How To Find Mortgage Rates For Refinancing

Learning how to find mortgage rates for refinancing is a time-consuming job, but someone must do it. When rates are down and you've decided to make a move to refinance your loan, you will need to compare mortgage rates. Finding the refinancing rate that would be best for you requires a bit of preparation and research.

To find mortgage rates for refinancing, you will need:

• A phone or directory
• A spreadsheet or graph paper
• The business section of a newspaper or internet business website
• A list of local banks and credit unions

1. Get your personal package together. Finding mortgage rates for refinancing requires getting all your personal financial records together to make a quick move to the bank when mortgage rates drop to the perfect spot for moving. Get ready with a list of the following: pay stubs for the last year; tax records for at least three years, or five if your income has gone up dramatically over time; a credit report; bank statements for the last year; the most recent statement for any credit card or loans; and, of course, records for long-term loans such as student loans, home secondary loans or signature loans. Don't whine when you finally arrive at your loan appointment only to find the loan representative asks for some other relatively obscure documents. Each lender has peculiar requests. Work with your lending agent for the best service. Oh yeah, and when you've finally decided, get the personal documents in quickly, before the rates move up. Mortgage rates can burp up even in the most disastrous loan markets.
2. Use the local directory and make a contact list. Start compiling a list of all local banks. Call to confirm the banks are still offering residential loans and ask whether there are any restrictions for applying for a loan at the bank, trust or credit union.
3. Use the county and state directory to make a contact list. Do the same thing in making up a list for any lenders in the county and state.
4. Use the national directory for a listing of lenders. Get online and look for national lenders outside your area.
5. Figure out your loan terms. Do you want a fifteen- or 30-year term loan? Do you need a fixed rate? Figure out the basics before calling. Be open to special deals, however, if offered from reputable banking institutions.
6. Make up your spreadsheet to record the information you find. Go freestyle and use the best format for your own research.
7. Get the mortgage rates. Once your list is complete, start talking with the loan representatives and the banks and get some figures. Most will have rate sheets that can be emailed, or they may even offer to snail mail you a copy, if the lender believes you're a serious shopper. Don't forget to ask for any loan specials.
8. If a fit can't be made with the general lenders, check the sub-prime market. Some folks may need to look at sub-prime market listings, and this is a tougher job. Local private lenders are not listed in your phonebook or in general online directories. You'll need to make contacts through private loan brokers. Research general loan representatives. These folks are not associated with one bank, but do business with a variety of banks and private lenders. This is an area for cautious exploration. Require the same information that is given from lenders under state and federal banking legislation. Expect to pay big bucks for these loans. It may not be worth the refinancing after the numbers are all in. The best bet here is to work with loan reps who belong to professional organizations. Check with the state attorney general and the local Better Business Bureau to weed out any questionable companies.