Refinance to Lower Rates & Access Equity
Lower your monthly payments, access your home's equity, or consolidate debt with competitive refinance rates. Save thousands with our streamlined refinancing process.
Types of Refinancing Options
Choose the refinancing strategy that best fits your financial goals and current situation.
Rate & Term Refinance
Lower your interest rate or change your loan term to reduce monthly payments or pay off your mortgage faster.
Lower monthly payments
Reduce total interest paid
Switch from ARM to fixed
Cash-Out Refinance
Access your home's equity by refinancing for more than you owe and receiving the difference in cash.
Home renovations
Debt consolidation
Investment opportunities
Streamline Refinance
Fast-track refinancing for FHA, VA, or USDA loans with minimal documentation and no appraisal required.
No appraisal needed
Minimal documentation
Faster closing process
When Should You Refinance?
Understanding the right time to refinance can save you thousands. Use our break-even analysis to determine if refinancing makes sense for your situation.
Interest Rates Have Dropped
Generally, if rates have dropped by 0.5% or more since your original loan, refinancing could be beneficial.
Your Credit Has Improved
Better credit scores can qualify you for lower rates, even if market rates haven't changed significantly.
You Need Cash for Major Expenses
Home renovations, education costs, or debt consolidation may warrant a cash-out refinance.
You Want to Change Loan Terms
Switch from a 30-year to 15-year loan to pay off your mortgage faster, or extend terms to lower payments.
Break-Even Calculator
Cash-Out Refinance vs. HELOC
Both options allow you to access your home's equity, but they work differently. Choose the right option for your financial goals.
| Feature | Cash-Out Refinance | HELOC |
|---|---|---|
| Interest Rate | Fixed rate, typically lower | Variable rate, may be higher |
| Access to Funds | Lump sum at closing | Draw as needed over time |
| Monthly Payments | Single mortgage payment | Two separate payments |
| Closing Costs | 2-5% of loan amount | Lower upfront costs |
| Tax Benefits | Interest may be deductible* | Interest may be deductible* |
| Best For | Large one-time expenses, lower current rate | Ongoing expenses, flexibility |
*Tax deductibility depends on how funds are used. Consult your tax advisor for specific guidance.
Understanding Refinance Costs
Know what to expect when refinancing. While there are upfront costs, the long-term savings often outweigh the initial investment.
Typical Closing Costs
Ways to Reduce Costs
Shop around for the best rates and fees
Consider no-closing-cost refinance options
Ask about lender credits for higher rates
Refinance Savings Calculator
Enter your loan details above and click "Calculate Your Savings" to see your potential refinance benefits.
Disclaimer: This calculator is for educational purposes only and provides estimates based on the information you provide. Results are not a rate quote, loan approval, or commitment to lend. Actual rates, payments, and savings may vary based on credit score, loan-to-value ratio, property type, and other factors. Please contact us for personalized rate quotes and loan options.
Refinance Success Stories
Real customers, real savings. See how refinancing helped Massachusetts homeowners achieve their financial goals.
Massive Monthly Savings
"We refinanced from 7.2% to 5.8% and our payment dropped by $420 per month. The process was smooth and closed in just 3 weeks!"
Cash-Out for Renovations
"Used a cash-out refinance to fund our kitchen renovation. Got $75k cash and still lowered our rate from 6.8% to 6.2%!"
Debt Consolidation Success
"Consolidated $45k in credit card debt with a cash-out refinance. Went from multiple 22% rates to one 6.1% payment!"
Refinancing FAQ
Get answers to the most common refinancing questions from Massachusetts homeowners.
How much can I save by refinancing?
Savings depend on your current rate, new rate, loan amount, and how long you plan to stay in your home. Generally, if you can reduce your rate by 0.5% or more, refinancing can be beneficial. Use our calculator above to estimate your potential savings.
How long does refinancing take?
Most refinances close within 30-45 days. Streamline refinances (FHA/VA) can be faster, often closing in 2-3 weeks. The timeline depends on appraisal scheduling, document submission, and underwriting complexity.
Do I need an appraisal to refinance?
Most refinances require an appraisal to verify current home value. However, some streamline programs (FHA/VA) and certain conventional programs may waive the appraisal requirement if you meet specific criteria.
Can I refinance with bad credit?
While good credit gets the best rates, refinancing is possible with lower credit scores. FHA refinances may accept scores as low as 580, and VA refinances have no minimum score requirement. We'll work to find options that fit your situation.
Should I pay points to get a lower rate?
Paying points makes sense if you plan to stay in your home long enough to break even on the upfront cost. Each point typically costs 1% of your loan amount and reduces your rate by about 0.25%. Our loan officers can help you analyze the break-even point.
What's the difference between rate and APR?
The interest rate is what you pay on the loan balance. APR (Annual Percentage Rate) includes the interest rate plus other costs like origination fees, mortgage insurance, and other charges, giving you a more complete picture of the loan's total cost.
Can I roll closing costs into my new loan?
Yes, if you have sufficient equity, you can include closing costs in your new loan amount. This is common with cash-out refinances. You can also choose a no-closing-cost refinance where the lender pays costs in exchange for a slightly higher rate.
When does my first payment start?
Your first payment on the new loan is typically due 30-45 days after closing. During this period, you won't make payments on either your old or new mortgage. The exact timing depends on your closing date and lender policies.
Ready to Get Your Best Refinance Rate?
Join thousands of Massachusetts homeowners who have saved money by refinancing with Milestone
No obligation. Get personalized refinance options in minutes.