Ever since the economic turndown everybody has lost their job and it is not the most pleasant things that can happen to a person. You may have just bought a house and you have to pay the high mortgage, which you can afford when you are working but now you have lost your job. This question may have come into your head, how do I negotiate a mortgage refinance if I’ve lost my job? Surely you will not want to miss your payments and wait until the bank to come and take back the house from you. There are really some options that you can look into.
You can ask one of your closest family member to cosign the loan for you. This maybe your first alternative when you lost your job. However, this arrangement should not be taken lightly because it may destroy your relationship with your family member. If you do not make your payment, the cosigner in this case, which is your family member will be forced to pay and if you default the loan, you tarnish your cosigner’s credit score. Although this maybe your first alternative to mortgage refinance if you lost your job, it may worse the relationship between you and your family member.
Alternatively, you can try to build equity in your home. If you were to negotiate a mortgage refinance after you lost your job, the bank will want to know much your house worth. They will usually send an assessor to see how much your house actually worth. Building equity means building the value of your house. It does not means all the expensive renovation that you do to your house, but it can be simple things like a new paint job or a basic landscaping to your lawn. These little things can add value to your house and you should really consider it.
You may want to look around and look for other banks that are willing to extend your credit. You may want to keep your options open as the banking industry is struggling and they may need a new customer so you may have a bright chance to negotiate your mortgage refinance.