Best Mortgage Refinance Companies in Rochester Hills

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.
  

• What is the cost of refinancing a mortgage in Rochester Hills?

  In Rochester Hills, closing costs for refinancing a mortgage typically run from 3 to 6 percent of the borrowed amount. They consist of mortgage points, appraisal costs, title insurance fees, loan origination expenses, and fees for credit reports. Some lenders will eliminate closing expenses if they are too expensive for you to pay, but they will charge you an additional interest rate in return.

• Are you required to refinance your mortgage in Rochester Hills with your current lender?

  No, you are under no obligation to refinance your Rochester Hills mortgage with your present lender. You might not get the greatest interest rate or loan terms if you decide to refinance right away with your current lender. For this reason, you shouldn't be hesitant to comparison-shop and check out the present mortgage rate of interest, availability, and client satisfaction ratings of each lender.

• Even if you have a second mortgage on your house, is it possible to refinance your mortgage in Rochester Hills?

  Yes. Normally, the refinance would pay off your Rochester Hills second mortgage and combine both debts into a single new first mortgage. You would just need to make one mortgage payment every month as a result. There are some circumstances, though, where you might be able to refinance the primary loan while maintaining your second mortgage.

• Once your Rochester Hills house has undergone a refinancing, can you still obtain a home equity loan?

  Yes. After refinancing your Rochester Hills house, you can still apply for a home equity loan. However, you will need to have accumulated a particular level of equity in your property in order to be eligible for the loan. The amount of equity you have in your house will determine whether the lender will approve your loan. Normally, this equity must be between 15 and 20 percent.

• Does purchasing points while refinancing your mortgage in Rochester Hills allow you to eventually reduce your interest costs?

  Yes. You can reduce your overall interest costs by purchasing points when you refinance your Rochester Hills mortgage. For instance, each point might cost about 1% of your loan, and each point you purchase might result in a 0.25% reduction in your interest rate. Therefore, every point on a $400,000 debt would cost $4,000 in total. You might save over $20,000 over the course of your 30-year loan if your mortgage rate dropped from 4.35% to 4.10%.

• 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.