For homeowners
Refinancing: when it can make sense.
A refinance replaces your current mortgage with a new one. Homeowners refinance to change their rate or term, remove mortgage insurance, or access home equity. The right move depends on your costs, goals, and how long you plan to stay.
Talk with HieuMay be a good fit if…
- You want to lower your payment or shorten your loan term.
- You want to use home equity for renovation or other goals.
- You want to move from an FHA loan to conventional to drop mortgage insurance.
What to know
Rate-and-term
Changes your interest rate, your loan term, or both, without taking cash out.
Cash-out
Borrows against your equity and pays you the difference at closing. Lenders limit how much equity can be taken out.
Break-even point
Divide your total closing costs by your monthly savings to estimate how many months it takes for a refinance to pay for itself.
Questions worth asking
- How long do I plan to stay in this home?
- What are the total closing costs, and when do I break even?
- Would a streamline option (FHA or VA) apply to my loan?
Frequently asked questions
When does refinancing make sense?
Refinancing may make sense when the savings or benefits outweigh the closing costs within the time you expect to keep the loan. A break-even estimate is a good first check.
What is a cash-out refinance?
A cash-out refinance replaces your mortgage with a larger loan and pays you the difference in cash, using your home equity.
What is a streamline refinance?
FHA Streamline and VA IRRRL programs let eligible borrowers with existing FHA or VA loans refinance with reduced documentation.
Want advice for your situation?
Hieu Nguyen, Senior Mortgage Loan Originator, Century Financial Group Co.. Loans are offered only in states where Hieu Nguyen and Century Financial Group are licensed — see NMLS Consumer Access. Not a commitment to lend; all loans are subject to credit and underwriting approval. Contact: (714) 409-9272.