Mortgage Blog

When is the right time to refinance?

Let’s face it, if you have had a mortgage for a few years, you might be wondering if it is a good time to consider a home refinance. In some cases, a refinance is a smart move if you can save money. Some lenders encourage borrowers to wait until they can get a home refinance loan that has a lower interest rate by one or two percent. However, there are other cases when you may want to consider refinancing.

Home value increase

If you have made substantial changes to your home that might result in an increase in the value, you might be able to refinance your mortgage and eliminate personal mortgage insurance. Over the life of your loan, this could be a significant savings.


You have an adjustable rate

Adjustable rate mortgages can be very risky if the market rates increase. For many borrowers, the security of a fixed-rate mortgage provides them with peace of mind, knowing how much their monthly payments will be. Even if your starting rate on a fixed rate is the same as your current adjustable rate, you know that once you refinance, you never have to worry about changes in payments.

Changing loan terms

If you started off with a 30 year loan and have paid three to seven years of mortgage payments, you may realize a considerable savings by doing a home refinance using a 15 year loan. While your payments may be slightly higher than your thirty year loan, in reality, you save yourself years of mortgage payments, meaning you build equity faster.

Tips for a successful home refinance

  • Understand current rates: The more you know about current interest rates, the more likely you are to understand when refinancing is a good idea.
  • Use a well-established broker: Companies like Core Mortgage Financial have access to hundreds of sources of mortgage loans. Oftentimes, this can be the difference between getting a good deal and getting a great deal.
  • Look at all costs: Make sure you review all costs of a home refinance. Broker charges, appraisals and insurance costs can mean you are not saving as much money as you think. Understanding closing costs, changes in title insurance and determining your overall savings is important to making the decision to refinance.
  • Look at various loans: Make sure that you explore all loans that make sense for you. This may mean a shorter-term loan, a cash out refinance to pay off higher-interest rate debt or moving from an adjustable to fixed rate mortgage.


Every homeowner who is considering a home refinance should make sure they do their homework and understand how changing their mortgage will impact their financial future. At Core Mortgage Financial, we’ll work with you to make sure that a home refinance is the right decision for your individual circumstances.

Call our office today at 239-514-2674 or apply online!


Disclaimer: Rates, Programs, guidelines are subject to change without notice. We are licensed and serve the entire state of Florida. NMLS #1743702


Need a Quote?

Our Loan Specialists will give you the best quote possible and answer any questions you might have. 

Get A Quote