Recent divorcee refinances, lowers her monthly bills

Mortgage adviser: Brenda Wyatt. Property type: Singlefamily home in Lakeshore Terrace.

Loan type: Conventional refinance.

Purchase price: $670,000.

Rate: 4%.

Backstory: A recently divorced client received my monthly market update notifying clients that mortgage rates were near 14-month lows. That means now’s a good time to consider refinancing to a lower monthly payment, consolidate debt or shorten their term to a 15-year mortgage.

The client wanted to remove her ex-husband from the current loan. During the approval process, an online lender informed her she needed to first pay off a loan modification she did years ago, in order to proceed with the refinance.

Since her debt-toincome ratio was already high, I quickly restructured to a cash-out refinance, which lowered her monthly obligations by paying off three highinterest credit cards and the balance of the prior loan modification. She accomplished her goals, plus more by taking full ownership of her home and lowering her monthly bills by $780.

Brenda Wyatt, All California Mortgage, 510-761-7071, brenda@ financingthedream.net.