Use our Refinance Mortgage Calculator to see if this may be a good option for you!
WHAT DOES IT MEAN TO REFINANCE?
Refinancing your mortgage is a common practice used to lower monthly payments, interest rates, lower your DTI and more.
When you refinance your property, there is no change of ownership; it is only a change to the mortgage.
SHOULD I REFINANCE IF I PLAN ON MOVING SOON?
Most lenders charge fees to refinance a loan. So, if you plan to only stay in the property for a couple of years, your monthly savings may not accumulate to recoup these costs.
Some lenders will charge a slightly higher than average interest rate on refinance loans, but will waive all costs associated with the loan. This will depend on the interest rate on your current loan.
WHEN SHOULD I REFINANCE?
It's generally a good time to refinance when mortgage rates are 2% lower than the current rate on your loan. It may be a viable option even if the interest rate difference is only 1% or less. Any reduction can trim your monthly mortgage payments.
Your savings depends on your income, budget, loan amount, and interest rate changes. Your trusted lender can help you calculate your options.
HOW MUCH WILL REFINANCING COST?
As a mortgage broker, we do not charge an application fee that a direct lender might. In most cases, the cost to refinance will be less than fees paid when you originally purchased the home.