Loans and much more
Homeowners looking to refinance are under the same scrutiny. The best rate loans now need equity percentages of 20 to qualify and credit scores of 680 or higher. The biggest hurdle for applicants in the areas of the country where values have dropped the most is having enough equity. One of the goals of the new government housing aid plan is to assist those responsible homeowners who no longer have enough equity, due to a decrease in the value of their homes. But those who owe more than 105 percent of the value of their home will not be eligible for a refinancing under the plan.