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Refinancing a Home after 18 Months

Mark Cappel
UpdatedMay 29, 2009

Would we be able to refinance after being in our home for only a year and half?

We have been in our home about a year and half. We would like to refinance it. We also have a PMI payment that we would like to get rid of. Would we be able to refinance after only being here a year and half?

Beyond the length of time you have been paying your current mortgage, several other factors - such as your credit history, the amount of equity you have in your home (or its inverse - the loan to value or LTV), and your debt to income ratio - will determine whether or not you qualify for any favorable re-financing offers. If you have a good profile in these categories, you should be able to find a lender that will allow you to re-finance.

As far as eliminating you Private Mortgage Insurance (PMI): Most lenders require PMI for borrowers whose mortgage balance is greater than 80 percent of the price of their home. When the loan value falls below 80 percent of the home’s value, borrowers may be able to request elimination of PMI.

I encourage you to start your search by visiting the Home Refinance Resources page at where you will find a wealth of information about home refinance programs. If you enter your contact information in the Savings Center at the top of the page, we can have several pre-screened mortgage brokers contact you to discuss the options available to you.

Also, if you cannot refi today, there is always a chance that you could build equity over time if your home appreciates or if you pay down debt.

I wish you the best of luck. I hope that the information I have provided helps you Find. Learn. Save.