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THINKING ABOUT A REFI?  HERE ARE SOME TIPS!

THINKING ABOUT A REFI? HERE ARE SOME TIPS!

Hey there friends!  As you may or may not know, interest rates are very low right now, which means it’s a great time to refinance your home loan!  Refinancing can lower your monthly payment, shorten your loan term, eliminate the dreaded PMI, and best of all put cash in your pocket!  If you are considering a refi, here are some tips that could help you along the way:

CHECK YOUR CREDIT

You should always keep tabs on your credit.  There are many benefits doing this, such as disputing incorrect information, possibly nipping identity theft in the bud, and knowing exactly what your score is at any one time.  Everyone is entitled to one free credit report per year from each of the three major agencies.  In addition to that, I recommend signing up for an account at CreditKarma.com.  At CreditKarma.com, not only do they provide near-realtime scans of your credit reports, they also offer great advice on ways that you can keep your credit in tip-top shape.

CALCULATE WHAT YOU CAN AFFORD

Next, go to MortgageCalculators.info where you will find a bunch of useful financial calculators.  Just input the needed info and they will tell you everything from how much cash you can take out to how much your monthly payment will be to how long your new loan term will need to be.  It’s incredibly helpful to know this information before you contact a potential lender to discuss loan specifics.

LISTEN TO THE PROS

Do a little research into the current mortgage environment by going to websites such as Bloomberg, CNBC, or the Wall Street Journal.  There you will find cutting-edge information that will help you determine the best types of loans and the going interest rates at the moment, and not only that, but you can also get forecasts that can help you determine the best time to pull the trigger.

CHECK AROUND FOR THE BEST DEALS

Many of the top nationwide lenders advertise their loan products online.  If you have a favorite lender then go to their site and check them out.  Some of these include QuickenLoans.com which is now RocketMortgage, Bank of America Mortgage, and Wells Fargo Home Mortgage.  There are also several sites that will provide you the rates of many lenders so you can compare and make the best choice, such as LendingTree.com or BankRate.com.  Better yet, if you have a favorite local lender, go pay them a visit and talk about the ways that they can help you with your mortgage.

PREPARE FOR AN APPRAISAL

Once you select a lender and start the process, everything starts to move a lot faster and much of it is out of your hands.  There is one area, however, where you can really make a difference.  In order for the lender to know what your home is worth, which in turn dictates how much they can offer you, they have to have your home appraised.  Make sure that on the day of your appraisal you have the house in tip-top shape.  Finish any little painting or repair projects that have been lingering, make sure the landscaping is in top form, and for heaven’s sake pick up your laundry and clean the bathrooms!  It also wouldn’t hurt to check out some home decor sites, such as yours truly, to get some ideas of quick and easy ways to spruce up your decor.  Most people will tell you that the little things don’t matter, but they do.  The appraiser who comes to your house is charged with the responsibility of determining the value of your house, so you want to make sure and leave them with the best possible impression.

Well, I hope these tips can help you get the most bang for your buck if you find yourself in the position of refinancing your mortgage at this time.  Like I said, interest rates are great right now, and lenders are tripping over themselves to give you the best deals possible.  The process of getting a mortgage, whether it’s for buying a new home or refinancing your current mortgage, can be cumbersome and exhausting, but I hope that these tips can make the process a little easier on you.