<img height="1" width="1" style="display:none" src="https://www.facebook.com/tr?id=1955936548054264&amp;ev=PageView&amp;noscript=1">

DOES IT MAKE SENSE TO

Refinance to Save on Interest?

Refinancing to Reduce Interest & Save

A complete refinancing resource for homeowners

When you’re thinking about refinancing to save on interest, you’re probably thinking about getting a lower interest rate.

There's more that factors into the amount of interest you pay than just the rate. You can maximize your savings by refinancing into a shorter term, changing your loan type or making extra payments.

The first thing you should do is discuss your homeownership goals with a Churchill Home Loan Specialist. This is where you’ll get an easy-to-understand cost breakdown with your budget in mind.

Pro Tip: A Homeownership Strategy Meeting is completely free through Churchill Mortgage!

couple home autumn

 
 

How Will I Know if it’s Worth it to Refinance?

With the goal of reducing the amount of interest you'll pay, refinancing presents a great opportunity for savings.

With a lower interest rate, and by shortening the term of the loan (and making fewer total payment) , you can reduce the overall amount of interest you'll pay over the life of the loan.

But not every situation will benefit from a refinance, and it is important to ensure refinancing makes financial sense. There's a few key details to think about as you consider refinancing:

  • How long do you plan to stay in the home?
  • Can you refinance into a shorter term?
  • How much are your closing costs, and how long will it take to recoup the costs?

The Break-Even Point:
When the net savings from your new monthly payment covers the cost of refinancing (closing costs).


refinance calculator screenshot

When Does Refinancing Make Financial Sense ?

When buying a home, you’ll likely have a lot of questions. The first thing you should do is find out how much house you can afford. We provide an easy-to-use calculator utilizing your monthly income with your projected loan term.

Refinance Break Even Calculator Extra Payments Calculator
Download Your
Document Checklist Today!
document-checklist-ipad-mockup

As you begin the refinancing process, you’ll need to gather important documents that are commonly requested throughout the refinancing process.

social proof

By submitting this form, I/we agree to your Privacy Policy Terms of Use and authorize Churchill Mortgage Corporation and/or their Preferred Provider for our area and/or The Churchill Agency to receive the above information to assist in obtaining a home loan.

I/we also authorize Churchill Mortgage Corporation, The Churchill Agency and/or their Preferred Provider for our area to contact us regarding but not limited to mortgage and insurance services and products via telephone, mobile phone (including through automated dialing), and/or email, even if telephone numbers or email I/we provide are on any Do Not Call/Contact Registry, such as corporate, state, or the National Do Not Call Registry. The submission of this form does not constitute in any way a formal loan application or a commitment for a loan. By communicating with us by phone, you consent to calls being recorded and monitored. By participating, you consent to receive text messages sent by an automatic telephone dialing system. Consent to these terms is not a condition of purchase.

 

Lowering Your Rate Could Save You Thousands

Because the interest rate on your home loan is directly tied to how much you pay on your overall mortgage, lower rates usually mean lower monthly payments.

Check out this example of monthly payments (principal and interest) on a 15-year fixed-rate loan of $250,000 at 5.5% and 4.0%.

Total Interest at 5.5% = $117,687
Total Interest at 4% = $82,860

With a 1.5% difference in interest rate, there was a $34, 827 difference in interest paid! Imagine what you could do with that in your pocket!

* The scenarios listed above have an APR of 5.5% and 4% respectivly. Additional fees are not included in the examples above.

With so much of your hard-earned money on the line, it’s best to seek advice from a trusted home loan expert and have the confidence that you are in qualified hands.

Connect With A Mortgage Expert!

Are you buying a home or refinancing?

Where are you planning to buy a home?

Please Select a State

What is your full name?

Please Enter a Name
Please Enter a Last Name

What is your email address?

Please Enter a Valid Email Address
  We won't share your information.

Next, we need to verify a phone number.

Enter a Valid Phone Number
Please Select a Message Type

Enter your phone number and we'll text you a 6-digit security code to verify it's you. Standard texting and data rates may apply. For more information, read our Privacy Policy.

Enter the 6-digit code sent to your device.

 Code sent to +1234567890

Finally, how did you hear about us?

Please Select an Option

By submitting this form, I/we agree to your Privacy Policy Terms of Use and authorize Churchill Mortgage Corporation and/or their Preferred Provider for our area and/or The Churchill Agency to receive the above information to assist in obtaining a home loan.

I/we also authorize Churchill Mortgage Corporation, The Churchill Agency and/or their Preferred Provider for our area to contact us regarding but not limited to mortgage and insurance services and products via telephone, mobile phone (including through automated dialing), and/or email, even if telephone numbers or email I/we provide are on any Do Not Call/Contact Registry, such as corporate, state, or the National Do Not Call Registry. The submission of this form does not constitute in any way a formal loan application or a commitment for a loan. By communicating with us by phone, you consent to calls being recorded and monitored. By participating, you consent to receive text messages sent by an automatic telephone dialing system. Consent to these terms is not a condition of purchase.

Your answer will NOT negatively affect your mortgage application. Your answer does not mean the Lender or Other Loan Participants agree to communicate or provide documents to you in your preferred language. However, it may let them assist you or direct you to persons who can assist you. Language assistance and resources may be available through housing counseling agencies approved by the U.S. Department of Housing and Urban Development. To find a housing counseling agency, contact one of the following Federal government agencies. U.S. Department of Housing and Urban Development (HUD) at (800)569-4287 or www.hud.gov/counseling

Es probable que su transacción de préstamo hipotecario suceda en inglés. Por medio de esta pregunta, solicitamos información para determinar si existen comunicaciones disponibles a su servicio, en su idioma preferido. Sírvase tener en cuenta: posiblemente NO hay comunicaciones disponibles en su idioma preferido.

Thank You!

Thank you for choosing Churchill Mortgage to help you with your home loan needs!

Our team is already hard at work connecting you with your Home Loan Specialist. Rest assured that we've received your request and will be in touch with you shortly.

social proof logos

Already working with someone at Churchill?

Find Your Home Loan Specialist

Please Select a Loan Officer