Switching is easier than you think. You just need to compare, find a better loan and then apply for it like any other mortgage. Here are the steps involved in refinancing your loan:
- Check your interest rate. Look at competitive loan rates and see if yours is too high.
- Speak to your current lender and ask for a lower rate. It never hurts to ask for a lower rate and if your lender agrees then you can save yourself the hassle of refinancing.
- Compare home loan options. If you do decide to switch lenders, look for a loan with a better rate and features you need. Make sure it’s a loan type that matches your situation.
- Crunch the numbers. Examine the costs of your new loan, including application and ongoing fees and make sure the new loan really is a better deal. Check your exit costs from your current loan too (there may be a discharge fee or break costs).
- Apply for the new loan. Collect your documents, submit your application and then wait for approval from the new lender.
- Exit your current loan. Notify your current lender and discharge your loan. Your new and current lender will take care of the rest.
And that’s the basic refinancing process. To give you more help, contact us and let us help you make the change..