Author: Paul K. Brackett, Procurement technician
Answered Monday, October 25, 2021Answer:
No closing costs refinance is when a borrower gets a new mortgage without the usual transaction fee. The fees for refinancing your mortgage, like origination or processing charges, can add up to more than $10,000 in total. So homeowners who choose no closing cost refinancing often get an attractive interest rate while also saving thousands of dollars on fees up front.Author: Damien J. Smith, Hoist and winch operator
Answered Monday, October 25, 2021Answer:
It's a loan where the borrower pays all costs associated with purchasing or refinancing a home, such as closing costs and origination fees. Generally speaking, this type of refinance is not as common as other types because it limits potential avenues for lenders to make money. That said, it does still happen and borrowers should investigate the full range of available options before making any decisions.Author: Darrell L. Brown, Videographer
Answered Monday, October 25, 2021Answer:
If you do not have cash on hand to cover the origination fee for a home loan, you can take out equity from your previous home. The money that is cashed out will need to be repaid over the course of your new mortgage, but it can mean that you get a lower interest rate which increases the savings. This is a great option for households who cannot afford a large down payment and don't want to pay private mortgage insurance (PMI).
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