You're considering a home refinance loan, not because it
seems like the thing to do, but because you've identified
refinancing as the financial strategy you'll employ to
reach your financial objectives.
Now you want to decide upon how to proceed. A home
refinance loan isn't impossible to obtain - even with
bruised credit.
Here's how to do it without busting your budget.
First Consider Your Reasons: What do you need the money
for? Why you're shopping for a refinance loan in the first
place can play a role in whether it's a sensible idea. If
you want to lock in at a good rate and pull cash out of
your home to take a luxury cruise, that might not pass the
"smell" test.
But, if you're refinancing to lock into a fixed rate
mortgage to save money on your house payment, that's
another story entirely. Refinancing becomes an even more
attractive option for you if you want to reduce your
payments so you can begin whittling away at some other
debts with your monthly savings.
Next Shop around: Don't settle for the first offer you get;
hold out until you're sure you have the best offer. Avoid
the temptation to "get it over with" because the wrong loan
can take years to recover from.
Evaluate your offers: When you have all your home loan refi
offers, compare them fairly. Look at the total cost because
the devil's in the details. A low APR won't do you much
good if you have a lot of fees to pay. Carefully examine
how much the loan is going to cost.
Interview Your Mortgage Broker: Question your broker. Check
them out with former clients. If they're reputable and are
as good as they claim to be, they'll be glad to put you in
contact with satisfied customers. If they don't have any,
an alarm bell should be sounding in your head ' loudly.
Apply for your loan and provide necessary documentation: Be
honest on your loan application. You're going to be
swearing or attesting to the truthfulness of your answers.
Lying on a credit application is a crime, and the law
doesn't provide for colour shading. There's no such thing
as a white lie in the eyes of the law.
Once approved, sign the paperwork: Once your refinance loan
is approved and you've jumped through all the necessary
hoops, you'll seal the deal, not with a handshake, but a
series of signatures on all the refinance loan documents.
Refinancing your home loan doesn't have to be a painful
process. Following the steps above can make the process
smooth and painless.
A good mortgage broker can help make it a positive and
memorable affair. You'll walk away from the closing table
with a swagger in your step, knowing that you've dealt with
rising mortgage rates and that you've locked in at a good
rate!
----------------------------------------------------
Darrin Roseborsky is a Refinance Specialist with OMAC
Mortgages, seminar speaker and president of
CanadianHomeRefinance.com. Darrin shows people how to
MAXIMIZE their equity PROPERLY and how to choose options
that make the MOST SENSE for their situation! An example of
exactly how this works, is at:
http://www.canadianhomerefinance.com
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