15 Best Mortgage Refinance Lenders in 2024: Refinancing your mortgage can indeed help you save on interest and pay off your loan faster. When searching for the best refinancing options, it’s crucial to focus on:
- Interest Rates: Look for the lowest rates to reduce your monthly payments and overall loan costs.
- Loan Terms: Decide whether to extend your loan term for lower payments or shorten it to pay off your mortgage faster.
- Lender Reputation: Choose lenders known for excellent customer service and transparent terms.
- Fees and Costs: Evaluate closing costs and any fees associated with refinancing to ensure they don’t outweigh the benefits.
- Discounts and Offers: Inquire about any available discounts or special offers that could further reduce your costs.
15 Best Mortgage Refinance Lenders in 2024
Best Mortgage Refinance Lenders: Refinancing allows you to lower your rate or shorten the length of your mortgage, allowing you to save on interest and pay off the loan faster. Regardless of the reason you want to refinance, it is important to look for lenders that offer the best terms and customer service.
01. Flagstar Bank Mortgage Refinance
Best for the Online Closing Process
Rating: 5.0
Minimum Credit Score: 580
Mortgage Rates: Below the national average
Days to Close: Average 21 to 30 days
Compare Rates: Compare rates from participating lenders in your area
Editor’s Opinion: We choose Flagstar Bank Mortgage for its free hybrid e-closing solution, which allows borrowers to do most of the closing in advance on their mobile device or computer. This process saves time on closing day. Borrowers can also opt for a traditional closing at a settlement agent’s office or a Flagstar branch, as availability allows.
Pros and Cons:
Pros:
# Offers a wide variety of mortgage types, including low down payment loans and construction loans.
# Provides a free hybrid eClose solution, allowing borrowers to do most of the closing in advance on their mobile device or computer.
# No minimum loan amount for its conventional and government loan products.
Cons:
# Does not allow borrowers to submit a complete application or lock rates online.
# Borrowers cannot close the loan completely online.
# Only offers down payment assistance in some areas of the country.
Lender Details:
How to Apply: Flagstar Bank offers its customers several ways to obtain a mortgage. They can apply online or visit a lender in person. They can also visit a branch in Indiana, Michigan, Ohio, and Wisconsin. Customer service hours, including email, phone, and online chat, are Monday through Friday, 7:30 a.m. to 9:00 p.m. ET, and Saturdays from 8:30 a.m. to 6:00 p.m. ET. Pre-approval takes less than three days.
Speed: Flagstar’s average closing time is 35 days, which is shorter than the industry average. In some cases, closing can occur in as little as 11 days.
Eligibility:
# Minimum credit score of 620.
# Minimum down payment of 0% for VA and USDA loans, 3% for conventional loans, and 3.5% for FHA loans.
# Alternative credit information is accepted, such as rent, cell phone, and utility payments.
Types of Loans
Flagstar Bank offers conventional and jumbo mortgages in fixed and adjustable rate structures, as well as FHA, VA, and USDA loans. It also offers construction and renovation loans, as well as specialty loans, including multi-property loans and loans in high-cost areas. Home equity loans are available in limited areas. You can enter your zip code on the Flagstar website to find out if you qualify for a home equity loan.
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | ✓ |
| VA | ✓ |
| USDA | ✓ |
| Jumbo | ✓ |
| ARM | ✓ |
| Home Equity Loan | Limited |
| Specialty | ✓ # Multi-property loans, high balance loans, and jumbo adjustable rate loans |
02. PNC Bank Mortgage Refinance
Best for Medical Professionals
Rating: 5.0
Minimum Credit Score: 620
Mortgage Rates: Below the national average
Days to Close: 30 to 45 days
Compare Rates: Compare rates from participating lenders in your area
Editor’s Opinion: We choose PNC Bank Mortgage for its offering of specialized mortgage loans for medical professionals, such as interns, residents, fellows, and physicians who have completed their residency within the last five years. With this loan, borrowers can:
