If you’re considering refinancing your home there are a number of common mistakes according to US News that cost homeowners thousands of dollars unnecessarily. It pays to do your homework when mortgage refinancing to make sure you’re getting the best refinance rates without paying junk fees.
It’s baffling that people spend more time researching a vacation or a car purchase than they do shopping for a mortgage, but they do. A recent mortgage survey conducted by Zillow Mortgage Marketplace concluded that nearly half of prospective home buyers don’t understand essential mortgage information. If you need a mortgage and don’t like throwing away your hard-earned money, learn from these common mistakes below.
Learning basic mortgage terminology and understanding how mortgage points affect your bottom line when refinancing is not as difficult as you might think. The fees you pay for your mortgage refi determine how good of deal you’re getting. Before you’ll realize any benefit from mortgage refinancing you’ll have to recoup these expenses from your lower payment amount. The more you pay for the loan origination fee and closing costs the longer it takes to recoup.
You can learn more about minimizing your closing costs and loan origination fee while avoiding unnecessary markup of your mortgage rate by checking out my free Underground Mortgage Videos.