Although every situation is different, I would recommend refinancing your mortgage if:

1. Current interest rates are at least 1% lower than your existing rate.
2. You plan on staying in your home for another 5 years (give or take)
3. You anticipate being approved for the refinance loan.

How long is a refinance taking right now?

A refinance typically takes 30 – 45 days to complete. However, no one will be able to tell you exactly how long yours will take. Appraisals, inspections and other third parties can delay the process. Your refinance might be longer or shorter, depending on the size of your property and how complicated your finances are.

Why is it taking so long to refinance?

Are you wondering why does it take so long to refinance a mortgage? The simple answer is because lending standards have tightened tremendously since the financial crisis. And in order to get the lowest mortgage rate possible with the lowest amount of fees, you need a credit score of 800+.

Can you buy a new home while refinancing your current home?

If you decide to get a jumbo loan there is no max loan amount, but the LTV is typically limited to 75% with most lenders. Yes, it is okay if you decide to rent out the home and buy a new primary residence regardless of when you took out the new mortgage on your current home.

What makes you a good candidate for a refinance?

You’re a good candidate to refinance if you’re planning to stay in your home for a while and are refinancing at a lower interest rate, switching off an adjustable-rate mortgage, or looking to eliminate private mortgage insurance.

How to tell if refinancing makes sense for You?

There are several ways to reduce your interest costs: To determine whether you’ll save money, you’ll need to run the numbers. It’s not especially hard to calculate the potential savings of refinancing .

When is it a good time to refinance your mortgage?

If you refinance when you’re just a few years into your current mortgage, most of the payments you’ve already made went primarily to interest. And if you sell before you break even on the new loan, you haven’t saved yourself any money. Sometimes refinancing can net you a lower monthly payment.