Refinancing

A way of obtaining a better interest rateThe simple interest rate, stated as a percentage, charged by a lender on the principal amount of borrowed, lower monthly payments, or borrow cashMoney or its equivalent (checks, banknotes, etc.). on the equityThe value of a property beyond any liens against it. Also referred to as owner's interest. in a propertyThe rights or interests a person has in the thing he owns; not, in the technical sense, the thing itself. that has built up on a loanTransfers for which the recipient incurs a legal debt and repayment is required over time, with or without. A second loan is taken out to pay off the first, higher-rateThe pricing factor upon which the insurance buyer's premium is based. loan.

Refinancing

Paying off one loanTransfers for which the recipient incurs a legal debt and repayment is required over time, with or without by obtaining another; refinancing is generally done to secure better loan termsThe specific conditions of a loan, including the requirements governing receipt and repayment of a loan. (like a lower interest rateThe simple interest rate, stated as a percentage, charged by a lender on the principal amount of borrowed).

Refinancing

Refinancing is any dwellingDwelling means any residential structure, whether or not attached to real property. It includes vacation-secured loanA loan that is collateralized by property so that in the event of a default on the loan, the property that replaces and satisfies another dwelling-secured loanTransfers for which the recipient incurs a legal debt and repayment is required over time, with or without to the same borrowerPerson responsible for repaying a loan who has signed and agreed to the terms in the promissory note.. The purpose of the loan being refinanced is not relevant to determining whether the new loan is a refinancing for HMDA purposes. Nor is the borrower's intended use of any additional cashMoney or its equivalent (checks, banknotes, etc.). borrowed relevant to determining whether the loan is a refinancing, though the borrower's intended use of the funds could make the transactionThe entry or liquidation of a trade. a home improvement loanA home improvement loan is (a) any dwelling-secured loan to be used, at least in part, for repairing, or a home purchase loanA home purchase loan is any loan secured by and made for the purpose of purchasing a dwelling. See the. See the definitions of “homeHOME: Provides funds to local governments and states for new construction, rehabilitation, acquisition purchase loan” and “home improvementAnything done to a house that increases its value, such as adding a sun porch or modernizing the kitchen. loan.” Also see the rule on multipurpose loans on page 12 of the HMDA guide (http://www.ffiec.gov/hmda/guide.htm).

Refinancing

The paying-off of an existing obligationLegal reservation of funds based on known requirements (a contract, for example), or an a realistic estimate of costs. and assuming a new obligation in its place. To financeTo supply money for a purchase. A lender can finance home ownership with a mortgage loan. anew, or extend or renew existing financingFinancing: Those functions necessary to provide the financial resources to fund government operations.

Refinancing

The process of obtaining a new mortgage loanThe legal agreement where a borrower is obligated to repay a lender for money borrowed to purchase a home. to replace the current one. Usually done when interestThis is the amount that is imposed when payment is remitted after the due date. rates have dropped and an analysis shows it is financially advantageous to the mortgagorThe owner of real estate who pledges property as security for the repayment of a debt; the borrower. to do so.

Refinancing

The process of paying off an existing mortgageIncludes all forms of debt for which real property, that is, land and/or buildings, is given as security. by taking out a new mortgage.

Refinancing

The repaymentA loan is borrowed money that must be repaid. You have a choice of repayment plans if you received a of a loanTransfers for which the recipient incurs a legal debt and repayment is required over time, with or without from the proceeds of a new loan using the same propertyThe rights or interests a person has in the thing he owns; not, in the technical sense, the thing itself. as collateralSomething pledged as security for a debt..

Refinancing

The substitutionA principle stating that a property's value tends to be set by the cost of acquiring an equally desirable substitute. of an old loanTransfers for which the recipient incurs a legal debt and repayment is required over time, with or without(s) with a new loan(s) either with the same lenderThe entity that provides loan funds to the borrower. Depending on the type of loan, the lender may be or with a different lender. Also, renewing an existing or a maturing loan with the same lender.