# Get a loan of up to $1 million for a primary residence.
# Avoid paying private mortgage insurance.
# Choose between fixed or adjustable rates.
Pros and Cons
Pros:
# Low minimum credit score requirements.
# Fast pre-approval time.
# Online and in-person service available.
# Various discount programs available.
# Extensive digital support for existing customers.
Cons:
# Does not offer renovation loans.
Lender Details
How to Apply: Customer support by phone is available Monday through Thursday from 8:00 a.m. to 9:00 p.m. ET, Friday from 8:00 a.m. to 5:00 p.m. ET, and Saturday from 9:00 a.m. to 2:00 p.m. ET. Pre-approval can take as little as 30 minutes or up to a day.
Speed: The average closing time is 45 days, approximately the industry average. In some cases, closing may take as little as 30 days.
Eligibility:
# Minimum credit score of 620; 700 for jumbo borrowers.
# Minimum down payment of 0% for VA loans, 3% for conventional loans, and 3.5% for FHA loans (PNC does not publish its down payment requirements for other types of loans).
Types of Loans
PNC Bank offers a wide selection of home loans, including conventional, FHA, VA, USDA, and jumbo loans, home equity loans, and specialty loans for medical professionals.
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | ✓ |
| VA | ✓ |
| USDA | ✓ |
| Jumbo | ✓ |
| ARM | ✓ |
| Home Equity Loan | ✓ |
| Specialty | ✓ # Community Loan (No PMI), Loan for Medical Professionals |
03. Chase Mortgage Refinance
Best for Relationship Discounts
Rating: 5.0
Minimum Credit Score: 620
Mortgage Rates: Below the national average
Days to Close: 21 days
Compare Rates: Compare rates from participating lenders in your area
Editor’s Opinion: We choose Chase Mortgage thanks to their discounts for couples. When applying for a mortgage with Chase, existing customers have access to reduced processing fees and lower mortgage refinancing rates.
For example, customers with combined assets in Chase deposit and investment accounts totaling between $150,000 and $499,999 get a $500 discount on their mortgage processing fee. Chase also offers a rate discount of up to 0.25% if you have at least $1 million in deposits and investments with the lender.
Pros and Cons
Pros:
# Low down payment loans available.
# Flexible credit and income requirements for certain loans.
# Discounts for existing customers and borrowers who complete a loan education course.
# Borrowers receive $5,000 through the Chase Closing Guarantee if the closing date is missed.
Cons:
# Does not offer USDA loans.
# Mortgages are not available in Hawaii or Alaska.
# Chase does not currently offer home equity loans; new HELOC applications are on pause.
Lender Details
How to Apply: Borrowers can apply for a Chase mortgage online. Pre-approval may take up to two days.
Speed: For conventional loans, Chase offers a closing guarantee that means it will close the loans within 21 calendar days of receiving a complete application package (except for co-op properties).
Eligibility:
# Minimum credit score of 620.
# Minimum down payment of 0% for VA loans, 3% for some conventional loans and DreaMaker loans, 3.5% for FHA loans, and 15% for jumbo loans.
Types of Loans
Chase offers conventional and jumbo mortgages with fixed and adjustable rates, FHA loans, VA loans, and low down payment loans.
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | ✓ |
| VA | ✓ |
| USDA | |
| Jumbo | ✓ |
| ARM | ✓ |
| Home Equity Loan | |
| Specialty | ✓ # DreaMaker loans |
04. New American Funding Mortgage Refinance
Best for Low Minimum Credit Scores
Rating: 4.5
Minimum Credit Score: 580
Mortgage Rates: Lower than the national average
Days to Close: 35 days
Compare Rates: On the New American Funding website
Editor’s Opinion: We choose New American Funding for its minimum credit score requirements, which are as low as 580 for some types of loans (and 620 for others), and its wide range of loan options.
With this level of flexibility, New American has established itself as a go-to lender for borrowers with less-than-stellar credit profiles, making homeownership more accessible to a broader range of homebuyers.
