Tag-Archive for ◊ Mortgage Refinancing ◊

Author: admin
• Saturday, April 02nd, 2011

Mortgage refinancing can seem confusing to many homeowners. Whether they are intimidated by lenders and banks, or just do not understand the process, many people have no idea how to go about refinancing the right way. Here are some general mortgage refinance tips that will help any homeowner looking for help with their mortgage.

Many people are very hesitant to try to refinance just due to the costs and confusion. However, the costs are often offset by the savings, and the confusion exists only due to lack of research. Getting a proper, beneficial, and money saving mortgage refinancing approval is not difficult to do. Here is some advice for homeowners looking to refinance:

-Always compare different mortgage lenders or banks. This is not as easy as it may sound, but it is not that hard either. When refinancing, you will be presented with multiple options. Some of the options will be better for you than others. Always compare different choices you have with offers that are similar. While each lender or banks offers are different, compare the core of the loan. Take into consideration the closing costs, time to repay, and interest rates. It will be easy to spot the best deal when comparing the main elements of different refinancing options.

-Get your mortgage interest rate written down on paper. Mortgage rates change daily, and just because you can get a low interest rate now does not mean that the rate will be available when you actually refinance. You must ask the lender or bank to write down the interest rates you qualify for, and have them sign it. While this offer will not be valid for a long time, it can often lock in your rates for at least 3 days. This should give you enough time to compare different offers.

-Know what you expect from refinancing your mortgage. Many homeowners just want lower monthly payments. However, there are other options. Lowering interest rates, changing the length of the mortgage, or getting cash back from refinancing is all possible. However, each homeowners situation is different and will require different loan options. Know what you want to get out of refinancing a mortgage, and pursue it. This will also save you some time, and ease the whole refinance process.

While these tips seem obvious, many homeowners forget the basics when they are in the process. Always remember that you are a customer, and there are other providers who are happy to work with you. If you have any doubts, or unanswered questions, do not hesitate to look for a different mortgage lender or bank.

Author: admin
• Monday, February 28th, 2011

If you are in the process of refinancing your mortgage loan, your new mortgage lender may require an appraisal prior to approving your loan. Here is what you need to know about appraisals, including tips to help maximize the equity in your home.

Your home’s appraisal is a written estimate of the market value of your property. Mortgage lenders use the appraisal to determine how much of a mortgage you qualify for. When you are refinancing your mortgage, the appraisal will also determine how much equity you own in your home. If you will be borrowing against this equity, the lender will most likely require that you pay for a new appraisal prior to approving your loan.

The appraiser is a licensed professional that will do a market analysis of sale prices for similar properties in your neighborhood and evaluate the condition and amenities of your home. The appraisal will require a thorough inspection of your home inside and out.

When you are refinancing your mortgage your goal is for the appraised value to be as high as possible. There are a number of improvements you can make to your home that will improve the appraised value of your home; however, don’t go overboard. New carpet and a coat of paint will go a long way to improve the appraised value. What you don’t want to do is purchase top of the line appliances; these purchases rarely give you enough of a boost in your home’s value to justify the expense. The best thing to do is make sure your home is up to snuff with your neighbors as far as the amenities and add-ons you invest in to improve your home’s value.

When searching for a home appraiser, look for an experienced professional licensed in your area. Your realtor may be able to recommend a good one; if you are not able to find a recommendation try contacting the Appraisal Subcommittee. The ASC maintains a database you can access on their website to help you locate a licensed appraiser in your area. You can learn more about your mortgage and the appraisal of your home by registering for a free mortgage guidebook.