Harp 2.0 Refi + Home Equity Loan + Auto Purchase order.

Ok so here is the meat of this question. Currently have a 105k mortgage on a property that is worth around 124k, so close to 85% LTV. 24 yrs of payments left on a 30 yr fixed @ 6.75%. No PMI. P+I around 725 / month. Have 13k of CC debt (2 cards, high balance) with a combined payment schedule of roughly 400 / month. (One card is 8.9%, other is 14%). Middle credit score of 706, DTI around 28%. No lates, etc. I currently am able to make all my payments, but feel that there is much better to be had here. What I am interested in doing is getting a high LTV home equity loan (fixed, not line of credit) for the credit card balance. I have yet to apply, but I see that Key Bank offers this service up to 100% ltv, even if the rates are high on them (%7-8%). Take this for a 15 yr, to lower that monthly cc payment to somewhere arounf $100-125/month. Freeing up $250 a month. Then after June 1st, take my primary mortgage to a 15 yr HARP 2.0. No PMI now should carry over to that, cuts my rate well down (3.5-4), payments go up slightly, but the savings on my CC bills even that out/net me some cash. I figure this is the best order, #1, to wait for the 15yr HARP 2.0 (I qualify for the current HARP 2.0 loans, assume the 15yr would as well). #2, since the LTV doesn't matter for HARP, get the home equity first. Rather than refi first, and possibly be stuck with a higher ltv and unable to get the equity loan.Now a side ball in all of this. My car is fast approaching death. I need to purchase a new one, and finance it. Not looking anything crazy, maybe 10-15k loan over 5-6 yrs. Purchasing this mid-refi is obviously not a good idea. Would purchasing it prior to my mortgage changes work? My DTI won't suffer much, maybe from 28% to low 30's. I see that closing on the refi and potentially home equity can take months, my vehicle will not last that long. by ayaros_709_874 from Grove City, Ohio. May 6th 2012 Reply