Pros and Cons
Pros:
# Wide variety of loan options, including mortgages with customizable terms and non-QM loans.
# Commitment to helping Black and Latino borrowers access homeownership.
# Fast pre-approval times.
Cons:
# Does not operate in all 50 states.
Lender Details
How to Apply: Borrowers can apply online and pre-approval may take one day.
Speed: Closing a mortgage can take up to 35 days.
Eligibility:
# Minimum credit score of 580.
# Minimum down payment of 0% for USDA and VA loans, 3% for conventional loans, 3.5% for FHA loans, 5% for I Can mortgages and 10% for jumbo loans.
Types of Loans
New American offers 15 # and 30-year fixed-rate mortgages, including conventional loans, FHA loans, and VA loans. Additionally, it offers an exclusive “I Can” mortgage, rate reduction loans, adjustable rate mortgages, and reverse mortgages.
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | ✓ |
| VA | ✓ |
| USDA | ✓ |
| Jumbo | ✓ |
| ARM | ✓ |
| Home Equity Loan | ✓ |
| Specialty | ✓ # I Can loans |
05. Better.com Mortgage Refinance
Best for Online Mortgages
Rating: 4.5
Minimum Credit Score: 620
Mortgage Rates: Below the national average
Days to Close: 32 days
Editor’s Opinion: We choose Better because it allows you to apply for and close a mortgage online from anywhere in the world. If you like automation, this is where Better shines. The online pre-approval time is quite fast – you can get a rate quote and verified pre-approval in about 20 minutes. The lender has also developed technology to automatically search for discounts you might be eligible for, without any additional effort or cost.
Pros and Cons
Pros:
# Verified loan pre-approval time is as fast as 20 minutes.
# Alternative credit information, such as utility and rent payments, is considered.
# No application, subscription, or origination fees.
Cons:
# Does not offer USDA loans.
# There are no physical locations.
Lender Details
How to Apply: The application process is 100% online. Because there are no in-person branches, customers must rely on email and phone correspondence with loan professionals. Better offers 24/7 live support via phone and email. Pre-approval takes approximately 20 minutes.
Speed: The average lender closing time is 32 days, which is 10 days faster than the industry average.
Eligibility:
# Minimum credit score of 620.
# Minimum down payment amount of 3% for some conventional loans, 3.5% for FHA loans, and 10% for jumbo loans.
Types of Loans
Better offers conventional and jumbo fixed # and adjustable-rate mortgages, as well as FHA loans. Does not offer USDA loans.
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | ✓ |
| VA | ✓ |
| USDA | |
| Jumbo | ✓ |
| ARM | ✓ |
| Home Equity Loan | ✓ |
| Specialty |
06. Ally Mortgage Refinance
Best for Quick Pre-Approval
Rating: 4.5
Minimum Credit Score: 620
Mortgage Rates: Below the national average
Days to Close: 36-day average
Compare Rates: Compare rates from participating lenders in your area
Editor’s Opinion: We choose Ally Mortgage for its very fast mortgage pre-approval process (in three minutes), which is of great help when looking to refinance a loan. If you are only looking to refinance a mortgage, personalized refinance rates can be obtained in as little as 15 minutes without affecting your credit score. Borrowers can also lock in their rate within 10 minutes of pre-approval.
Pros and Cons
Pros:
# Loan pre-approval takes only three minutes.
# In some cases, alternative credit information is considered, such as utility and rent payments.
# Borrowers can set their rate in minutes.
# There are PMI-free loans for jumbo borrowers who pay 10% down.
# First-time homebuyers have a HomeReady loan option available.
# Ally customers will get a discount that will be applied to closing costs.
Cons:
# Does not offer FHA, VA, or USDA loans.
# There are no physical locations.
# Ally does not offer land loans.
Lender Details
How to Apply: The application process is 100% online. Because Ally does not have physical locations, customers will have to rely on telephone correspondence for customer service. The only customer service option is by phone Monday through Friday, 9 a.m. to 9 p.m. ET, and Saturdays from 10 a.m. to 6 p.m. ET. Pre-approval takes just three minutes.
