Rate-and-term refinancing
Explore a different repayment period or rate structure. A new loan may change your payment, but savings are not guaranteed. A longer repayment period can increase total interest even when the monthly payment is lower.
Revisit your mortgage
Refinance Loans
Refinancing replaces an existing mortgage with a new one. The right comparison considers your costs today, how long you expect to keep the loan, and what you could pay over time.
Understand your options
How the options work.
Cash-out refinancing
A cash-out refinance uses a new, larger mortgage to pay off the current one and may provide cash after eligible costs and payoffs. It increases the debt secured by your home and reduces the equity left in it.
Prepare for the conversation
What to review together.
- Bring your current balance, rate, payment, remaining term, and any prepayment information.
- Review available equity, the appraisal, qualification requirements, and your intended use of any cash.
- Compare closing costs, the new balance and term, total interest, and how long recovering upfront costs could take.
Common questions
A little more clarity.
General information can help you prepare. Your loan officer can explain the requirements for your particular property, finances, and program.
Will refinancing always lower my payment or rate?
No. The outcome depends on the rate, loan amount, repayment period, costs, and your qualifications. Compare a complete proposal with your existing loan rather than relying on the monthly payment alone.
Can I keep my current first mortgage and still access equity?
A home equity loan or HELOC may be an alternative to discuss. Those add borrowing against the home rather than replacing the first mortgage. Compare their costs, payments, and risks with refinancing.
What should I compare before deciding?
Review the new interest rate and APR, fees, balance, payment, term, and total expected cost over the time you plan to keep the loan. Ask about any prepayment penalty and consider the possibility that your plans could change.
Educational information only; not a rate quote, loan approval, or commitment to lend. Program availability, eligibility, rates, fees, and terms depend on underwriting, property, and state availability. Your situation may require different documentation or disclosures. East Coast Capital is not affiliated with or endorsed by HUD, FHA, VA, or another government agency. NMLS ID #1403.