While there are many types of mortgage refinances, here are nine options commonly used by homeowners today: 1. Rate-and-term refinance. A rate-and-term refinance allows borrowers to change the interest rate and loan terms of an existing mortgage.

Jan 12, 2025 · A refinance occurs when a borrower replaces an existing loan with a new loan to improve the terms, such as the interest rate, amount borrowed, and length of the loan.

Mar 12, 2025 · There are several types of mortgage refinance options, including rate-and-term and cash-out refinancing. The most common, rate-and-term, involves replacing your current mortgage...

Mar 24, 2025 · When can I refinance my home? You can refinance your home at any time, but most lenders require you to wait six months after your original mortgage closes. To maximize your potential savings, refinancing is ideal when interest rates drop, your credit score improves, or you’ve built at least 20% equity to remove private mortgage insurance (PMI).

Apr 25, 2024 · Refinancing is when you pay off an existing loan with a new loan. Mortgage refinancing may allow you to borrow funds at a more favorable interest rate, repay the funds over a different length of time, and withdraw from or add to your home equity, depending on the type of mortgage refinance product. How does refinancing work?

Mar 31, 2025 · Mortgage refinance rates remained unchanged at 6.83% today, according to the Mortgage Research Center. For 15-year fixed refinance mortgages, the average rate is 5.73%, and for 20-year mortgages ...

Jan 10, 2025 · Common reasons for a cash-out refinance include making home improvements, paying off other debts, and covering major life expenses. Thanks to more lenient requirements, borrowers who cannot qualify for other cash-out loans may be eligible for the FHA cash-out plan. What Is an FHA Cash-Out Refinance?

Apr 10, 2025 · Find current mortgage refinance rates in 2025 and when to refinance. Learn how to refinance your house and find the answers to more questions here.

Mar 10, 2025 · So, opportunities to refinance to a lower rate are currently rare. Indeed, Fannie says you must reduce your current rate by at least 0.5% (50 basis points) in order to be approved for this program. At the time of writing, that would mean that only those with loans originated in late 2023 are likely to be eligible.

Nov 7, 2024 · To that end, take a look at the nine home refinance options below to get a better sense of which type might be your best choice. A good option if you want to … Overwhelmed with options? Here’s how to choose the right mortgage refinance for you. 1. Rate-and-term refinance.