Refinancing your mortgage loan while in foreclosure may be a viable option in certain cases.   Also, adding a cosigner or co-borrower to a refinance may make paying off your initial loan possible.   However, be careful!   Because of recent late mortgage payments, your credit rating may have taken a turn for the worse.   If this is the case, your interest rate on your new loan may be even higher.   If you had trouble paying your earlier loan, make sure you will be able to handle this newer obligation.   Refinancing often works when you are sure your income will improve, you have someone else assisting you with house payments or if you simply experienced an interruption in your income.   However, while you consider refinancing, be honest with yourself and about your ability to pay the new mortgage.   You may be better off locating a less expensive property and selling your home now.