Are you one of the 6 million people who currently stand to save money by refinancing their home loan?¹
If every American eligible to refinance their mortgage chose to do so, the combined savings would be:
$1.6 billion
an average of
$271 per person per month.
With the average interest rate for a 30-year fixed rate mortgage hovering in the 4% range, now may be the right time for you to consider a refinance and to save some money in the process.
Who Will Get The Best Deals?
Refinancing your mortgage is a lot like taking out a brand new one. Lenders look at your:
- Credit Score
- Debt-to-income ratio
- Employment history
People who excel in the areas above are typically considered "lower-risk" and rewarded with better rates.
Credit Score
gives you best rates
20 Point Increase
Every 20-point increase in credit scores
0.125% Decrease
The interest rate drops about 0.125%
3 Tips for Saving the Most Money
- Before you apply for a refinance, check all your information to be sure that it's correct and there's no outdated or harmful information on your report.³
Beware! 20% of credit reports contain wrong information, which may result in a higher mortgage interest rate. - Consumers who received rate quotes from multiple lenders cut their interest rate by as much as 50 basis points (0.50%). 4
Fact: Almost half of all homeowners request a quote from just one lender. - Make sure to review all your rates and run your numbers to be sure you're getting the right deal. 5
Caution! 59% of borrowers who refinance may not be getting the best rate, or may be paying too much in commission.
Powered by Savy Money.
- Jean Chatzky Director of Education, Editor in Chief
1- https://www.blackknightinc.com/wp-content/uploads/2019/05/BKI_MM_Apr2019_Report.pdf
2 - https://www.bankrate.com/mortgages/refinancing/refinancing-6-million-homeowners-can-save-money/
3 - https://themortgagereports.com/22271/best-way-to-refinance-avoid-6-mistakes
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