Home » Loan Types » Should I Refinance Through My Current Lender?

Should I Refinance Through My Current Lender?

Enter your email address to follow this blog and receive notifications of new posts by email.

Most Liked Info

  • None

Hours & Info

Monday thru Friday

Blog Stats

  • 1,020 hits
August 2013
« Jul   Sep »

mortgage app

In a world where the loan originator typically isn’t the loan servicer, and the loan servicer doesn’t actually own the home loan, it’s harder to make the argument that sticking with your current lender gives you much of an advantage when you refinance. Is your current company your loan servicer, or was it just the loan originator?

Often, your originating lender or loan servicer won’t offer the best loan rate but may be able to offer you lower closing costs because of the existing relationship. You have to compare the loans to decide which is likely to provide you with the lowest total interest expense and closing costs. Bankrate’s refinancing calculators can help you compare the offers. The U.S. Department of Housing and Urban Development also has a pamphlet, “Looking for the Best Mortgage,” that has a “Mortgage Shopping Worksheet,” which can help when comparing loans.

The other thing to be cautious about in comparison shopping for a new home loan is that you don’t want it to negatively impact your credit score. Don’t string out the credit application process. If you apply with several lenders in a short period of time, say two weeks, then it’s obvious that you’re comparison shopping. Do it over a month’s time, and your credit score is likely to take a bigger hit because of the multiple refinance loan applications.

Original article here.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Michele Fritz

Mortgage with Memories

Houston and the Inner Loop Real Estate

The official blog of Lee Hudman, ABR CNE CLHMS GPA

Naples Real Estate

Find your dream home in Naples Florida


Real Estate Knowledge

Worldwide Member Newsletters

Who's Who Leaders in the News

Matt on Not-WordPress

Stuff and things.

Real Estate Prophets

Straight talk on mortgage finance from the prophets

%d bloggers like this: