Refinance FAQs

Refinancing typically makes sense if you can reduce your rate by 0.5-1%, plan to stay in your home long enough to recoup closing costs, want to switch from an adjustable to fixed rate, need to access equity, or want to remove mortgage insurance. Use our refinance calculator to analyze your specific situation.

There's no universal waiting period, but some loans have specific requirements: FHA loans require 6 months of on-time payments for streamline refinancing, VA loans require 6 months for IRRRL, and cash-out refinances typically require 6-12 months. Conventional rate-and-term refinances may be available immediately if it improves your situation.

Refinancing involves a hard credit inquiry which may temporarily lower your score by 5-10 points. However, this impact is usually minimal and short-lived. The long-term benefits of lower payments often outweigh this temporary dip. Multiple mortgage inquiries within 14-45 days typically count as one inquiry.

Yes, but you'll need to provide additional documentation including 2 years of tax returns, profit and loss statements, and possibly bank statements. Some lenders offer bank statement programs that qualify you based on deposits rather than tax returns. We specialize in helping self-employed borrowers.

Your existing lender will refund your escrow balance within 30 days of loan payoff. You'll need to fund a new escrow account at closing for the new loan. This is often the largest closing cost, but you'll get your old escrow refund to offset it.

Credit requirements vary by loan type: Conventional (620+), FHA rate-and-term (580+), FHA cash-out (620+), VA loans (typically 620+), Jumbo loans (700+). Higher scores get better rates. If your credit has improved since your original loan, you may qualify for significantly better terms.

For rate-and-term refinancing, you typically need 5-20% equity depending on the loan type. Cash-out refinances usually require 20% equity remaining after the cash-out. FHA and VA streamline programs may not require an appraisal, so exact equity isn't always necessary.

Absolutely! Shopping around is encouraged and can save you thousands. Your current lender isn't obligated to offer the best rate. We'll handle the payoff process with your existing lender, making the switch seamless for you.

Several programs help borrowers with limited or negative equity: FHA Streamline (no appraisal required), VA IRRRL (no appraisal), and conventional high-LTV refinance programs. These focus on payment reduction rather than equity. We'll explore all available options.

Most refinances require an appraisal, but exceptions include: FHA and VA streamline refinances, some conventional refinances with strong equity (automated valuation), and certain repeat customer programs. We'll let you know if you qualify for an appraisal waiver, which can save time and money.