Refinance Mortgage Applications
There are certain questions borrowers should ask before they fill out refinance mortgage applications. First, a borrower should question whether or not a lender charges prepayment penalties. Some lenders charge high penalties for borrowers who choose to refinance or sell their homes before the penalties expire. With a predatory lender, you could have to pay up to six months interest just to sell or refinance your mortgage loan. A reputable lender will not require prepayment penalties.
Another thing borrowers should learn before they complete refinance applications is if arbitration is required. Many disreputable lenders include arbitration clauses in their contracts. Essentially, signing such a contract requires you to give up a good deal of the protection afforded to you by the law. If your lender insists on arbitration, move on to a different lender.
Tips to Avoid Completing the Wrong Refinance Mortgage Applications
You might think you have less chance of encountering predatory lenders if you have good credit. This is not so, as some bad lenders attempt to get good-credit borrowers to sign for bad-credit loans by using cloak and dagger routines. Compare rates from a variety of lenders to learn what a good rate would be for someone with good credit.
When you're ready to start completing refinance mortgage applications, depend on us at 4MortgageRateQuotes.com for free rate quotes. We've worked with borrowers from Baltimore, Indianapolis, Denver, Colorado Springs, and Aurora. We've helped individuals in Tucson, Seattle, and Philadelphia to find the lowest interest rates. Let us help you too; complete your online quote request now.