Las Vegas Homeowners Facing Refinancing Challenges

By Karen Lawson
Local Lender Columnist
Apr 17, 2008
Decades ago, Las Vegas hotels popped up in the desert seemingly overnight and the desert resort continues to evolve as a world class family vacation destination. It also provides residents with a desirable alternative to big city home prices and quality of life issues. Concerns about mortgage financing, the US economy, and environmental issues including long term water supplies have contributed to falling home prices in some areas. What can you do if you're considering refinancing in Las Vegas and are worried about home prices?

Local Home Values Can Vary Considerably

The phenomenal growth of Las Vegas and neighboring areas fueled a housing boom that is now retreating in many areas, but not all. If you are considering refinancing your mortgage, it's a good idea to check with Las Vegas real estate professionals familiar with your neighborhood. They can provide an estimate of your present home value, which can help you decide if refinancing is feasible. If your home is worth less than you owe on your mortgage and you are unable to make your monthly payment, contact your mortgage lender immediately. Programs are available to assist homeowners who are "upside down" on their mortgages and therefore unable to refinance. If your lender cannot approve refinancing, ask them to consider modifying your mortgage to lower payments and eliminate negative amortization, if applicable.

Credit Counseling Agencies Offer Debt Consolidation Solutions

If you need to reduce debt but cannot qualify for refinancing, ask your mortgage lender for a referral to a non-profit credit counseling agency. Certified credit counseling agencies can help you reduce the interest rates you're paying, and possibly even the amounts you owe. This can be a big relief if you are unable to qualify for cash-out refinancing or home equity financing.

About the Author
Karen Lawson is a freelance writer with more than fifteen years of experience in mortgage banking. She holds a Master's degree in English from the University of Nevada, Reno.