Speed: The average lender closing time is 36 days.
Eligibility:
# Minimum credit score of 620.
# Minimum down payment of 3% for some conventional programs and 10% for jumbo loans.
# Alternative credit information is accepted, such as rent and utility payments.
Types of Loans
Ally offers conventional and jumbo fixed # and adjustable-rate mortgages and HomeReady loans. It does not offer government-backed loans, such as FHA, VA, or USDA loans.
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | |
| VA | |
| USDA | |
| Jumbo | ✓ |
| ARM | ✓ |
| Home Equity Loan | |
| Specialty | ✓ # HomeReady loans |
Also Read: The All Best Mortgage Lenders
07. Guaranteed Rate Mortgage Refinance
Best for Greater Availability
Rating: 4.5
Minimum Credit Score:620
Mortgage Rates: Lower than the national average
Days to Close: 21 to 30 days
Compare Rates: Compare rates from participating lenders in your area
Editor’s Opinion: We chose Guaranteed Rate because it is available online throughout the United States and has more than 300 branches nationwide. You can also get a pre-approval letter within 24 to 48 hours and can get pre-qualified in 15 minutes. If you are refinancing a VA mortgage, Guaranteed Rate waives any loan fees.
Pros and Cons
Pros:
# Operates in all 50 states.
# No lender fees for VA loan borrowers.
Cons:
# Some other lenders have faster pre-approval times.
Lender Details
How to Apply: Borrowers can apply online or in person at one of Guaranteed Rate’s branches. Customer service is available by phone Monday through Friday, 8:30 a.m. to 5:30 p.m. CT. Pre-approval letters take one to two days.
Speed: Closing takes as little as 10 days with Guaranteed Rate’s same-day mortgage, but the average time is between 21 and 30 days.
Eligibility:
# Minimum credit score of 620.
# 0% minimum down payment for VA loans, 3% for some conventional loans, and 3.5% for FHA loans.
Types of Loans
Guaranteed Rate offers fixed and adjustable rate mortgages, including conventional and jumbo mortgages, FHA and VA loans, and interest-only mortgages. Guaranteed Rate also offers home equity lines of credit (HELOC).
| Loan Type | Availability |
|---|---|
| Home Equity Line of Credit (HELOC) | ✓ |
| Conventional | ✓ |
| FHA | ✓ |
| VA | ✓ |
| USDA | |
| Jumbo | ✓ |
| ARM | ✓ |
| Specialty | ✓ # Interest-only mortgages |
Also Read: The All Best Mortgage Lenders
08. PenFed Credit Union Mortgage Refinance
Best for Low Lender Fees
Rating: 4.5
Minimum Credit Score: 650
Mortgage Rates: Below the national average
Days to Close: 35 days
Compare Rates: Compare rates from participating lenders in your area
Editor’s Opinion: PenFed Credit Union is chosen for its relatively low lender fees. For its VA purchase loans and non-IRRRL refinance loans, the lender charges a flat origination fee of $995. For non-VA loans, PenFed charges a 1% mortgage origination fee, which is lower than the industry average.
Pros and Cons
Pros:
# Low advertised rates
# Reasonable lender fees
# Low or no down payment options available
Cons:
# Limited range of mortgage products
# Alternative data is not considered
Lender Details
How to Apply: Borrowers can apply online or at branches in Maryland, Virginia, and Washington, DC. Customer service by phone is available Monday through Friday, 8 a.m. to 8 p.m. ET, and Saturdays, 8 a.m. to 5 p.m. ET. Pre-approval takes less than three days.
Speed: The average closing time is 35 days, with some closures taking as little as 11 days.
Eligibility:
# Minimum credit score of 650 for conventional and VA loans, and 700 for jumbo loans.
# Minimum down payment of 0% for VA loans and 3% for some conventional loans.
Types of Loans
PenFed offers conventional, jumbo, and VA fixed loans, as well as home equity loans and refinancing.
