Refinance Mortgage Q & A
How long does it take to refinance?
Most of our loans close within thirty days of application. Depending on the type of loan you have the refinance time can vary. If there is a second mortgage on the property, the time could take longer since this lien holder will need to execute a subordination agreement.
Can I lock my loan to guarantee the interest rate at application?
Yes, we can lock your loan at the time of application. If an appraisal is required, we will need to collect a third party services fee prior to locking.
How much money would I need to bring to closing?
Most loan types allow taxes and insurance items to be added to the balance of the loan. Certain streamline products require that you replenish your tax and insurance escrow accounts. You current servicer would refund the balance of your escrow to you after they have you paid off.
I am concerned the value of my property has dropped, can I still refinance? *
Yes, if your current mortgage is a government-backed loan like FHA or VA, you can probably get a Streamlined Refinance and your home's value will not be a factor. If your mortgage is owned by Fannie Mae or Freddie Mac, you may be able to refinance through the Home Affordable Refinance Program (HARP), even if you owe more than your home's value.
What is the difference between the rate and APR?
APR, which stands for “Annual Percentage Rate” is the rate that is charged for borrowing expressed as a single percentage number that represents the actual yearly cost of funds over the term of the loan. This includes any fees or additional costs associated with the transaction.
(1) The interest on the protion of the credit extension that is greater than the fair market value of the dwelling is not tax deductible for Federal income tax purposes; and
(2) the consumer should consult a tax adviser for the further information regarding the deductibility of interest and charges