Can I Qualify for Refinancing? 3 Keys to Find Out If You Can Refinance.
To qualify for most loans, you need the following:
1. Decent credit
2. Sufficient income
3. Sufficient equity
Decent credit: You don’t need perfect credit, but the fewer problems in your credit history, the better. But those problems aren’t a life sentence. Some programs even let you borrow to buy a home within one or two years after bankruptcy. The key is to make your credit look as good as you realistically can.
Sufficient income: You also need income to repay your new loan. Income might have been plentiful when you got your current loan, but can you refinance in your current situation?
Sufficient equity: Get familiar with your loan-to-value ratio (LTV), which is a way of understanding how much equity you have.