With Rates Falling You May Be Thinking “Refinance”?
f you think you got a good deal on your current mortgage loan, you may be eligible for an even better one. Through a home refinance loan, borrowers are able to slash their interest rates and monthly payments. Based in Dayton, OH, The Myers Mortgage Team is always happy to walk homeowners through the refinancing process to secure budget-friendly loans.
In fact, the company's home refinances staff members specialize in getting clients customized mortgage loans with terms and rates. It all starts with educating them on the basics of refinancing.
5 Ways to Prep for a Home Refinance
1. Double Check Your Credit
You're likely to get better interest rates if your credit score is high. Lenders typically like to see scores above the 700 range maintained over the past two years. Request a free copy of your credit reports and credit scores from the three major reporting bureaus.
2. Take Advantage of Low Rates Now
The best time to initiate a home refinance loan is when interest rates are low. Take advantage of them before the housing market shifts and rates go back up. A real estate loan specialist can even help you lock in the desired rate if you meet the eligibility requirements.
3. Avoid Opening New Lines of Credit
If you've been thinking about refinancing, avoid opening up new lines of credit or making large purchases on credit cards. Doing so could cause your score to drop, which may impact loan approval. Try to pay down or pay off outstanding loan and credit card balances before applying for a home refinance loan.
4. Explore Home Loan Programs
In the mortgage loan sector, there is a term called "upside down." This means a borrower owes more on their loan than the value of the house. While some lenders shy away from these types of scenarios, there are several programs that can provide assistance. Among them, the Home Affordable Refinance Program allows borrowers to refinance even if they are upside down on their loan.
5. Submit Requested Documents Fast
Respond to your lender's request for financial documents right away. Procrastinating can delay the closing period and may even eliminate a locked-in interest rate. Follow up with your contact representative to ensure they've received the requested documentation. It also helps to check with them at least once a week to ensure everything is moving along.
With interest rates at favorable lows, now is a good time to consider a home refinance loan. The Myers Mortgage Team is your trusted source to get you a better deal than your existing mortgage. To get started, call (937) 545-8587 today. Visit the website for extensive information on real estate loan options.