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | |
| VA | ✓ |
| USDA | |
| Jumbo | ✓ |
| ARM | |
| Home Equity Loan | ✓ |
| Specialty |
Also Read: The All Best Mortgage Lenders
09. Bank of America Mortgage Refinance
Best for Existing Customers
Rating: 4.5
Minimum Credit Score: 620
Mortgage Rates: Below the national average
Days to Close: 30 to 45 days
Compare Rates: Compare rates from participating lenders in your area
Editor’s Opinion: Bank of America Mortgage offers several benefits for existing customers, including a $600 discount on closing costs. Preferred Rewards members with at least $20,000 in Bank of America deposit accounts and Merrill investment accounts can access additional discounts and benefits.
Pros and Cons
Pros:
# No PMI and low down payment options
# Considers alternative credit information
# Multiple mortgage discount programs
Cons:
# Does not offer USDA loans
# Pre-approval letter takes 10 days
Lender Details
How to Apply: Borrowers can apply online or in person. Telephone customer service is available Monday through Friday, 8 a.m. to 10 p.m. ET, and Saturdays, 8 a.m. to 6:30 p.m. ET.
Speed: The average closing time is between 30 and 45 days.
Eligibility:
# Minimum credit score of 620
# Minimum down payment of 0% for VA loans, 3% for the Affordable Solution Mortgage, and 3.5% for FHA loans.
Types of Loans
Bank of America offers conventional and jumbo mortgages with fixed and adjustable rate structures, FHA and VA loans, and the Affordable Solution Mortgage, which does not require private mortgage insurance.
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | ✓ |
| VA | ✓ |
| USDA | |
| Jumbo | ✓ |
| ARM | ✓ |
| Home Equity Loan | ✓ |
| Specialty | ✓ # Affordable Solution Mortgage |
Also Read: The All Best Mortgage Lenders
10. Navy Federal Credit Union Mortgage Refinance
Best for Rate Match Guarantee
Rating: 4.5
Minimum Credit Score: N/A
Mortgage Rates: Below the national average
Days to Close: 30 days
Compare Rates: Compare rates from participating lenders in your area
Editor’s Opinion: Navy Federal Credit Union Mortgage offers a home loan interest rate match program, ensuring the lowest interest rates for both the purchase and refinancing of home loans. Only available to members of the armed forces, veterans, and their families.
Pros and Cons
Pros:
# PMI-Free Loans Available
# No down payment loans
# Extensive customer service hours
Cons:
# Does not offer FHA or USDA loans
# Membership restricted to military and their families
# Mortgages not available in all states
Lender Details
How to Apply: Borrowers can apply online or at a Navy Federal branch. Pre-approval is typically quick, within seconds according to the lender’s website.
Speed: Closing on a Navy Federal mortgage can take up to 30 days.
Eligibility:
# Minimum credit score of 620 for conventional lenders
# Minimum down payment of 0% for VA loans and 3% to 5% for some conventional programs
# Membership is restricted to military, veterans, and their families.
Types of Loans
Navy Federal Credit Union offers purchase and refinance mortgages, as well as home equity lines of credit (HELOC). Includes conventional and jumbo fixed # and adjustable-rate mortgages, VA loans, and specialty loans like Military Choice Loan, Homebuyers Choice Loan, and loans without PMI.
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | |
| VA | ✓ |
| USDA | |
| Jumbo | ✓ |
| ARM | ✓ |
| Home Equity Loan | ✓ |
| Specialty | ✓ # Military Choice Loan, Homebuyers Choice Loan |
11. Northpointe Bank Mortgage Refinance
Best for Borrowers with Adverse Credit
Rating: 4.5
Minimum Credit Score: 620
Mortgage Rates: Below the national average
Days to Close: 30 days
Compare Rates: Compare rates from participating lenders in your area
Editor’s Opinion: Northpointe Bank Mortgage offers the New Start loan, which provides financing to borrowers recovering from significant credit events. Eligible borrowers can get a mortgage of up to $1 million with a credit score as low as 580.
