7 steps to refinance your mortgage

Refinancing a home mortgage replaces your original loan with a new one. Doing so offers numerous advantages, potentially lowering your current interest rate, 减少月供, eliminating Federal Housing Administration (FHA) mortgage insurance payments, 更改贷款类型, or accessing the equity in your home. Could you benefit from 为抵押贷款再融资? Here are some things to consider before getting started:

为抵押贷款再融资的步骤

1. 检查你的财务凭证

之前 为抵押贷款再融资, you need to know where you stand financially. 拥有较高的FICO分数是理想的, helping you obtain a lower refinance rate, 更好的月供, 和更多的. 

A FICO分数 of 800 or higher is considered exceptional. A score of 740-799 is very good, 670-739 is good, and below 669 is fair to poor. A low credit score or no credit history can result in higher interest rates, whereas a decent 信用评级 communicates to credit unions and banks that you’re financially responsible, simplifying the refinancing process. 

2. Which type of refinance loan do you need?

There are multiple types of refinance loans available. 之前 going through the steps to refinance a mortgage, you should understand your options: 

• Rate-and-term refinance: This refinancing replaces your original mortgage with a second one, 改变你的月供, 任期长度, 利率. 
• Cash-out refinance: With this option, borrowers are issued a new mortgage with different terms, and the loan is larger than the remaining balance on their home. 
• Cash-in refinance: This is ideal for homeowners who don’t have at least 20% equity in their homes. 借ers must make a larger payment toward the principal balance to lower the loan-to-value ratio. 
• 无成交成本再融资:A no-closing-cost再融资 allows you to refinance your loan without having to pay a large lump sum at closing. These closing costs are typically rolled into your mortgage payments.
• Streamline refinance: This type of refinancing allows you to refinance your mortgage without an appraisal. This option is ideal if your home has decreased in value.

3. How much equity do you have in your home?

股本 is the difference between your home’s current value and the balance of your remaining mortgage. To calculate your equity, subtract the balance of your mortgage from your property’s market value. This calculation will help you determine the best offers available.

4. Shop around for a mortgage refinance loan

哪些贷款机构提供最好的贷款 再融资方案? It’s ideal to check out at least 3-5 different lenders. Try to submit all applications within 14 days to lessen the negative impact of multiple hard credit pulls. You will need to provide personal information such as current income, 邮寄地址, 信用评级, 工作经历, 和更多的. 

To identify the best offer, look over the Loan Estimate provided by each lender. Refinancing through a credit union like Texas Tech Credit Union can help you secure lower interest rates and better loan terms. 

5. Should you lock in your interest rate?

Once you’ve selected your preferred lender, you will have to decide whether you want a fixed-rate or adjustable-rate mortgage. 您还可以更改学期长度. Do you want to refinance into a longer loan with smaller monthly payments? Or do you want a shorter-任期长度 to pay down your mortgage in less time?

6. Get your property appraised and inspected

最后的一个 抵押贷款再融资的步骤 包括评估. 并非所有贷款机构都需要这一步骤, but an appraisal and inspection should be scheduled after locking in your interest rate. 

7. 完成贷款

The final step to refinance a mortgage is closing. Your current mortgage is paid off during this step, and you obtain a new loan. This step is also when you pay any closing costs or additional charges. 

学习 more about your 再融资方案

Interested in refinancing your home mortgage? 美高梅棋牌娱乐的一个 按揭贷款主任 讨论你的选择. We can walk you through the process and answer any questions that you may have along the way.