Refinance

Refinancing usually makes sense when you can lower your rate or payment enough to recover your closing costs before you plan to sell, or when you want to shorten your loan term, remove mortgage insurance, switch from an adjustable rate to a fixed rate, or take cash out. We run a break-even analysis so you can see exactly when a refinance pays for itself.

Closing costs on a refinance typically run about 2% to 5% of the loan amount and include the appraisal, title, escrow and lender fees. In many cases the costs can be rolled into the new loan or offset with a lender credit in exchange for a slightly higher rate.

A cash-out refinance replaces your current mortgage with a larger loan and pays you the difference in cash, which homeowners often use for renovations, debt consolidation or investments. Limits depend on the program; for example, a conventional cash-out refinance on a primary residence is generally capped at 80% of the home's value.

Often, yes. Conventional refinances generally require a credit score of 620 or higher, while FHA Streamline and VA IRRRL programs have more flexible credit requirements for borrowers who already have those loans. As a mortgage broker, we compare options from multiple lenders to find the best fit for your credit profile.

Most refinances close in about 30 to 45 days from application, depending on the appraisal, title work and how quickly documents come in. Streamline refinances that do not require an appraisal can often close faster.