Pros and Cons
Pros:
# Mortgages aimed at doctors and professionals
# Offers renovation loans
Cons:
# Does not operate in all 50 states
Lender Details
How to Apply:
Borrowers can apply online. Pre-approval takes 24-48 hours.
Speed:
Closing times average around 30 days.
Eligibility:
# Minimum credit score requirement of 620
# Minimum down payment of 0% for VA, USDA, and Northpointe loans with 100% financing, 3.5% for FHA loans, and 10% for jumbo loans
Types of Loans
Northpointe Bank offers conventional, FHA, VA, and USDA loans, loans for doctors and professionals, and construction and vacant land loans. It does not offer home equity loans or HELOCs.
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | ✓ |
| VA | ✓ |
| USDA | ✓ |
| Jumbo | ✓ |
| ARM | ✓ |
| Home Equity Loan | |
| Specialty | ✓ # Loans for doctors and professionals |
12. Rocket Mortgage Refinance
Best for Flexible Mortgage Terms
Rating: 4.5
Minimum Credit Score: 580
Mortgage Rates: Same as the national average
Days to Close: 21 days
Editor’s Opinion: Rocket Mortgage offers flexible mortgage terms with its flagship product YOURgage, allowing custom terms from 8 to 29 years. This is in addition to standard 30 # and 15-year fixed-rate mortgage options.
Pros and Cons
Pros:
# Flexible term mortgages available
# Completely digital mortgage experience
# Extensive customer service hours
Cons:
# Does not offer USDA loans
# Does not offer home equity lines of credit
# Does not offer land loans or foreclosure purchase loans
Lender Details
How to Apply: Borrowers can apply online. Telephone support is available Monday through Friday, 5 a.m. to 5 p.m. PT. Chat support is available seven days a week. Pre-approval takes eight minutes.
Speed: The average closing process for a mortgage refinance takes 21 days.
Eligibility:
# Minimum credit score of 580 for FHA and VA loans, 620 for conventional mortgages, and 680 for jumbo loans
# Minimum down payment of 0% for VA loans, 3% for some conventional loans, and 3.5% for FHA loans
Types of Loans
Rocket Mortgage offers fixed and adjustable rate mortgages, conventional, jumbo, FHA, and VA loans. It also offers YOURgage, a fixed-rate mortgage with a custom term, and a simplified FHA refinance loan.
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | ✓ |
| VA | ✓ |
| USDA | |
| Jumbo | ✓ |
| ARM | ✓ |
| Home Equity Loan | |
| Specialty | ✓ # YOURgage |
13. SoFi Mortgage Refinance
Ideal for a Hassle-Free Application Process
Rating: 4.5
#
Minimum Credit Score: 600
Mortgage Rates: Below the national average
Days to Close: 30 days
Compare Rates: Compare rates from participating lenders in your area
Editor’s Opinion: SoFi Mortgage offers a fast pre-approval process and promises to close the loan in 30 days in most cases. If the loan is not closed on time, SoFi will cover up to $5,000 in closing costs.
Pros and Cons
Pros:
# Fast pre-approval time
# Fully digital application process
Cons:
# Does not offer USDA loans or reverse mortgages
# Does not offer refinancing loans in New York
Lender Details
How to Apply: Borrowers can apply online in all 50 states and Washington DC. SoFi does not offer refinance loans in New York.
Speed: Closing a mortgage can take up to 30 days.
Eligibility:
# Minimum credit score of 600
# Minimum down payment of 0% for VA loans, 3% for some conventional loans, 3.5% for FHA loans, and 10% for jumbo loans
Types of Loans
SoFi offers fixed and adjustable-rate mortgages, conventional loans, FHA loans, VA loans, and jumbo mortgages. It also offers home equity lines of credit (HELOC).
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | ✓ |
| VA | ✓ |
| USDA | |
| Jumbo | ✓ |
| ARM | ✓ |
| Home Equity Loan | |
| HELOC | ✓ |
| Specialty |
14. Truist Mortgage Refinance
Best to Apply Online
Rating: 4.5
Minimum Credit Score: 620
Mortgage Rates: Below the national average
Days to Close: 30 to 45 days
Compare Rates: Compare rates from participating lenders in your area
Editor’s Opinion: Truist Mortgage provides an easy online application process with step-by-step videos, educational guides, and a streamlined workflow.
