We are opening up the mailbag today to answer some listener questions about the mortgages and refinancing. Alice asks whether there is a difference between getting a mortgage for one home versus a second home? They are going to look at a lot of the same things: income, credit, and debt ratio. But you want to be aware of new interest rate regulations and your debt ratio.
Are home equity loans better than a cash-out refinance option? A home equity loan is a second mortgage option. A cash-out refinance is an adjustment to your first mortgage. Peter is wondering if he can get a new servicer without refinancing? Unfortunately, you can’t request a new servicer and these complaints are usually rare. But if you refinance you could go to a new servicer. Join us today as we take an in-depth look at these questions on today’s podcast.
If you have questions about a mortgage or refinancing you can get your 15-minute free consultation with Bill: https://calendly.com/blitton/30min?month=2022-01
0:21 – Is getting a second mortgage different?
3:09 – Is a home equity loan better than a cash-out option?
6:10 – Can I get a new servicer without refinancing?
QUOTABLE MORTGAGE MOMENT:
“A home equity line of credit has a variable rate and that rate is only going to go up… If you get a home equity loan, the rates tend to at least a percent higher than what they’d be onion a Cash Out Refi. “