Refi: A Second Chance to Refi

Looking to do a Refi? Mortgage rates are down this past week, after a sharp rise in rates the past couple of weeks, opening a window for many that thought the opportunity to do a mortgage refinance was over.

Rates have come down somewhat from their recent high and are still low compared to historical mortgage rates so doing a home mortgage refinance is still possible for many.

The week of May 18, 2009 one could have locked in a mortgage refinance rate at 4.84 percent for a fixed rate conforming 30 year mortgage. Today's mortgage rates are higher, a conforming 30 year fixed mortgage is now at 5.65%. If you're looking to refi a jumbo mortgage, rates are higher than conforming refi loan rates, today's jumbo refinance rate is at 6.39 percent, up from the May 18 low of 6.12 percent but down from last week's rate of 6.45 percent.

Loan Type

Purchase Refinance with Cash out Refinance

State

Alabama Alaska Arizona Arkansas California Colorado Connecticut Delaware District Of Columbia Florida Georgia Hawaii Idaho Illinois Indiana Iowa Kansas Kentucky Louisiana Maine Maryland Massachusetts Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada New Hampshire New Jersey New Mexico New York North Carolina North Dakota Ohio Oklahoma Oregon Pennsylvania Rhode Island South Carolina South Dakota Tennessee Texas Utah Vermont Virginia Washington West Virginia Wisconsin Wyoming

FICO Score

Superior (780-850) Exceptional (760-779) Excellent (740-759) Very Good (720-739) Good (700-719) Above Average (680-699) Average (660-679) Fair (640-659) Need Improvement (620-639) Poor (350-620)

Loan Amount

$

Points

Up to 0 points Up to 0.5 points Up to 1 points Up to 1.5 points Up to 2 points Up to 2.5 points Up to 3 points

LTV

%

Loan Term

 15-Year Fixed  20-Year Fixed  30-Year Fixed  5-Year ARM  7-Year ARM  10-Year ARM

Show Advertiser Disclosure

The lenders whose rates and other terms appear on this chart are ICB's advertising partners. They provide their rate information to our data partner RateUpdate.com. Unless adjusted by the consumer, advertisers are sorted by APR from lowest to highest. For any advertising partners that do not provide their rate they are listed in advertisement display units at the bottom of the chart. Advertising partners may not pay to improve the frequency priority or prominence of their display. The interest rates, annual percentage rates and other terms advertised here are estimates provided by those advertising partners based on the information you entered above and do not bind. Any lender Monthly payment amounts stated do not include amounts for taxes and insurance premiums. The actual payment obligation will be greater if taxes and insurance are included. Although our data partner RateUpdate.com collects the information from the financial institutions themselves, the accuracy of the data cannot be guaranteed. Rates may change without notice and can change intraday. Some of the information contained in the rate tables including but not limited to special marketing notes is provided directly by the lenders. Please verify the rates and offers before applying for a loan with the financial institution themselves. No rate is binding until locked by a lender.

Lender

APR / Rate

Fees / Points

Payment

NMLS #1835285

5.204%

15-Year Fixed

4.990%

$5,660

Includes 0.915 points for $3,660

Lender Fees: $2,000

$3,162 /mo

Next >

NMLS #1283930

License: 01970483

5.407%

15-Year Fixed

5.250%

$4,125

Includes 0.750 points for $3,000

Lender Fees: $1,125

$3,216 /mo

Next >

NMLS #1025894

5.545%

15-Year Fixed

5.375%

$4,448

Includes 0.937 points for $3,748

Lender Fees: $700

$3,242 /mo

Next >

NMLS #3030

5.886%

15-Year Fixed

5.750%

$3,500

Includes 0.875 points for $3,500

Lender Fees: $0

$3,322 /mo

Next >

NMLS #401822

5.962%

15-Year Fixed

5.750%

$5,500

Includes 0.375 points for $1,500

Lender Fees: $4,000

$3,322 /mo

Next >

NMLS #1835285

6.013%

30-Year Fixed

5.875%

$6,000

Includes 1.000 points for $4,000

Lender Fees: $2,000

$2,367 /mo

Next >

NMLS #401822

6.048%

30-Year Fixed

5.875%

$7,500

Includes 0.875 points for $3,500

Lender Fees: $4,000

$2,367 /mo

Next >

NMLS #1283930

License: 01970483

6.119%

30-Year Fixed

6.000%

$5,125

Includes 1.000 points for $4,000

Lender Fees: $1,125

$2,399 /mo

Next >

NMLS #1025894

6.231%

30-Year Fixed

6.125%

$4,544

Includes 0.961 points for $3,844

Lender Fees: $700

$2,431 /mo

Next >

NMLS #3030

6.722%

30-Year Fixed

6.625%

$4,000

Includes 1.000 points for $4,000

Lender Fees: $0

$2,562 /mo

Next >

NMLS #1835285

7.011%

5-Year ARM

6.875%

$5,560

Includes 0.890 points for $3,560

Lender Fees: $2,000

$2,628 /mo

Next >

Rate data provided by RateUpdate.com. Displayed by ICB, a division of Mortgage Research Center, NMLS #1907, Equal Housing Opportunity. Payments do not include taxes and insurance premiums. Actual payments will be greater with taxes and insurance included. Rate and product details.

If you refinanced a mortgage in the past several years and think refinancing again doesn't make financial sense you should use a mortgage refinance calculator and crunch the numbers. One usually refinances a mortgage when the interest rate you are paying now is at least one percent higher than the current mortgage rate you are paying.

The cost of doing a refi you also have to consider the closing costs on the refi. Mortgage closing costs will be just as expensive as when you buy a home. Costs can include, a title search, attorney fees, an appraisal fee and many other fees that overall can add up to several thousands of dollars.

Many people who try to refinance are finding out they can't because the house has decreased in value. Banks will not allow you to refinance if you owe more than 80% of the value of your home. This is called the loan to value ratio.

Example: You currently owe $300,000 on your home loan. You purchased your home at the height of the housing bubble at $400,000. You decide the current rate you are paying on your mortgage is 1.5 percent higher than the refinance rate you can get today. You start the refi process, a home appraisal is done and find out the value of your home has decreased 20 percent to $320,000. Although the value of your home is more than you owe, the loan-to-value ratio is 93.75 percent. Making you eligible for a home refinance.

You won't find a bank to refinance your home loan in this example but if your current mortgage is held by one of the government sponsored entities like Freddie Mac or Fannie Mae you might be eligible to refi under a special program that was created by the Obama administration. Go to makinghomeaffordable.gov to see if you're eligible for mortgage refinancing with up to a 105% loan-to-value ratio.

If your mortgage isn't held by one of the government sponsored entities, you believe your loan-to-value ratio is under 80 percent and you want to looking into refinancing, check our mortgage rate tables for current refinance rates in your zip code.

Mortgage Rate Tables

Related: Mortgage Refinance Rates Informer