What Is a Rate Review?
Current homeowners may not understand what a mortgage rate review is and what the various benefits of the review are. A mortgage rate review consists of a mortgage expert working with a potential borrower for assistance with surveying their current financial status, credit score, and income to determine if making any changes to their current mortgage would prove to be beneficial. The mortgage expert will also review the interest rate and monthly repayments of a homeowner’s current home loan. A mortgage rate review can take between three and six weeks depending on the individual lender.
Mortgage rate reviews can lead to various beneficial results for a current homeowner, including the following:
- Lowered mortgage interest rates
- A determination that the current home loan is the best fit for your financial position
- Potential mortgage refinancing if adequate equity is discovered
- A shortened home loan term
- Potential qualification for another mortgage
- Ability to repay high-interest credit resulting in lowered monthly mortgage repayments
Mortgage rate reviews should be completed if a homeowner currently falls into any of the following categories:
- A homeowner has not had a mortgage rate review in the past three years
- A homeowner is planning to fund a large purchase
- A homeowner is facing a change to their income
- A homeowner is facing or will face a change to their mortgage interest rate
- A homeowner is facing a change to their marital status
At Mortgage House, our knowledgeable mortgage experts are experienced in performing mortgage rate reviews and prepared to assist clients through the application ($100 cost for contract change) and determination processes. Click here to learn more!