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How to find the best refinance lenders?
Whenever you embark on a search for the best refinance lenders, you will find numerous lenders trying to attract you with their seemingly lucrative offers. However, you must know that not all of them can offer you the best loan. Some of the best refinance lenders' reputable brand comes from millions of dollars they spend on expensive advertising. Those TV ads and billboards may help you recognize their brand, but it works against you in regard to their ability to get you the lowest rate. All that overhead costs money, some of which is passed down to you, the customer. The key to remember is that the best refinance lenders are not always the ones with the most well known brand name. Do your research on websites like HotRateQuote to compare mortgage rates and terms so you have all the necessary information to form an education decision.
Here are some points to consider while searching for the best refinance lenders for your your home loan:
1) Start by leveraging the power of the internet. A simple search for the best refinance lenders on online will yield thousands of results, but the key is to start with the more reputable "portal sites" such as BankRate.com, LendingTree.com, and HotRateQuote.com. Try to not be diverted by flashy-looking promotional ad banners and buzz word offers but instead try and focus on the numbers: rates, APR, total fees, etc. These websites have gotten really good and organizing the best refinance lenders' rates and terms so check to see what the top 3-5 offers appear to be within the name loan type category.
2) Be weary of excessive fees. In most cases, the "lowest rate" offer often comes with some hidden costs, which can quickly add up since they are usually percentage-based figures tied to the loan amount. These extra costs, also known as " junk fees", can make your refinance a costly transaction and sometimes not even worth it anymore. These "junk fees" include but are not limited to: "processing fees, application fees, doc prep fees, courier fees for mortgage brokers, etc." A good rule of thumb to use when considering the total cost, even with the best refinance lenders, is "how long will it take for the proposed monthly savings to exceed the total cost of this transaction?". Example: Lets say you stand to save $52/month but the total fees are $3572. It would take you a whopping 68 months (over 5 years) to break even! Any break even point longer than 24 months is not a good deal.
3) Think you've found the best deal now? Be careful, you might also want to ask what documentation is going to be required. This is a major factory in getting any refinance transaction closed these days. Some bank's guidelines have got so ridiculous that it seems like the hurdles between you and the closing table can never be overcome. Most banks follow the same set of guidelines nowadays, all requiring the standard two years tax returns with W2%u2032s, last two pay stubs, and last two bank statements. However, I've heard of some real world situations recently that you probably wouldn't even believe. A good friend of mine was trying to get the third round of underwriting conditions satisfied when she was then told that she also needed to produce the original building permit for the apparent renovation work that was done to her kitchen from 9 years ago, when she had only owned that home for the last 5 years! This means that she was forced to take a full day off work and beg City Hall to dig up old building permit records just to satisfy the lender and get her refinance closed. Crazy, huh? But you'd be surprises how often even the "best refinance lenders" come up with these crazy underwriting conditions. The key is to always ask what documentation will be required up front.
Go with the "pros" - Go with the best refinance lenders
Finally, once you have narrowed the best refinance lenders down to your top two or three, and you've asked all the right questions, its time to compare their rates, terms, cost, and most of all: their reputation and credibility. If you "go with the pro" and grade the best refinance lenders on their credibility and experience first, you will have the best chance for a smooth and efficient transaction.
Author Joe Karns is sales and marketing leader dedicated to bringing his subscribers relevant and useful information. Want a free mortgage checkup? Check out Joe Karns at the following link for more a FREE refinance consultation and expert advice on finding the Best Refinance Lenders: Compare Mortgage Rates

I think its ultra hypocritical for the Federal Gov to be screaming bloody murder about how Walls Street, Fannie Mae, and Freddie Mac were not up front with the American people in disclosing how exactly was going on and how things could start falling apart. However, it seems that "full disclosure" is the government's primary goal right now for everyone but themselves: Did you know that starting 1/1/12 there is about $15 built into every mortgage payment every American pays, with every Fannie and Freddie backed mortgage?(nearly 8.5 out of every 10 loans are backed by Fannie or Freddie). If you're loan is larger, say over $350,000, you'd now paying about $30/month in extra fees courtesy of the Federal Government. This loan-level fee was put in place by the Fed's on all new loans starting January 1st to help pay for the mere two month extension of their social security tax relief program. I still have not found any link to how these two efforts are even remotely tied together but apparently the Fed's thought it would be smart for one to pay for the other. It is low-handed, shady, sneaky moves like this which make most folks hate Government. Obama still goes up and says with a straight face that he's lowering taxes for all middle-class Americans but at the same time picking ALL homeowner's pockets and not even including a process to disclose this fee is built into the mortgage. Its very important to note that this loan-level hit is not the responsibility of the lenders to disclose because it is charged to them in the interest rates the lenders get from Fannie Freddie before the customer even sees the rates. Its already built in now. Shouldn't the Fed's be required to at least disclose, possibly through the lenders providing the mortgages, that this new fee exists? The sad fact is that they probably don't want us to know it exists. In my opinion, putting any additional burden on home owners during times like this when the housing market is already in turmoil is nothing short of horrible leadership within our Government. We need to stand up and collectively reject such sneaky fees being added to our mortgage payments.