What You Should Consider When You Refinance When you're making your decision, keep these three things in mind. First, even a small rate cut can pay off
quickly. Shoreline Mortgage is willing to waive routine refinancing charges such as application, appraisal and legal fees (which can add up to $1,500 to $3,000). Of course, in exchange for low or no up-front costs, you'll have to
be willing to accept a rate that's somewhat higher than the prevailing rock bottom. these are called No Closing Cost loans. But as Keith Gumbinger, vice president of HSH Associates, a mortgage research firm in Butler, N.J., says:
"If you can refinance from something like 8.25% to 7.5% with no costs, why not do it?" Second, if you are planning to stay in your home for at least three to five years, it may make sense to pay "points" (a
point equals 1% of the loan amount) and closing costs to get the lowest available Rate. And third, you can avoid laying out cash and still get a low rate by adding the points and closing costs to your new mortgage. Does that
mean shouldering a lot of extra debt? Not necessarily. If you've had your current mortgage for at least three years, you've probably reduced your balance by several thousand dollars. So you may be able to tack your closing costs
onto your new loan and still end up with a mortgage that's smaller than your original one -- plus, of course, a lower rate and lower monthly payment. Thanks to heavy competition among lenders and increased automation, the
refinancing process itself is relatively painless. You can apply over the phone or apply online and stop by our office or title company for the closing. You can even have the closing documents sent directly to your home for
signatures. In most cases, you'll need a new appraisal, credit check and title search. Still, you'll generally be able to close on your new loan in two to four weeks. "I don't think the whole process ate half a day of ours"
recalls Stephen Doty, a recent refinancer in Lakeland, FL. Shoreline Mortgage Corporation | | Home | C o p y r i g h t © 1 9 9 8 , 1 9 9 9 Shoreline Mortgage Corporation
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