In today’s housing market, there aren’t many silver linings—except for the fact that falling interest rates mean it’s a great time to refinance your mortgage. However, as everyone else scrambles to do the same, many people are left wondering how they can ensure they don’t miss out on a refinancing opportunity. CNNMoney offers these suggestions:
Know whether you can even qualify. To pass strict underwriting standards, you must have 20- to 25-percent equity in your home and a credit score of at least 750.
Shop around get the best deal. The article suggests getting at least three quotes and running the numbers to make sure the cost of refinancing will pay off for you. According to CNNMoney, general rule of thumb is that you need to cover all of your closing costs with the savings from your refi within two years.
For more tips, click here.
Source:
CNNMoney: How To Score A Low-Rate Loan
