Home Financing
 

Refinancing Your House

Consider refinancing your mortgage if you can get a rate that is at least one percentage point lower than your existing mortgage rate and if you plan to keep the new mortgage for several years. When comparing mortgages, don't forget to include the extra fees you must pay for the new mortgage. You may be able to get some fees waived if you are able to refinance with your current mortgage holder.

Buying a home is one of the most complex financial decisions you'll ever make.

• Consider hiring a buyer-broker who works for you not the seller. Real estate agents represent the seller not the buyer.

• Get prices on other homes. Knowing the price of other homes in a neighborhood will help you avoid paying too much.

• Have the property inspected. Use a licensed home inspector to carefully inspect the property before agreeing to buy it.

The Real Estate Settlement Procedures Act (RESPA) requires lenders to give you information on all closing costs and escrow account practices. Any business relationships between the lender and closing service providers or other parties to the transaction must also be disclosed. Many of the fees are negotiable. More information is available from the Federal Trade Commission, the Federal Reserve Board, and the Department of Housing and Urban Development.

Refinance My Home