Fall into a new rate.
If you are thinking about refinancing your home, our knowledgeable team of lenders can help you evaluate what's right for you. We take the time to understand the interest rate on your current mortgage and the market when you purchased your home to determine if refinancing can offer you a benefit such as a better interest rate, pay off the loan sooner or lower your monthly payments.
Regardless of where you have your current home loan—whether it's with Keen Bank or another financial institution—we are ready and eager to work alongside you to help determine what solution fits your long-term financial goals.
Things to Consider When Refinancing
Rate
Securing a lower interest rate that you have on your current mortgage loan is usually the primary goal. This could lead to paying off your loan early, lower monthly payments and long-term savings. However, understanding the current market and credit score is key to determining if refinancing is the right option for you.
And rate is not the only consideration. Aligning the right type of loan for your financial goals is just as important as the rate itself. Are you wanting a fixed-rate loan that locks in your rate for the life of the loan or are you thinking of an adjustable-rate loan or ARM loan that typically will get you a lower interest rate to start but will fluctuate based on market conditions. Our lenders can help you evaluate your goals and what's right for you, long-term.
Costs & Fees
Just like buying a new home and closing on a mortgage, refinancing your current mortgage does include closing costs which can include appraisal fees, title insurance and other administrative expenses. Our lenders can help evaluate the time it will take to recover the costs of refinancing through your monthly savings to see if you benefit from refinancing your mortgage loan.
Loan Term & Payment
Evaluating the term of your new loan is also a large factor in whether or not to refinance. Many can shorten the loan term for a faster payoff and save on interest in the long run. While this can lead to significant savings in interest, it may increase the monthly payment.
The flip side to this is extending your loan term to lower your monthly payments could lead to paying more interest over the life of the loan. Our mortgage lenders can evaluate what loan term fits your situation best and can provide a better idea of what the new monthly payment may be if you were to refinance.
Equity
The advantage of owning a home is equity—the difference between current market value and the amount you owe. And that home equity plays a critical role in refinancing. If your home has appreciated in value, you may be able to refinance at a better rate.
Timing
When looking to refinance, timing is everything—both for you personally and for the market. How long do you plan to stay in your home for a long time? Do you anticipate relocating or selling your home in a few years? These are important questions to ask yourself in determining if refinancing is right for you.
While a lower rate is appealing, the cost, loan term, equity and customer service are all important factors to consider. Our lenders can help you carefully evaluate your options and help you determine what's best for you, both personally and financially.
Customer Service
Refinancing is often a complex process so good communication with your trusted lender is key. At Keen Bank, we are locally owned and managed and service our loans in-house. We have the ability to lend in all 50 states and can make decisions quickly because our ownership is local.
Not only do we provide direct contact info to be reached during the refinance process but we are here after closing for when you have questions. We are here to help.
Keen Mortgage Team
Our knowledgeable mortgage loan officers listen to where you want to be, understand the lending landscape and can help position you to live the way you dream. There's no place they would rather be than at your side.
