What percentage difference is worth refinancing?

The traditional rule of thumb is that it makes financial sense to refinance if the new rate is 2 percent or more below your existing interest rate. The new rate on a refinance must provide enough savings in monthly mortgage payment to justify the cost of refinancing.

Can you refinance if your spouse is unemployed?

Yes, You Can Still Refinance While Unemployed Many lenders want to see proof of income to know that you’re able to repay the loan. Unfortunately, lenders often won’t accept unemployment income as proof of income for your loan. So, while refinancing during unemployment is difficult, it’s not entirely impossible.

Can you refinance a house with one spouse after divorce?

In most cases, mortgage companies won’t let you simply remove one spouse from the loan and the deed. “The transfer of title after a divorce is a very common and tricky problem,” explains Theresa Guettler, branch manager with Caliber Home Loans. “The right thing to do is to refinance after the divorce.”

Can a spouse refinance a mortgage in Your Name?

In other words, you cannot quitclaim a property with the expectation that the mortgage will pass to the remaining spouse. If your spouse qualifies to make the loan payment on her own, she can refinance and get a loan in her name only.

When does it make sense to refinance your home loan?

It makes sense to refinance a home when it will save you money or make paying your monthly bills easier. Some experts say you should only refinance when you can lower your interest rate, shorten your loan term or both. That advice isn’t always correct.

What to do if your ex wife refinances your home?

Clever writing in the agreement can protect you and give your ex-wife some choices: Many lenders will allow for loan modifications without a full refinancing, so the decree could stipulate that she work with the mortgage holder to remove your name (reassigning the loan)

What happens to my house if I refinance before marriage?

If I bought a house alone before marriage and refinance alone after marriage, does the house become marital property? Ask a lawyer – it’s free! The general rules are that property acquired before marriage is non-marital property, but that any increase in value of the asset during marriage is marital.

How long can you refinance a 30 year mortgage?

If your beginning loan was a 30-year loan, for example, you can refinance into a loan lasting 20 years or 15 years instead.

Can a spouse be a co-owner of a refinance?

Unfortunately in a refinance transaction the lenders usually end up having people name their spouse as co-owners of the property. During the refinance process your lender may have told you that it would be quicker or easier to have both spouses on everything. That may be true for them, but it could have put you in great jeopardy.

Is it possible to refinance your mortgage without extending it?

Refinance rates are at their lowest levels in history. There are millions of U.S. homeowners with mortgages “in the money.” If you refinance, you may be able to do it without extending your loan. And you could save yourself tens of thousands in the long run.