Welcome to Mortgage Refinancing Guide
Low Rate Mortgage Refinancing Article
. For a permanent link to this article, or to bookmark it for further reading, click here.
Common Terms Used in the Refinancing Process
from: Mortage & Debt FactsSo, you have decided that the time is right to refinance that mortgage for something better and slightly more affordable. You need some extra cash each month. Who doesn’t?
You believe that refinancing is the perfect way to get a few hundred to put into savings, towards college, back into your home (that kitchen does not enjoy that lime green paint job anymore), or whatever else it is that you feel would benefit the most from the money. If that is not the case, then maybe you are after greater equity in your home or simply found that your better credit score can get you a better deal.
Whatever the reason, refinancing is becoming increasingly popular for home owners.
Before you step into that lender's office or bank where you took out a mortgage, you would be wise to do some research. You may know a bit about mortgages from your first experience, but how well did that go if you are looking to refinance? A little research can go a long way especially since mortgages seem to be written in a completely different language then the one you grew up with. The terms and phrases used, often communicate extremely important information that should not be missed the first time. Knowing at least some of the lingo will help boost your confidence when staring across the desk at the person who will determine your new mortgage.
Let us first look at the two types of mortgages that you will be dealing with in your refinancing process; fixed rate mortgage and adjustable rate mortgage.
The fixed rate mortgage is pretty much what it sounds like. The rate of the monthly fee will remain the same throughout the length of the mortgage whether or not the national interest rates increase or decrease. Such a rate is generally a good idea for those who plan on owning the home for an extended period of time, because it gives you a sense of stability.
The adjustable rate mortgage is pretty much the opposite of the fixed rate. The rate will fluctuate given a certain indicator such as the prime interest rate. The benefit of such a rate is the low rate of the loan for the first few years. However, this type of rate can prove to be problematic as it is generally unpredictable.
The Annual Percentage Rate, commonly referred to as an APR is a rather important number that lenders tend to calculate differently. Generally, the APR gives you the actual yearly interest rate. However, since APRs can vary you should shop around before settling on a lending office.
Closing cost is an important number when thinking about a mortgage whether a first time or for a refinance. The closing cost is the amount that it takes to complete the transaction of purchasing the house or what it will take to refinance. The closing cost and the amount of time it will take to pay it off is an important consideration when deciding to refinance.
Of course, there are a ton of more specialized jargon and lingo used in the industry of mortgages and refinancing. However, knowing at least a portion of the common phrases and terms used will empower you to walk confidently into that lender's office and receive the best deal possible.
Low Rate Mortgage Refinancing Specific links
Low Rate Mortgage Refinancing News
Freddie Mac: 30-year mortgage rate down a tick at 3.78% - Los Angeles Times
 OregonLive.com | Freddie Mac: 30-year mortgage rate down a tick at 3.78% Los Angeles Times The typical rate on a 15-year fixed loan held steady at 3.04%. Sales of new homes were rising in a recent survey, with the low rates helping to make housing more affordable. But many homeowners are trapped in homes worth less than their mortgages, ... Thirty-year mortgage rate falls to record 3.78% 30-year mortgage rate hits another record low Average US rate on 30-year mortgage dips to record low of 3.78 percent; 15 ... |
Refinance Applications Increase in U.S. for Third Consecutive Week, Driven by ... - World Property Channel
 Eastern Morning Herald | Refinance Applications Increase in U.S. for Third Consecutive Week, Driven by ... World Property Channel This is the second lowest government purchase share since March 27, 2009. The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($417500 or less)decreased to 3.93 percent, the lowest rate in the history of ... Bankrate: Mortgage Rates Hold at Record Lows Mortgage Rates: Low Mortgage Rates Attracting Borrowers to Mortgage Refinances Today's Mortgage Rates: Bank of America, Chase and Citibank Refinance Rates ... |
Time to Refinance While Mortgage Rates are So Low - FreeRateUpdate.com
 New Zealand Herald | Time to Refinance While Mortgage Rates are So Low FreeRateUpdate.com Existing homeowners need to seriously look at the mortgages they currently have, the interest rate, mortgage payments and length of time which is left to pay down the current loan. After taking a look at these details, many borrowers are going to find ... Record-low mortgage rates spur refinancing MBA Weekly Survey: Refinance Applications Increase Because of Record Low ... HSH.com Weekly Mortgage Rates Radar: Fixed Mortgage Rates at New Record Low Again |
Real: FHA streamline refinance gets cheaper - The Republic
Real: FHA streamline refinance gets cheaper The Republic The Federal Housing Administration will reduce mortgage fees significantly for borrowers who qualify for the FHA's streamline refinance program. The lower fees go into effect June 11 and will be available to borrowers who refinance loans that were ... FHA Streamline Refinance Set To Spur Refinance Boom |
Save Thousands On Your Mortgage: When You Should Refinance - News Channel 7
Save Thousands On Your Mortgage: When You Should Refinance News Channel 7 "A general rule of thumb is if you can lower your rate by at least one percentage point then it's at least a good idea to take a look at refinancing." Mortgage bankers say they've been flooded with people interested in refinancing. |