Refinance

Your mortgage shouldn't stay the same just because you signed it. Whether rates have dropped, your equity has grown, or your goals have changed—refinancing puts you back in control.

Who Is This Loan For?

✅ Homeowners who want a lower interest rate and monthly payment
✅ Homeowners who want to switch from an adjustable rate (ARM) to a fixed rate
✅ Homeowners who want to tap into home equity for renovations, debt consolidation, or investments
✅ Homeowners who want to remove PMI (private mortgage insurance)
✅ Homeowners who want to shorten their loan term (e.g., 30-year to 15-year)
✅ Homeowners going through a divorce who need to remove a spouse from the mortgage
✅ VA borrowers who want a streamlined rate reduction (IRRRL)

Types of Refinancing

🔹 Rate & Term Refinance

The most common type. Replace your current mortgage with a new one at a better rate, different term, or both.

Best for:

Lowering your monthly payment
Switching from ARM to fixed rate
Shortening your loan term (30-year → 15-year)
Removing PMI once you have 20%+ equity

How it works: We pay off your existing mortgage and replace it with a new one. No cash out—just better terms.

🔹 Cash-Out Refinance

Turn your home equity into cash. Replace your current mortgage with a larger one and pocket the difference.

Best for:

Home renovations or repairs
Debt consolidation (pay off high-interest credit cards)
Funding a business or investment
Paying for education or major expenses

How it works: If your home is worth $400,000 and you owe $250,000, you have $150,000 in equity. A cash-out refinance lets you borrow up to 80% of your home's value ($320,000), pay off the $250,000 existing mortgage, and receive $70,000 in cash.

Typical limits:

Up to 80% LTV for conventional
Up to 100% LTV for VA cash-out
Up to 80% LTV for FHA cash-out

🔹 Streamline Refinance

Fastest and simplest option—available for FHA and VA loans.

FHA Streamline: Minimal documentation, no appraisal required, lower fees
VA IRRRL (Interest Rate Reduction Refinance Loan): No appraisal, no income verification, minimal paperwork

Best for: FHA or VA borrowers who simply want a lower rate with minimal hassle.

When Does Refinancing Make Sense?

Not every refinance is worth it. Here's a quick guide:

The break-even rule: Divide your closing costs by your monthly savings. That's how many months until the refinance "pays for itself." If you plan to stay longer than that, it's worth it.

Refinancing Requirements

The Refinancing Process

Step 1 — Free Rate Analysis

Tell us about your current mortgage (rate, balance, monthly payment) and your goals. We'll run the numbers and show you exactly how much you could save—or how much cash you could access. Takes 15 minutes.

Step 2 — Application

If the numbers make sense, we complete a full application. We'll need recent pay stubs, tax returns, and bank statements (unless it's a streamline refinance).

Step 3 — Appraisal (if required)

For rate & term and cash-out refinances, we order an appraisal to confirm your home's current value. Streamline refinances skip this step.

Step 4 — Underwriting

Your file is reviewed and approved. Timeline: 2–3 weeks.

Step 5 — Closing

Sign the new loan documents. Your old mortgage is paid off, and the new terms take effect. If it's a cash-out refinance, you'll receive your funds within a few days of closing. Total timeline: 21–45 days.

Real-World Refinance Examples

Example 1 — Rate & Term

Current: $350,000 balance at 7.25%, 28 years remaining = $2,420/month

Refinance: $350,000 at 6.25%, new 30-year term = $2,155/month Monthly savings: $265 → $3,180/year

Example 2 — Cash-Out

Home value: $500,000 | Current balance: $300,000

New loan: $400,000 at 6.5% (80% LTV)

Cash received: $100,000 (minus closing costs)

Use it for: renovations, debt payoff, investment property down payment

Example 3 — VA IRRRL

Current VA loan: 7.0% rate IRRRL

refinance: 6.0% rate

No appraisal, no income docs, closes in ~21 days

Frequently Asked Questions

How much does refinancing cost?

Typical closing costs are 2–5% of the loan amount. For a $300,000 refinance, that's $6,000–$15,000. These can often be rolled into the new loan (no out-of-pocket cost) or offset by a lender credit in exchange for a slightly higher rate.

Can I refinance with bad credit?

It depends on how low. FHA streamline refinances have minimal credit

Explore Other Loan Options

FHA Loans → Low down payment and flexible credit. Great for first-time buyers.

DSCR Loans → Qualify on rental income. Built for investors.

Bank Statement Loans → Self-employed? Use your deposits to qualify.

Your Dream Home Shouldn't Be Limited by Loan Limits

Tell us what you're looking for and we'll find the jumbo program that fits. Multiple programs, competitive rates, and a team that knows how to close high-value loans.

Malik Shalmiyev · NMLS #1542149

Team Malik Mortgage · Rize Mortgage (Standard Mortgage Capital LLC, NMLS #1604663) Licensed in FL, NJ & PA

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