Pros and Cons
Pros:
# Special loans available, such as medical loans and construction loans
# Same-day pre-approval
# Over 2,500 branches
Cons:
# Does not operate in all 50 states
# No loans with mortgage guarantees
# USDA loans are not available
Lender Details
How to Apply: Borrowers can apply online or in person at one of more than 2,500 branches. Same-day pre-approval is available.
Speed: Closing on a mortgage takes between 30 and 45 days.
Eligibility:
# Minimum credit score of 620
# Minimum down payment of 0% for VA and USDA loans, 3% for some conventional loans, and 3.5% for FHA loans
Types of Loans
Truist offers fixed and adjustable rate mortgages, VA loans, FHA loans, conventional and jumbo mortgages, medical loans, and construction and permanent loans.
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | ✓ |
| VA | ✓ |
| USDA | |
| Jumbo | ✓ |
| ARM | ✓ |
| Home Equity Loan | |
| Specialty | ✓ # Medical and construction loans |
15. LowRates.com Mortgage Refinance
Ideal for 24 Hour Service
Rating: 4.0
Minimum Credit Score: 500
Mortgage Rates: Lower than the national average
Days to Close: 20 days
Compare Rates: Compare rates from participating lenders in your area
Editor’s Opinion: LowRates.com is selected for its excellent customer service, offering a 24/7 call center and the ability to apply online anytime.
Pros and Cons
Pros:
# Fast closing time
# Accessible customer service
# Fast pre-approval time
Cons:
# Does not operate in all 50 states
Lender Details
How to Apply: Borrowers can apply online or by phone 24/7.
Speed: Closing can take as little as 20 days.
Eligibility:
# Minimum credit score of 500 for VA loans, 580 for FHA loans, 620 for conventional loans, and 700 for jumbo loans
# Minimum down payment of 0% for VA loans, 3% for some conventional loans, 3.5% for FHA loans, and 10% for jumbo loans
Types of Loans
LowRates.com offers fixed and adjustable-rate mortgages, FHA and VA loans, jumbo loans, refinancing, investment property loans, new construction, and renovation loans, and reverse mortgages.
| Loan Type | Availability |
|---|---|
| Conventional | ✓ |
| FHA | ✓ |
| VA | ✓ |
| USDA | |
| Jumbo | ✓ |
| ARM | ✓ |
| Home Equity Loan | |
| Specialty | ✓ # Investment property loans, renovation loans |
Tips for Comparing the Best Mortgage Lenders for Refinancing
When considering refinancing your mortgage, comparing interest rates, fees, and loan terms from different lenders is crucial to ensure you get the best deal. Here are some tips to help you make an informed decision:
- Compare Interest Rates and Fees: Interest rates significantly impact your monthly payment and the total cost of the loan. Some lenders might not disclose fees or rates online, so contacting them directly to request this information is essential.
- Get Multiple Loan Estimates: Apply for multiple loans to receive personalized loan estimates based on your financial details, including your credit score, loan-to-value ratio (LTV), and debt-to-income ratio (DTI). Use these estimates to negotiate better rates or reduced fees with other lenders.
- Look for Discounts:
# Ask about any available discounts, such as appraisal waivers or discounts for existing customers.
# Some lenders offer military or other special discounts.
What is Mortgage Refinancing?
Refinancing a mortgage involves taking out a new loan to replace your current one. This can lower your interest rate, reduce monthly payments, or allow you to cash out a portion of your home equity.
How Does Mortgage Refinancing Work?
Refinancing means securing a larger loan, usually at a lower interest rate or with a shorter term, to pay off your existing mortgage. In a cash-out refinance, you borrow more than you owe on your home and take the difference in cash.
