Making Sure You Get the Absolute Best of All Possible Mortgage Refinancing Deals.
Sounds like a tall order, doesn't it? You shouldn't treat mortgage refinancing as a competitive sport. The best mortgage for you may not be the one with the lowest interest rate. It's not necessarily a 30-year fixed-rate loan. And a rock-bottom monthly payment may not be in your best interests, long term. Getting your best refinancing deal requires a thorough assessment of your needs, and then some rigorous research to find the mortgage that best meets those needs. Here's a partial checklist:
- What's out there?-it's important to understand the different types of mortgages available to you, and how each might fit your situation (i.e. do you plan to stay in your home long term or will you be moving within the next five years? Is your credit history less than sterling? What kind of mortgage do you currently hold and how urgent is your need to refinance?)
- Is FHA an option?-the Federal Housing Administration (FHA) offers federally-guaranteed loans at very competitive rates for those who qualify. For more info, go to www.fha.gov.
- Do you belong to a credit union?-mortgage loans from credit unions could offer competitive rates and streamlined service.
- Have you looked locally?-mortgage lenders in your local area will be familiar with your region's, and maybe even your neighborhood's, real estate market. And, you'll be able to meet with them face to face.
- Shop, shop, shop!-take the time and put in the effort to arm yourself with information. Shop rates, shop terms, shop fees and closing costs. An informed borrower is a successful borrower!
Its All About You
Remember, it's your home, your mortgage and your financial picture. Use the knowledge and experience gained during the recent home financing boom and bust to review your options carefully and make wise choices. Don't let dramatic headlines and dire predictions influence those choices unduly. Make your decision for you.