The home loan industry is shrouded in mystery and confusion. Homeowners have been lead to believe that refinancing their home loan complicated process.
I'm happy to be the one to break it to you - Refinancing your home loan is easy. Well, it is if you take the steps I'm about to share with you.
Lenda specializes in home loan refinancing. Our ultimate goal is to provide the easiest home loan experience to our clients start to finish.
We've helped people refinance their home loans three times faster than the industry average! Our clients have refinanced their home loans for varying reasons. They have used refinancing as a way to pay off high interest debt, lower their mortgage payment, pay for their child's college tuition, make a big purchase, fund a home improvement project and more.
Maybe you want to achieve one of these things but you're not sure how to come up with the money.
If you own a home and you haven't considered a home loan refinance now is the time to do it. Interest rates are still really low and home equity has recovered.
Take these six easy steps to refinance your home loan.
How to Refinance Your Home Loan In 6 Simple Steps
I'm going to assume that you've done some easy math and figured out if refinancing is a good option for you. If you need a refresher I would suggest that you download our ebook What You Need to Know Before You Refinance to get up to speed.
If you've already done that, read on.
1. Gather all your financial documentation.
You might think that this is unnecessary to do this early in the refinance process. I would urge you to think differently.
Getting financial documentation organized is one of the biggest hangups for homeowners.
If you are an organized person then this shouldn't take long. If you have all your statements stuffed in a shoe box somewhere then this might take a little more time.
On Lenda you can upload all your documents electronically on our secure document portal. These days it's more common for people to have their statements and financial documents on their hard drive. So this process should only take around five minutes.
If you're a little old school and want to fax your documents to us, you can. We provide a secure fax line on our site for our clients.
The bottom line is getting these documents together now will save you a lot of time and headaches later.
Here's a list of documents you will need to have together to refinance your home loan:
- Last 2 years W2's and last 2 pay statements - Verify income to ensure you have the means to pay your loan.
- Most recent mortgage statement - To verify the terms of your current loan.
- Most recent bank statements - To verify you have the means to pay your loan in the event you are not employed.
- Most recent investment statements - To verify you have the means to pay your loan in the event you are not employed.
- Proof of homeowner's insurance - You have to insure the home. This protects you as well as the lender.
- Copy of your driver's license - To verify your identity.
- Investment property owners: copy of tax return (all schedules) - Verify income and to ensure you have the means to pay your loan.
- Self-Employed: copy of tax return (all schedules) - Verify income to ensure you have the means to pay your loan.
2. Get your free custom rate quote here.
Getting a custom rate quote takes less than 30 seconds using Lenda's free rate quote tool.
Since rates change frequently you can create an account that will save all your information. You don't have to start over from scratch every time you want to get a rate quote. With Lenda you can see your rate update daily without re-entering your information.
Once you answer a few quick questions Lenda will show you multiple home loan options that are best for you. You'll be able to see a line-item display of all the costs and fees associated with each loan.
Instead of trying to hide costs we put them right where you can see them so you know exactly what your loan will cost.
3. Select the rate and loan that is best for your situation and goals.
At this point in the process you need to pick a rate and loan that you like.
Time is of the essence because rates change on a regular basis. So you want to lock in your rate as soon as possible. The first step is selecting the loan you like and continuing the process.
There are a couple more easy steps you need to take to get your rate locked.
4. Answer a few more questions about your home, yourself, employment and assets.
Next is the application process. It involves answering a few more bout yourself and your home. We only ask the necessary questions to keep this process as short and sweet as possible.
By going through our online application process you'll save a ton of time. Our clients get their application finished in around eight minutes or less.
5. Review and electronically sign your disclosures.
How crazy is it that some people still think that getting a home loan requires that you sift through stacks of physical paperwork?
With Lenda you can review, sign and submit all your disclosures electronically. Isn't that better?
Once you do this you'll be able to get your credit pulled in six seconds. We'll even send you a copy of your credit report and actual credit score to keep for your records.
6. Upload your financial documents.
Remember in step one when I told you to get your financial documents together? Now is the time to get them uploaded.
You can drag and drop them into our secure document portal right from your hard drive or you can fax them in. It's up to you. Either way is completely secure.
Once you complete this step your work is basically finished. All six of these steps take our clients less than 30 minutes to complete! Compare that to the days and weeks this normally takes with traditional lenders. By using Lenda you saved a bunch of time that can be used to do the things you really love with the people you care about.
We take care of the rest by ensuring your appraisal gets scheduled and all the underwriting gets finished on the backend. We'll keep you updated every step of the way.
Congratulations! You've successfully refinanced your home loan. Well, at least you found out how easy it is to refinance your home loan.
Now go get started with a 30 second custom rate quote.
Image credit 1