5 Things To Know About Refinancing Your Mortgage
Refinancing your mortgage could open up more possibilities that are better for you now than when you first got your mortgage.
1. What is the benefit to refinancing a mortgage loan?
Refinancing your mortgage loan can have great potential benefits, like getting rid of your Private Mortgage Insurance (PMI), lowering your rate and payment, shortening the term of your loan, or cashing out on your equity for large purchases or debt consolidation.
2. How do I know if I should refinance my mortgage?
Each situation is different. If you’re looking for some more financial freedom in your life—whether that’s a lower loan rate or even debt consolidation—and you have a mortgage, exploring a refinance is a great way to start.
3. What does the process of refinancing my home look like?
A refinance is going to look and feel very similar to when you bought your house—because it’s basically a completely new loan. You’ll complete an application, get your credit pulled, and have the home appraised. Plus you have to get documents for underwriting together, like pay stubs, W-2’s and Tax Returns.
Unlike when you bought your home, however, most refinances can be set up where there’s no down payment. If you have enough equity you could possibly even roll the closing costs into your loan instead of paying for them out of pocket. For most refinances, your only out-of-pocket ends up being the appraisal cost.
4. If my mortgage isn’t with CommunityAmerica, can I still work with you to refinance my house?
You’re still eligible to apply for a refinance—there are no restrictions on who you can ask to refinance your house! If CommunityAmerica wasn’t able to help you the first time around, we’d be more than happy to see how we can help with a potential refinance.
5. Could this increase my potential Profit Payout1?
YES! Mortgages are a piece of our Profit Payout; it can play a huge role in how big your potential payout is. The average qualifying member with a mortgage in 2018 received $288.58! Head over to our Profit Payout calculator and see how a refinance could boost your potential.
If it sounds right for you, a give us a call at 913.905.3799. Our Mortgage Advisors take in to account your complete financial situation and can let you know how even a marginal reduction in rate can make a big difference when paired with another benefit like consolidating debt or getting rid of PMI.