Decide if it makes sense
- Compare current rate to today's rates; estimate break-even (savings per month vs. closing costs).
- Consider how long you plan to stay in the home.
- Check if you can drop PMI with a new appraisal or by paying down principal.
Shop and lock
- Get quotes from at least 2–3 lenders.
- Compare APR and total closing costs, not just rate.
- Lock your rate when you're ready; understand lock terms.
Before closing
- Keep making payments on your current loan until the refinance closes.
- Avoid new credit or big purchases during the process.
- Review the closing disclosure and ask questions before signing.