I have 2 townhouses. Both are 15yr loans. Both are at 6.25%. One home is probably worth K, it was bought for K, borrowed K and I owe K on it with just over 10yrs left. The other home is probably worth 5K, it was bought for K borrowed K and I owe about K on it with 13yrs left.

I want to see if it’s possible to refinance the larger loan, and add K to the loan to pay off the smaller house. I want to have ONE mortgage, not take an equity loan and have a second mortgage. Keep things simple and I’m pretty sure it will lower monthly fees.

My credit scores are in the 750 to 800 range and, along with my savings and investments, I’m hoping that would be enough to qualify for a lower rate. I have enough money to pay for the cost of refinancing (I don’t think it’s a good idea to tack that on to the loan if I got the cash). School and property tax together is about 2.21% of the purchase price.

So, what is my best option? It’s really a small loan I know. It was a pain trying to find someone to call me back on K loan for my second house. Right now they are both financed with the same bank. Should I go to them? If it means they make less money would they even want to help me?

Most of all, is it even worth it? I’m pretty sure I won’t be moving for at least the next 10 years.

Thanks for any help.

One Response to “I have 2 mortgages that I would like to consolidate into one. What the best way to do this? Is it worth it?”

1. Fig Newton Says:
   March 11th, 2011 at 9:04 pm

   Sounds like a good idea. If you can get a 4 or 5 percent loan you’ll save considerable money. Shop around and consider your current bank. The only catch is that the property might not be worth as much as you think.

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