Mortgage Refinance Guide - Mortgage Refinance Home Rate Section

Welcome to Mortgage Refinance Guide

 

Mortgage Refinance Home Rate Article

This is a selection among article about Mortgage Refinance Home Rate. For a permanent link to this article, or to bookmark it for further reading, click here.

Tips on refinancing a home loan

Refinancing your home loan means creating a new loan and replacing an existing loan.

When you refinance your home loan, you may have to pay a prepayment penalty fee and a title transfer fee. It may be a smart move to refinance your home loan especially if you receive a high interest rate, which generally indicates that there are some credit problems. Getting a credit rate a few percentages higher than current trends may cost you $30 to $50 in additional payment each month. Improving your credit and refinancing your home loan is one way to save money.

Below are some guidelines on refinancing your home loan:

1. Carefully weigh the pros and cons before agreeing on refinancing a home loan. Refinancing maybe the best choice for you if the savings are minimal.

2. The best time to refinance your home loan is when you’re paying on it for at least a year.

3. Another good time to refinance your home loan is when your credit rating has improved. Your credit rating is a big factor since lenders will be reviewing your credit when you apply for a new home loan. An applicant with a good credit rating is also usually offered great interest rates. On the contrary, applicants with poor credit ratings are usually asked to pay higher fees. This is why a good credit rating is also important when it comes to interest rates. So the wise thing to do before you refinance your home loan is to check your credit rating. If you realize that your credit rating needs improvement then postpone refinancing your home loan until your credit rating has improved.

4. Request a quote from your current lender when refinancing your home loan. Keep in mind that lenders want to keep you as a current customer so you will have a better chance of getting a loan again from the same lender if you have established a good payment history. Your lender may also be willing to waive the fees that accompany refinancing a home loan if you have been a good lender.

5. It is wise to compare rates with other lenders even if you think you are getting a great deal with your current lender. Request an online quote to receive offers from home loan companies.

6. You can also submit a quote request through a home broker. You can receive a response within 24 hours. Carefully compare the rates of each lender after you have received the quotes. Needless to say, choose the lender with the best deal. After you have made your choice you have to submit an official application online. Expect paperwork to be signed after a few days.

7. Most people believe that you need an appraisal before you could refinance your home loan. This is simply not true. A home loan is unlike a house loan, which needs to be appraised because it based on your equity in the home. A home loan is based on how much you need to pay off your current home loan, not on the actual value of the home.

It is a shame that most people don't consider refinancing their home loans when it is the one of the best-kept secrets for saving money. This is because you significantly lower your monthly home loan payments simply by refinancing your home loan. Your interest rate will also drop if you refinance your home loan. This in turn would allow you to pay off the balance of your home loan faster.

Mortgage Refinance Home Rate News

New York mayor urges Obama to fix municipal bond market - MSN MoneyCentral

NEW YORK (Reuters) - New York City Mayor Michael Bloomberg said he had advised President-elect Barack Obama's transition team to boost U.S. economic growth by fixing the credit markets so that cities and states can resume borrowing to build ...

Read more...

---

A rush into refinancing as U.S. mortgage rates fall - International Herald Tribune

The U.S. housing market may finally be getting some relief, with lower mortgage rates already encouraging refinancing and Treasury officials considering ways to entice new buyers. Last week, the Federal Reserve announced that it would buy $500 ...

Read more...

---

Fixed-rate trap snares 43,000 home owners - Sydney Morning Herald

Like all gambles there are winners and losers, says Chris Zinn from Choice. MORE than 40,000 unlucky people have been caught out in a fixed mortgage rate trap, having taken out their loan at the highest fixed interest rates in a decade, denied any ...

Read more...

---

Ben Bernanke: Fresh Attack on Mortgage Rates - US News and World Report

Fed Chairman Ben Bernanke on Monday opened the door to another unconventional measure to lower mortgage rates: buying long-term Treasury bonds. In a speech in Texas Monday, the Fed chief said: Although conventional interest rate policy is constrained ...

Read more...

---

Homeowners' Refinancing Jumps by Record Pace - Wall Street Journal

Applications to refinance home-mortgages jumped by a record amount, as borrowers flocked to take advantage of falling mortgage rates -- which were driven down by the government's announcement that it would step in to stabilize the mortgage market. On ...

Read more...

---