Roof lien on our mortgage

[Vanessa Franco]

Hi all

A year or so ago we needed our roof replace and so we went through Renew Finanical.

We didn’t know at the time that this loan was actually a lien that would prevent us from being able to refinance our mortgage.

My question is, should we try to get a personal loan to pay off the lien now, so we can refinance now that the rates are so low? And try to get a cash out refi to pay the personal loan off at the same time?

Thank you for you any advice.

[Greg Scott]

So basically your roof loan is acting like a second mortgage.  Instead of a personal loan at higher interest rates (and not tax deductible) why wouldn't you just refi into a larger first mortgage and pay off both the old first mortgage and the roof loan?  

Unless something is preventing that, one new first mortgage is likely the best financial route.