Top 10 Loan Programs for Mortgage Refinancing

Refinancing a home is something that millions of people will consider throughout the future. However, it's surprising just how many different types of loan options you have when you want to refinance. Homeowners truly have amazing mortgage refinancing opportunities that people renting just do not have.

Preferred Loan Type: Property Value: Select ---------------> Mortgage Refinance Cash Out Refinance Home Equity New Home Purchase Select ---------------> 70,000 - 80,000 80,000 - 90,000 90,000 - 100,000 100,000 - 110,000 110,000 - 120,000 120,000 - 130,000 130,000 - 140,000 140,000 - 150,000 150,000 - 160,000 160,000 - 170,000 170,000 - 180,000 180,000 - 190,000 190,000 - 200,000 200,000 - 210,000 210,000 - 220,000 220,000 - 230,000 230,000 - 240,000 240,000 - 250,000 250,000 - 260,000 260,000 - 270,000 270,000 - 280,000 280,000 - 290,000 290,000 - 300,000 300,000 - 310,000 310,000 - 320,000 320,000 - 330,000 330,000 - 340,000 340,000 - 350,000 350,000 - 360,000 360,000 - 370,000 370,000 - 380,000 380,000 - 390,000 390,000 - 400,000 400,000 - 410,000 410,000 - 420,000 420,000 - 430,000 430,000 - 440,000 440,000 - 450,000 450,000 - 460,000 460,000 - 470,000 470,000 - 480,000 480,000 - 490,000 490,000 - 500,000 500,000 - 510,000 510,000 - 520,000 520,000 - 530,000 530,000 - 540,000 540,000 - 550,000 550,000 - 560,000 560,000 - 570,000 570,000 - 580,000 580,000 - 590,000 590,000 - 600,000 600,000 - 610,000 610,000 - 620,000 620,000 - 630,000 630,000 - 640,000 640,000 - 650,000 650,000 - 660,000 660,000 - 670,000 670,000 - 680,000 680,000 - 690,000 690,000 - 700,000 700,000 - 710,000 710,000 - 720,000 720,000 - 730,000 730,000 - 740,000 740,000 - 750,000 750,000 - 760,000 760,000 - 770,000 770,000 - 780,000 780,000 - 790,000 790,000 - 800,000 800,000 - 810,000 810,000 - 820,000 820,000 - 830,000 830,000 - 840,000 840,000 - 850,000 850,000 - 860,000 860,000 - 870,000 870,000 - 880,000 880,000 - 890,000 890,000 - 900,000 900,000 - 910,000 910,000 - 920,000 920,000 - 930,000 930,000 - 940,000 940,000 - 950,000 950,000 - 960,000 960,000 - 970,000 970,000 - 980,000 980,000 - 990,000 990,000 - 1,000,000 1,000,000 - 1,010,000 1,010,000 - 1,020,000 1,020,000 - 1,030,000 1,030,000 - 1,040,000 1,040,000 - 1,050,000 1,050,000 - 1,060,000 1,060,000 - 1,070,000 1,070,000 - 1,080,000 1,080,000 - 1,090,000 1,090,000 - 1,100,000 1,100,000 - 1,110,000 1,110,000 - 1,120,000 1,120,000 - 1,130,000 1,130,000 - 1,140,000 1,140,000 - 1,150,000 1,150,000 - 1,160,000 1,160,000 - 1,170,000 1,170,000 - 1,180,000 1,180,000 - 1,190,000 1,190,000 - 1,200,000 1,200,000 - 1,210,000 1,210,000 - 1,220,000 1,220,000 - 1,230,000 1,230,000 - 1,240,000 1,240,000 - 1,250,000 1,250,000 - 1,260,000 1,260,000 - 1,270,000 1,270,000 - 1,280,000 1,280,000 - 1,290,000 1,290,000 - 1,300,000 1,300,000 - 1,310,000 1,310,000 - 1,320,000 1,320,000 - 1,330,000 1,330,000 - 1,340,000 1,340,000 - 1,350,000 1,350,000 - 1,360,000 1,360,000 - 1,370,000 1,370,000 - 1,380,000 1,380,000 - 1,390,000 1,390,000 - 1,400,000 1,400,000 - 1,410,000 1,410,000 - 1,420,000 1,420,000 - 1,430,000 1,430,000 - 1,440,000 1,440,000 - 1,450,000 1,450,000 - 1,460,000 1,460,000 - 1,470,000 1,470,000 - 1,480,000 1,480,000 - 1,490,000 1,490,000 - 1,500,000 Over 1,500,000 Credit Rating: Property Type: Select ---------------> Excellent Good Fair Poor Select One-----------> Single-Family Detached Condominium Cooperative Multi-Family Dwelling Modular Mobile Home (Moveable) Manufactured Home

