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How To Lower Your Mortgage Rate Without Refinancing

Mortgage interest rates have seen record lows for the better part of this year, thus encouraging a surge in mortgage refinancing. However, we must still acknowledge that not everyone wants to replace their current home loan. Borrowers often wonder whether there’s a possibility of lowering mortgage interest rates without necessarily refinancing. Yes, you can lower your mortgage interest rate without refinancing, although the options available may be very limited. If you are facing financial downtime, you may qualify for a mortgage rate reduction. But most times, you’ll either need to turn to a new route to cut your mortgage costs or work towards getting a refinance approval. Here, let’s review some steps that you could leverage to lower your mortgage rate without refinancing.

1. Simply Call and Request a Lower Mortgage Rate

This may not necessarily be a conventional step, but it has worked for many people. We’ve heard of several cases where folks obtain lower interest rates just by calling their mortgage lender and requesting one.

Of course, you’ll need to indicate during your call that you do not want to refinance with them; otherwise, they may take you towards that route. Perhaps, it won’t be as easy as you probably want, but sometimes it’s just a matter of being direct with your request if you want a lower mortgage interest rate.

2. Speak to an Expert To Help You Do a Rate Review

Another option that you could try is speaking to an expert about your chances. Most South Florida mortgage lenders would be ready to look at your situation and offer recommendations based on current trends. Here at Pacific Lending Group, we have experts that can walk you through the rate reduction process by conducting a rate review for you. You can leverage our lender review service to compare your interest rate to new customers’ rates. This service helps you to assess your likelihood of being eligible for lower mortgage rates.

3. Hire a Mortgage Broker to Help You Negotiate

If you would feel more comfortable leaving the negotiation to an expert, then do. Mortgage brokers would usually help to conduct a rate review and tell you your chances. They’ll also justify to your lender why you should get a lower rate. However, we recommend opting for a professional broker. The best way to know whether a mortgage broker can help you handle the job is by looking at their records. Check what past clients are saying about their services. Ask about their success rates and how they go about the process.

4. Look Into a Recast as An Alternative For Refinance

Loan recasts are not as popular as refinancing, but they can also lower the monthly payments on your mortgage. The only difference is that you’ll need to adjust the amortization schedule of your loan. One of the most significant benefits of choosing non-refinance options is that you won’t need to reset the clock on your mortgage.

Conclusion

That’s it, some practical steps to follow if you want to lower your mortgage rates without necessarily refinancing. It’s often not as difficult as you think, as long as you are willing to follow the right route. Contact the experts at Pacific Lending Group to learn more about the possibilities. Call 954-227-4727

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What is the Mortgage Process, and How to Get One?

When you are purchasing a new home, there are several steps that you must follow before closing. While it may appear quite complicated and daunting to get a mortgage, a basic understanding of the overall process can make it easier. Following is a walk-through and tips regarding the mortgage process to get you started: Read more

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Mortgage Rate Lock: When to Lock In a Rate

Mortgage Rate Lock: When to Lock In a Rate. Buying a home can be a stressful process, especially when it’s your first time. When you’re looking for a mortgage to help pay for your home, there are many things to consider. Mortgage rates are constantly shifting, and you need to keep an eye on them to ensure you get the best rate.

When you want to ensure that you’re getting the best rate, you have to lock in a rate before it’s too late. Here is what you should know about mortgage rate locks:

What’s A Mortgage Rate Lock?

A mortgage rate lock is when a lender offers to guarantee the interest rate on your home mortgage for a fixed period. While the lender may ask for a fee for doing so, it can vary depending on the lender you are working with.

The lock period generally starts from the time you begin the process for the loan all the way to the time you end up closing on the loan. Once your interest rate is fixed, it won’t be changed unless you end up changing crucial details on your application form.

When Is The Best Time to Lock In A Rate?

If you’ve already begun the process of looking around for good lenders in South Florida, you might already be at the stage to lock in a lender. When you’ve compared a few mortgage interest rates, contact the lender who offers you the best conditions and interest rates.

Once approved for a home loan, you can lock in a rate with your desired lender. While you can wait and see if the mortgage rate goes down, this can be both a waste of time and money. The rates fluctuate, and trying to predict them can take more effort than it’s worth without conclusive results.

Does It Cost To Get A Rate Lock?

Depending on your lender, you might be charged for a rate lock, or it can be free. Ensure that you ask beforehand so you are not blind-sighted by any unexpected fees. If you end up paying for a rate lock, it can be dependent on the amount of your loan and the prevailing interest rate.
You should be aware that rate locks can last up to 30 days in most cases; if you plan to take longer than that to complete your mortgage process, you should talk to your lender.

Consulting With An Expert

When you’re thinking about locking in a rate, you need to take guidance from a lender on the best way to do so. There are some risks associated with locking in a rate that you might not be aware of, and a reliable lender can help you through the process while making sure you’re aware.

Looking to Lock In Your mortgage rate lock? We’re Here to Help

If you’re shopping around for the best mortgage rates in South Florida, Pacific Lending Group can help. Our years of experience and excellence ensure that you never make a wrong decision regarding your home mortgage. Our mortgage professionals can guide you through the process, so you never have to second-guess yourself. Call us today at 954-227-4727 to schedule an appointment and get started with your home mortgage process.