Welcome to Refinancing Guide
Refinance House Article
. For a permanent link or to bookmark this article for further reading, click here.
Refinance Mortgage
With the current market trends as they are as well as the shaky economy, many lending institutions are being flooded with customers wanting to refinance mortgage loans.
Many mortgage loans are adjustable rate mortgages, meaning the interest on the mortgage fluctuates every time there is a change in the stock market. You can take out a mortgage thinking you're paying an annual interest rate of 7% only to find out a year later that it's increase to 9%.
While this may seem like only a 2% increase, but not only may it increase your monthly payment, but it will also increase the balance that you owe on your mortgage. Many people are surprised, if not shocked, at the difference that 2% can make with a large mortgage and over a long period of time.
This is a major reason why most people choose to refinance mortgage loans.
In adjustable rate mortgages, the rate can go up or down. Usually the banks use an amortization schedule over a long period of time to figure the interest and payments, but balloon the loan over a shorter period like 36 to 60 months.
At the end of this balloon period, the couple will refinance the mortgage loan with new terms or sometimes the same terms. When it's time to refinance mortgage loans because they are up for renewal, you should always shop around. Many people are comfortable with their current banks or lending institutions, especially if they've been with that institution for a long time.
While you may be comfortable with this bank, you may not be getting the best possible deal in terms of interest and loan terms. It never hurts to see what the competition can offer.
If the competition can offer you a better interest rate, not only will you be saving money, but you may be able to use this as leverage with your bank in getting them to match the rate. If they won't match the rate, you may be wise to refinance the mortgage with the new bank. You will not be the first customer to refinance mortgage loans at a different bank.
Everyday banks get hundreds of customers from other banks with the hopes of doing a refinance. Mortgage loans are one of our largest investments and we all want the best possible deal.
There is one factor to keep in mind when you decide to refinance mortgage loans. When you get your original mortgage loan, the bank charges fees for required services such as appraisal of your home, title insurance and sometimes legal fees. These are usually one-time fees that are either added to your loan or paid at the closing of the loan.
When you refinance mortgage loans with the same bank, you will not have to pay these costs again. However, a new bank will be starting from scratch and you'll have to pay these costs again. So before you refinance your mortgage, consider all the options.
Refinance House Specific links
Refinance House News
Northen Virginia Refinancing Expert Explains New Home Affordable Refinance Program - SBWire (press release)
Northen Virginia Refinancing Expert Explains New Home Affordable Refinance Program SBWire (press release) Northern Virginia Refinancing Expert Laura DiCarlo explains all about the revamped government program that provides refinancing options to homeowners who owe more on their mortgage than their house it worth called HARP 2.0. |
New Home Sales Up – Spike in Refinance Applications – All Signs Point to ... - World News Resource
 World News Resource | New Home Sales Up – Spike in Refinance Applications – All Signs Point to ... World News Resource New home sales across the US saw a slight uptick during the month of April, while national average house prices also increased over the first three months of the year. According to official data recently released by the Census Bureau, ... Today's Mortgage Rates: Bank of America, Chase and PNC Bank Refinance Rates ... |
Over 40 percent of homeowners owe more than their house is worth - Auburn Journal
 Los Angeles Times | Over 40 percent of homeowners owe more than their house is worth Auburn Journal The federal government also rolled out new regulations to help homeowners through the Home Affordable Refinance Program 2. It is designed to assist homeowners in refinancing their mortgages, even if they owe more than the home's current value, ... Underwater Nation: 16 Million Borrowers Owe More on House Than It's Worth |
Obama's Disclosure Shows Mortgage Refinance Not High on Agenda - San Francisco Chronicle
 BBC News | Obama's Disclosure Shows Mortgage Refinance Not High on Agenda San Francisco Chronicle Rates for a 30-year fixed mortgage averaged 4.46 percent last year, according to Bankrate.com data, hitting a low at the end of the year of 3.92 percent. In 2011, 4.3 million homeowners refinanced, according to data from the US Department of Housing ... UPI NewsTrack TopNews Obama Disclosures Reveal Account at JPMorgan |
Obama to tout success of mortgage refinancing - Washington Post
 The Associated Press | Obama to tout success of mortgage refinancing Washington Post According to the White House, refinancing applications in three of the hardest-hit states in the housing crisis, Arizona, Nevada and Florida, have ballooned since Obama announced programs to let more homeowners who are underwater on their loans qualify ... Obama touts refinancing program, presses Congress to do more Obama pays house visit to Reno couple Obama wants Congress to help homeowners |