Best Mortgage Refinance Companies in Sandy Springs

Frequently Asked Questions

• Introduction

  Refinancing a mortgage can be a complicated process, and hiring a mortgage refinancing broker can make it simpler and faster. There are several things you can do to protect your interests and help your broker complete the process for you.
  

  
  

  Check a potential broker’s online reviews to find one with a good reputation. In addition to the opinions of past clients, check to see if a broker has an online portfolio, which can support the reviews you find from past clients to show a broker’s trustworthiness. This can also help you establish if a broker has handled financing for properties similar to yours.
  

  
  

  Get a written summary of a broker’s rates before committing so you know exactly what hiring your chosen mortgage refinance broker will cost. Find out which lenders work with your broker and what information they need to successfully refinance your mortgage.
  

• Can refinancing in Sandy Springs help you save money?

  You may be able to save money by refinancing your Sandy Springs home. There are several refinancing options available depending on your financial goals. You can refinance at a lower interest rate, which may shorten the term of your loan or lower your monthly payments. With a cash-out refinance, you can use the equity in your home to obtain funds for a new home improvement project or debt consolidation.

• Is it advisable to consider refinancing in Sandy Springs with the aim of consolidating your first and second mortgages?

  While combining a first and second mortgage through Sandy Springs refinancing may appear appealing, there may be some drawbacks. It is possible if your total loans remain below 80% of the value of your home. If your second mortgage did not initially fund the home's purchase, lenders may apply a slightly higher rate, classifying it as a cash-out refinance. This is true even if the loan was originally intended for a home purchase but was later converted to a home equity line.

• What are certain mistakes you should steer clear of when pursuing home refinancing in Sandy Springs?

  Refinancing errors to avoid in Sandy Springs:

  • Dismissing unnecessary fees: Watch for added charges beyond typical loan origination, title, and application fees.
  • Insufficient benefit assessment: Weigh refinancing costs against advantages.
  • Over-withdrawing equity: Be cautious of taking out too much equity, risking housing market downturns.
  • Overlooking the good faith estimate: Review this document meticulously for accurate mortgage details.
  • Rate-focused misconception: A tempting low rate could conceal high fees or require upfront payment of discount points.

• What are some important facts you need to be aware of regarding cash-out refinancing in Sandy Springs?

  Some essential facts you should be aware of regarding cash-out refinancing in Sandy Springs are:

  • Rates for cash-out refinancing can be slightly higher compared to traditional mortgage refinancing.
  • Up to 80% of your home equity can usually be withdrawn as cash.
  • Your interest rate depends on withdrawal amount and credit history.
  • Cash-out refinance offers cheaper funding for big expenses than credit cards or loans.
  • Your new loan will be larger, leading to higher overall mortgage interest payments over time.

• How much money can you receive through a cash-out refinance in Sandy Springs?

  For Sandy Springs cash-out refinancing, you can secure a new loan of up to 80% of your home's total value, known as the loan-to-value ratio. Subtract your current mortgage from this for your available cash. If your home is worth $600,000, the max refinance loan is $420,000 (80% of home value). If your mortgage balance is $250,000, potential cash-out is $170,000. If a second equity mortgage exists, like a dedicated home equity line of credit, that amount is subtracted from potential cash-out.

• How do you refinance a mortgage?

  Decide why you’re refinancing, such as to get a lower interest rate, pay off your loan faster, or to get a lower monthly payment. Share your credit information with your broker along with information about the equity you have in your home. Review your mortgage refinance broker’s quotes and choose the best loan terms.