Refinance Your Mortgage on Your Terms
Refinancing replaces your current mortgage with a new loan, and Atlantic Bay Mortgage Group is here to help you find the right option, whether you want a lower rate, a lower payment, or access to your equity.
What are you hoping to do with a refinance?
No obligation. Takes about 10 minutes. Licensed in . NMLS #72043. Equal Housing Lender.
See Your Real Numbers & Start Your Refinance
You've got a goal and a sense of what's possible. Now let's get you real numbers!
Tell us a bit about your home and your current loan, and a member of our team will follow up with personalized options. There’s no pressure and no obligation, just information to help you decide what's next.
Still Researching? Here's What to Explore.
If you're not quite ready to take the next step yet, that's okay. Here's where to go for more:
What Types of Mortgage Refinances Are Available?
Not all refinances work the same way. Take a quick look at the most common types, so you can see which one fits your situation.
Lower your interest rate, change your loan term, or both, without significantly changing your loan balance. The most common type of refinance, and a good fit if mortgage refinance rates have dropped since you got your loan.
Read the full guide: Rate-and-Term Refinance ExplainedReplace your mortgage with a larger loan and take the difference in cash. Often used for renovations, debt consolidation, or other major expenses.
Read the full guide: Cash-Out Refinance ExplainedIf you originally put down less than 20%, you're likely paying private mortgage insurance. Once you've built up enough equity, refinancing can help you remove that cost.
Read the full guide: Removing PMI Through RefinanceIf you have an adjustable-rate mortgage and want more predictability, refinancing into a fixed rate locks in your interest rate for the life of the loan.
| Refinance Type | Best For | Things to Consider |
|---|---|---|
Rate-and-Term | Lowering your rate or adjusting your term | Closing costs apply, so check your break-even point |
Cash-Out | Accessing equity for renovations or debt payoff | Increases your loan balance and may affect your rate |
PMI Removal | Homeowners with 20%+ equity | Requires an updated home valuation |
ARM to Fixed | Wanting payment predictability | May come with a slightly higher initial rate than your current ARM |
Refinance Requirements: What Lenders Look For
Every refinance is a little different, but most lenders look at the same handful of factors to determine what you qualify for.
20+
Minimum credit score (Conventional)
43-50%
Maximum debt-to-income ratio (most programs)
20%
Equity typically needed for cash-out or PMI removal
Primary, second home, or investment
Occupancy affects your rate and terms
Is Now the Right Time to Refinance?
There's no single “right” moment to refinance. It comes down to your situation and goals. A few signs it might be worth exploring:
- Mortgage refinance rates have dropped since you got your current loan, even a modest decrease can add up over time.
- You've built up 20% or more in equity, which could help you remove PMI or open the door to a cash-out refinance.
- Your credit score has improved since you first applied, which could qualify you for better terms.
- You simply have a clear goal in mind, whether that's a lower payment, cash for a project, or paying off your home faster.
How Refinancing Works
Refinancing follows a pretty straightforward path:
- Check your goals and current loan terms.
- Get rate quotes and compare offers, looking beyond the headline rate to closing costs and fees.
- Apply and submit documentation, including income verification and information about your current mortgage.
- Appraisal and underwriting, where your home and finances are reviewed.
- Close on your new loan, which officially replaces your old one.
Most refinances take a few weeks from application to closing, though timelines can vary.
What Does Refinancing Actually Cost?
Refinancing isn't free, and knowing what to expect upfront helps you plan.
Closing costs typically run 2% to 5% of your loan amount, covering things like origination fees, title insurance, and recording fees. An appraisal is often required to confirm your home's current value. Your break-even point is when your monthly savings outweigh those closing costs, which is worth calculating before moving forward. And don't forget ongoing costs like your new payment, property taxes, insurance, and PMI if applicable.
Want to see how these costs stack up against your potential savings? Use the Break-Even Calculator above.
Understanding Refinance Rates
Mortgage refinance rates can feel like a moving target. Fixed rates stay the same for the life of your loan, while adjustable rates can change over time. The Annual Percentage Rate (APR)includes your interest rate plus certain fees, giving you a fuller picture of your loan's cost. Your personal rate depends on factors like your credit score, loan amount, and current market conditions.
The lowest advertised rate isn't always the best fit. Look at the full picture, including fees, loan terms, and how long you plan to stay in your home.
Common Refinance Mistakes (and How to Avoid Them)
Refinancing is a big financial decision, and a little awareness goes a long way. Here's what to watch for.
Not shopping around
Rates and fees can vary between lenders, so comparing offers helps you make sure you're getting a good deal.
Focusing only on the interest rate
A lower rate doesn't always mean lower overall costs. Closing costs and loan terms affect your total cost too.
Skipping the break-even calculation
If you won't stay in your home long enough to recoup your closing costs, refinancing might not pay off, at least not yet.
Resetting to a new 30-year term
This can mean paying more interest over time, even with a lower rate, if you're not careful about your new loan's term.
Overlooking how a cash-out refinance affects your equity
Borrowing against your home reduces your ownership stake, so it's worth thinking through how that fits your long-term plans.
Letting your credit dip during the process
Opening new credit accounts, taking on new debt, or missing payments while your refinance is in progress can affect your approval or final rate, so it's worth holding steady until you close.
If something feels unclear at any point, an Atlantic Bay Mortgage Banker can walk you through it. There's no such thing as a silly question when it comes to your home.
Mortgage refinance questions, answered
If your questions aren’t answered here, please reach out to an Atlantic Bay Mortgage Banker.
Typically 2% to 5% of your loan amount, covering appraisal fees, origination fees, title insurance, and similar costs.
Applying involves a credit check, which can cause a small, temporary dip. If refinancing helps you manage debt more easily, it can support your credit health over time.
Most refinances take a few weeks from application to closing, depending on appraisal scheduling and underwriting.
It depends on the program. Some allow refinancing with less equity, while cash-out refinances typically require more.
You'll typically need recent pay stubs, W-2s or tax returns, bank statements, and information about your current mortgage, like your most recent statement. If you're self-employed, you may need additional documentation like profit and loss statements. A mortgage banker can give you a personalized checklist based on your situation.
Qualification typically depends on your home equity (often at least 20%), your credit score, your income, and your debt-to-income ratio. Our Cash-Out Estimator above can give you a starting point, and a Mortgage Banker can confirm what you actually qualify for.
Common fees include the loan origination fee, appraisal fee, title insurance, and recording fees, which together usually add up to 2% to 5% of your loan amount. The specific fees and amounts can vary depending on your loan type, location, and lender, so it's worth reviewing your Loan Estimate closely once you apply.
Generally, the higher your credit score, the better your rate options. While some refinance programs are available with lower scores, borrowers with scores in the high 600s and above typically see more competitive rates. If your score has improved since you got your current mortgage, it's worth seeing what you might now qualify for.
Related Guides: Keep Exploring
If you're not quite ready to take the next step yet, that's okay. Here's where to go for more:
We're Here to Help, Every Step of the Way
Refinancing your home is a big decision, but it doesn't have to be a complicated one. If you're ready to move forward or weighing your options, our team at Atlantic Bay is here to answer your questions and help you find the right path for your situation.