How to Refinance Your Home

If you are a current homeowner you have likely heard the term “refinancing” before. However, the process can be extremely overwhelming if you are either a new homeowner or have never refinanced before. As current interest rates continue to remain low it is an ideal time to seek out Moorpark refinancing solutions. You may be wondering to yourself, “Where do I start?” This is the main reason many people never refinance – they are simply overwhelmed with the idea of refinancing.
Refinancing your home is a similar loan process to the purchase of your home from the financial aspect. If you have been reviewing Moorpark refinancing solutions you will want to gather your most recent pay stubs, W-2’s, bank statements, and you will likely need to pull your most recent credit scores. The process of refinancing is transferring your loan debt from one creditor to another so the new creditor will need all of the same information your original creditor required with the purchase of your home. There are many reasons why a homeowner may wish to refinance including:
• Cash Out: If you have been a Moorpark homeowner for several years you likely have equity in your home, now more than ever! If you have been looking for cash for a renovation project or to pay off other debt this may be a great way to borrow against your own home equity.
• Better Interest Rate: If you bought your home with poor credit or when rates were higher it may be in your best interest long-term to refinance down to a lower rate.
• Better Payment: Lower interest rates mean lower monthly payments! Over the course of your loan this can save you thousands.
• 30-Year Fixed to 15-Year Fixed: Depending on your financial situation some homeowners have the ability to refinance from a 30-year fixed mortgage down to a 15-year fixed allowing them to have their home paid off in half the time! You will also qualify for a better rate with a 15-year mortgage.
• Adjustable to Fixed: If you needed an adjustable mortgage when purchasing your home it may be a good idea to switch that out for a fixed rate mortgage, especially if you are able to refinance into a 15-year fixed mortgage! If you have waited several years you likely have enough equity to be able to refinance into a fixed rate mortgage that will make more sense for your long-term financial health.
If we can help advise you on refinancing options that are available we would be happy to discuss the right fit for your family!