices is that the longer they wait, the more the value of their home (and, consequently, their equity) will decrease.