With these qualifications, can I successfully refinance?

Q: I am interested in refinancing. I have a $318,000, 7-year ARM at 5.25%, and have had the loan for about three years. My credit score is in the 700s. The current value of my home is approximately $350,000 to $360,000, and my loan isn't owned by Fannie Mae or Freddie Mac. What would be the most successful and least expensive way to get a new loan?

A: If you have at least a 10% equity stake in your property, and you appear to, you should be able to find a lender who will write your refinance. Of course, today's mortgage rates for a new 30-year FRM aren't that much below the rate on your ARM, so don't expect tremendous savings, but do expect to have to pay closing costs, usually 2% or so of the loan amount.