There actually are some lenders who are doing short-pay refi's, but it takes just as long as a short sale to get approved and your lender may or may not play ball. For example, if B of A is your lender forget it. HomEq or Aurora? You might be in luck, Do not pay anyone up front for this service. It should be performance based.

Michael Broderick
Vice President
Equity Direct Mortgage Corp.

I don't know any company that will approve a short refinance. Your best bet is to contact your mortgage holder directly and seek a loan modification.

Most banks are participating in the The Making Home Affordable program. This program allows the bank to reduce your payment by reducing the interest or the principal or both. Not all borrowers will qualify but at least you can try. There is no charge to modify your loan.

If you need assistance with this, please feel free to contact me.

AND I SECOND ANDREW'S CAVEAT - DO NOT PAY THEM ANY MONEY UP FRONT!!!!

Sincerely,
JACQUELINE L. CLARKE
Down Payment Assistance Specialist/Loan Officer
Enterprise Mortgage Group, LLC
Winter Park, FL 32789
Direct: 407-739-3853

PLEASE PLEASE DO NOT PAY THEM ANY MONEY UP FRONT>

I know this lending market and no one is doing a " SHORT REFINANCE". Your current lender could possible consider rewriting the current loan at a lower balance, possibly. But I have never heard of this actually happening.

If you already paid with a credit card tr to cancel it with the credit card company.

HOPE FOR HOMEOWNERS is now allowing loan up to 125% of the current house value for refinancing. We are able to do that type of refinance.

Please be aware that if someone wants the money upfront, you need to run!

Debra,

I'm not sure how any lending company can do a short sale refinance....that's contradictory. They can either refinance it or modify the loan. A short sale won't allow you to to stay in the home unless an investor purchases it and you choose to rent it for whatever the market rent is in your neighborhood. A refinance won't change the principal balance but will change the rate and terms of the loan, potentially making your payment lower. A loan modification can be a combination of changing interest rate, balance and length of the loan.

Please be leery of any company requesting money up front, especially if they can't guarantee anything will happen. Do they have a refund policy if they can't modify the loan? There are some attorneys in the area that do that and also refund the money if they can't obtain a modification. If you'd like some references for that, I'd be happy to help.

With so many companies out there trying to take advantage of stressed homeowners, it pays to do your homework. Most companies cannot accept upfront fees now unless they're an attorney. Attorneys can do this because they're allowed to collect retainers from clients.

Whatever you decide, best of luck and know that there is help within the community for you.

Danielle Sharp
Sharp Homes

Selling Paradise Realty
Broker Assoc
Cell 248.207.4445
sharphomes@yahoo.com

I really really REALLY think you should seek legal advice on this one. I am not an expert in mortgages, but work with many homeowners who need modification etc.., this one sounds too good to be true.. I could be wrong, but please, please, call a good real estate attorney in your area. Please, please don't give anybody any of your hard earned money without legal council.

Debra,
How much are they asking for up front? How much due diligence have they done up until this point? What is their track record with your current lender? Is it verifiable?
In this industry up front fees are generally reserved for commercial loans and loan modifications. I would be very skeptical of taking away their sense of urgency by paying a fee up front.
There are also news laws dealing with up front expenses to borrowers, the MDIA. I suggest you look it up and make sure that you are dealing with a reputable company.
Good Luck!

Josh Stewart
Preferred Mortgage Consultants