Cost of Refinancing a Mortgage
Refinancing closing costs typically range from 2% to 5% of the loan amount. While some options offer no closing costs, these fees are often rolled into the loan principal, potentially increasing long-term costs.
Pros and Cons of Refinancing
Pros:
# Lower monthly payments and interest costs.
# Elimination of mortgage insurance premiums on FHA loans.
# Access to home equity.
Cons:
# Closing costs (2% to 6% of the loan amount).
# Extended debt term.
# Increased total interest over the life of the loan.
When to Refinance a Mortgage
Consider refinancing if:
# You can lower your monthly payment by extending your loan term.
# You qualify for a lower interest rate.
# You want to pay off your home faster by refinancing to a shorter term.
# You can eliminate mortgage insurance.
Steps to Refinance a Mortgage
- Evaluate Your Financial Situation: Use a refinancing calculator to determine if refinancing is right for you.
- Compare Lenders: Review three to five lenders, including your current lender.
- Gather Documents: Prepare necessary financial documents.
- Apply: Submit applications to selected lenders.
- Set Your Interest Rate:
# Lock in a favorable rate if available.
Requirements for Mortgage Refinancing
Credit Score:
# Conventional: 620+
# Jumbo: 700+
# FHA Rate and Term: 500+ (580+ preferred)
# FHA Cash-Out: 580 to 620
# FHA Streamline: 500 to 580 (varies by LTV)
# VA Loans: 580 to 620
# USDA Loans: 640+ (no credit requirements for streamlined loans)
Debt-to-Income Ratio:
# Up to 50% for conforming loans.
# Non-conforming loans (e.g., jumbo loans) may require a DTI below 43%.
Home Equity:
# Generally, 20% equity is required.
# Streamline refinance programs have no minimum equity requirement.
Waiting Period:
# Six months post-closing for most loans.
# FHA cash-out refinance requires a 12-month waiting period with on-time payments.
Choosing the Best Mortgage Refinancing Company
When selecting a refinancing lender, consider:
# Interest Rates and APR: Compare both to understand the total loan cost.
# Lender Fees and Discounts: Look for fee waivers or reductions, especially for existing customers.
# Loan Options: Ensure the lender offers the specific refinance program you need.
# Customer Service: Quality service can indicate a smoother process.
# Closing Time: Timely closings can be crucial, especially if there are financial incentives for delays.
How Often Can You Refinance?
While you can refinance as often as desired, it’s usually not financially practical due to the associated costs and paperwork.
Alternatives to Mortgage Refinancing
If refinancing isn’t feasible, consider these alternatives:
# Home Equity Loan: Borrow against your home’s equity with a fixed repayment term.
# HELOC: A line of credit using your home equity, allowing multiple withdrawals.
# Mortgage Recast: Make a lump-sum payment to reduce monthly payments without changing the interest rate or term.
# Home Equity Conversion Mortgage (HECM): A reverse mortgage for seniors to access home equity.
# Home Equity Agreement (HEA): Receive a lump sum in exchange for a portion of future equity appreciation.
# Personal Loan: An unsecured loan for various financial needs, with potentially higher interest rates.
# 0% APR Credit Card: Transfer high-interest debt to a card with 0% interest during the introductory period.
# Downsizing: Selling your home and moving to a more affordable property.
Summary: Best Mortgage Refinance Lenders of 2024
# Flagstar Bank: Best for online closing process.
# PNC Bank: Best for medical professionals.
# Chase: Best for relationship discounts.
# New American Funding: Best for low minimum credit scores.
# Better.com: Best for online mortgages.
# Ally: Best for quick pre-approval.
# Guaranteed Rate: Best for greater availability.
# PenFed Credit Union: Best for saving money on commissions.
# Bank of America: Best for existing customers.
# Navy Federal Credit Union: Best for rate match guarantee.
# Northpointe Bank: Best for borrowers with adverse credit.
# Rocket Mortgage: Best for flexible conditions.
# SoFi: Best for a hassle-free application process.
# Truist: Best to apply online.
# LowRates.com: Best for 24-hour service.
