need advice on re-finance
We purchased our home 9/2006, with the intention of breeding racing stock thoroughbreds. We have 5 acres with a barn and two paddocks. This was our first time buying a house, and unfortunately we were ignorant/naive and subsequently wound up with mortgage we will not be able to keep up with.
I started working two jobs and my husband increased his hours at his present employer, in an effort to meet our mortgage obligation. We have not missed or been late on any payments - but consequently - our income looks high and we don't qualify for most loan programs.
We own 3 thoroughbred broodmares, two of which will produce commercial foals, and generate a substantial income. Is there a program out there for a small business, perhaps, that does not have a max on income?
Our original mortgage is a 1st at 6.5 and a 2nd at 9.5 and payments over $3K each month. We need our monthly payment reduced substantially, if we are to be successful. We barely make our payment now, and can't afford to breed our mares.
Additional info. if needed:
Purchase price of our farm = 374K
Current balance = 360K (we have paid 45K in interest over this 2 year period)
Credit score = 366
We carry a large amount of credit card debt, at 15% - 19% which cont. to increase secondary to the financial constraints of our mortgage.
I met with a banker in an effort to re-finance. He is offering a 30 yr conventional fixed at 5.875 with .5 percent origination fee, PMI 323/mos, resulting in new loan amount = 370K and minimal change in our current mortgage payment.
I would appreciate any insight/advice you can offer.