FAQ

Here are the answers to the most commonly asked questions about refinancing Colorado home loans.

What are Colorado home refinance loans?

A Colorado home refinance loan is a new mortgage loan that you take out to pay off your existing home loan. Most lenders that offer home mortgages also offer mortgage refinancing loans. In many ways, refinancing is essentially the same thing as taking out a new mortgage loan.

Why should I refinance Colorado home loans?

You might refinance your existing mortgage for several reasons. For one, you might want to obtain a lower interest rate. Similarly, you might want to reduce your monthly payment burden. Some homeowners use a Colorado refinance loan to either shorten or lengthen the term of their home loan. You may also want to change the type of mortgage loan you have. For example, you might not like the fluctuations of your adjustable-rate mortgage and would like to switch to a fixed-rate loan. Finally, you could use a Colorado home refinance loan to get cash to handle large expenses, such as home renovations or tuition.

Are you a mortgage lender?

No, we are not a mortgage lender, and we don't issue Colorado refinance loans. We are a referral service that matches our visitors with lenders that can help them refinance Colorado home loans. You can use our site for information and quotes without any charge or obligation. You can also trust the integrity of our information because we do not have a stake in which lender you select.

What costs are typically associated with refinancing a Colorado home loan?

If you decide to refinance Colorado home loans, you will usually have to pay an application, appraisal, insurance, and origination fee up front. When you factor in the costs of a title search, discount points, and legal fees, you might end up paying thousands of dollars just to take out your new loan. You will need to add up these fees in order to determine your breakeven point.

How do I know if it's financially worthwhile to refinance?

One rule of thumb is to avoid refinancing unless your new interest rate will be at least 1/2 of a percentage point lower than your current interest rate. Otherwise, the costs of a Colorado home refinancing loan will eat up any savings.