Should you refinance your mortgage?
A new loan can cut your payment, free up equity, or end mortgage insurance. See if it adds up.
Want to talk through your options with a lender?
Share how to reach you and we will introduce you to our preferred lender. It is free to ask, and we share nothing until you say so.
- Whether it pays for you
- When you break even after costs
- Cash-out, rate, and term choices compared
How does a refinance work?
- A quick conversation
The lender reviews your rate, balance, and goal, whether that is a lower payment, cash, or a shorter loan.
- Real numbers
You get a loan estimate with the new rate, payment, and all closing costs.
- Closing
After any appraisal, you sign and the new loan pays off the old one, often within a month.
Step one is the easy one. A pre-approval tells you what you can buy.
Get pre-approvedWhat should you have ready?
Shows your balance, rate, and loan servicer.
Pay stubs and W-2s, or two years of returns if self-employed.
Two months, every page.
Your homeowners policy and your association's name and dues.
Have these ready? The lender can usually answer within a day or two.
Get pre-approvedWhat should you read next?
What do owners ask about refinancing?
Is refinancing worth it for me?
Compare the closing costs with your monthly savings. If you will stay in the home longer than it takes to break even, it often is.
What does refinancing cost?
Usually 2 to 5 percent of the loan in closing costs. Some lenders roll the costs into the loan or the rate, which you repay over time.
What is a cash-out refinance?
You take a new, larger loan and receive the difference in cash. Most cash-out loans require you to keep at least 20 percent equity.
Can refinancing remove mortgage insurance?
Yes, often. Moving from an FHA loan to a conventional loan can end FHA mortgage insurance once you have enough equity.
How long does it take?
Most refinances close in 30 to 45 days.
Am I required to use your lender?
No. Our preferred lender is optional, and any lender is fine.
Is now a good time to refinance?
It is a good time when the savings outweigh the cost and you will keep the home long enough to recover it. Take the closing costs and divide by the monthly savings. The result is the number of months to break even. Plan to stay longer than that and a refinance is worth exploring.
Owners refinance for more than a lower rate: to pull equity for a remodel, pay down costly debt, switch from an adjustable rate to a fixed one, move to a 15 year term, or remove FHA mortgage insurance once their equity allows it.
Questions about refinancing in Las Vegas?
Tell us what you are after and we will reply the same day with real answers, not a drip campaign.