1. Cash Back –The cash out refinance is available to those who are looking to increase the amount of cash on hand that they have. These loans look at the equity in your home – the value compared to what you owe – and can give you funds to use as you see fit while potentially lowering interest rates and even dropping monthly payments. Rates on cash out refinance loans continue to be very attractive for homeowners seeking money this year. Don't rule getting money with a HELOC loan either.
2. Streamline– These refinance loans are similar in terms and rates to any other refinance, but the goal here is to waive various paperwork and red tape requirements. The result is a loan that is easy for you to secure without dealing with the hassles of things like proof of income or other similar checks.
3. Term Reduction Mortgage – A term reduction mortgage is intended to refinance your home loan into a shorter term. For example, you can move from a 30-year mortgage to a 15-year mortgage with these loans. Depending on the current interest rates and amount of principle left to pay on your current loan, you could end up with a much more favorable loan with these types of refinances.
4. Home Affordable Refinance Program (HARP) – HARP loans are intended for those who own a home that has dropped in value over the last few years. The Home Affordable Refinance Plan intended to help lower interest rates and give you a loan that is more in line with your home's current value, and is a better choice for those who have found that traditional refinancing actually doesn't end up as favorable as it should be.
5. Graduate Payment Mortgage Refinance – These are loans similar to traditional mortgages structured in the graduate payment plan. In these loans, the goal is to provide a monthly payment rate that begins low and gradually increases over the years. The reason is that the loans are intended to accommodate those who are currently earning low incomes, but who expect to increase their salary substantially over the coming years.
6. Subprime – Subprime refinances are valid options for some homeowners, despite the somewhat negative association that the name carries with it. Subprime doesn't instantly mean 'terrible', however. These are loans that are extended to those who have credit histories or other circumstances that simply aren't what lenders consider 'prime'. They may carry higher interest rates or larger debt to income requirements, but the key thing to remember is that they can serve as the only option to those looking to refinance in some cases. And for many, they still may have a better interest rate or loan terms than older subprime loans you're currently paying off. 12 Credit Repair Tips for Homeowners Looking to Refinance.
7. FHA –FHA is still one of the best choices for millions of Americans looking to refinance. These government backed loans provide a more affordable loan solution while still making it easier to qualify. Things like credit scores, equity limits, and debt to income ratios can be much lower with an FHA option. As such, they're one of the best options for anyone hoping to refinance but who is having trouble securing a refinance from a more traditional lender. HUD and FHA continue to reward Americans when they invest in renewable energy. Learn more about PACE financing and solar loans.
8. Hybrid ARM –The adjustable rate mortgage is another type of loan that has a bad reputation, but that offers very real benefits to many. The key thing to understand about these loans is that they begin with a very low interest rate that remains in place for 5 years on average. So, the 5/1 ARM is fixed for the first five years anyways. Then, the loan can increase once per year every year afterwards. That low initial interest rate makes this a perfect choice for those looking to refinance now but sell their property within the next 5 years. (Choose from 1/1, 3/1, 5/1, 7/1 and 10/1 ARMs)
9. Fixed Rate– the fixed rate refinance mortgage is the standard option that so many choose to focus on. With these loans, you get a flat interest rate that remains the same throughout the entire lifespan of the loan. If you plan on selling within the next five or six years, they may not be the smartest option, but for anyone looking to live in their home for some time, they're the best choice to make during a refinance.
10. Straight Refinance – A straight refinance is probably the simplest to understand. With these "rate and term" loans, you're not getting any additional cash based on the equity of your home or making any additional changes that stand out. All you're doing is securing a new loan with a lower interest rate. This is enough to lower monthly payments for many, and it is the basic refinance option you'll want to start off the process by looking at.  -Article was written by James Swift