How long does it take to refinance a house?

From beginning your application to closing on your loan, it can take anywhere from 20 to 60 days to refinance a house. Some of the factors that cause the length of time to vary are your lender, loan type, appraisal and how prepared you are. Learning the steps you should take to get when refinancing your home, seeing the places where the process could get delayed and understanding how to speed up your refinance, will help prepare any homeowner for a refinance. 

Ready to start your home loan refinance? Start your application today. 

What steps should I take when refinancing my home?

Knowing the steps you need to take when refinancing your home can help speed up the process by preparing you for what comes next. 

Step 1: Setting financial goals and choosing a loan type

Your first step when looking to refinance your home loan should be to determine your goals in refinancing and finding the loan that helps you meet those goals. 

Some of the reasons you may want to refinance your home loan is to get a lower interest rate, shorten or extend your loan length, switch between a fixed and variable rate or access your home equity. After you have decided how you want your refinance to work for you, you can choose the loan refinance option that helps you meet your goals. 

Step 2: Gathering required financial documents

To get a mortgage refinanced you will required to provide certain documents. Some of the documents your lender typically ask for are: 

• Pay stubs
• W-2 forms
• Tax returns
• Bank statements
• Investment accounts
• Records of any assets
• Homeowners insurance
• Current mortgage statements

Step 3: Submitting your application and locking your rate

After you have chosen the loan type that will benefit you the most and gathered your documentation you will be ready to submit your application to refinance your mortgage. When you submit your application, talk to your lender about locking in your rate. Locking in your rate will ensure that the rate you get on your new home loan will not go up after you submit your application. 

Step 4: Underwriting and home appraisal

Lenders will start the underwriting process after you submit your application. During the underwriting process lenders will review your financial information to determine your loan refinance terms. New home appraisals are requested during the underwriting process to help figure out the property’s current value. 

Step 5: Closing on your new loan

Closing on your new loan means signing final documents and paying any closing costs you may have. If you can’t cover your closing costs at the moment, talk to your lender about rolling your closing costs into your new loan. 

Refinance timeline by loan type

Let’s look at typical estimated timelines*, from beginning application to closing, for popular loan types. 

• Rate and term refinance: 45 days
• Cash-out refinance: 35 days
• Cash-in refinance: 35 days
• Streamline refinance: 25 days

What factors can delay your mortgage refinance timeline?

Some of the reasons you may experience a delay in your mortgage refinance timeline are: 

• Late or incomplete submission of documentation
• Appraiser’s schedule is busy
• Your lender’s timetable

How to speed up your mortgage refinance process

If you are looking for a simple way you could speed up your mortgage refinance process, make sure you gather and prepare all your documentation beforehand. Gathering and preparing all necessary documents before starting the mortgage refinance process could speed up the time it takes you to complete your application. 

Already have all your documentations prepared? Start your mortgage refinance application today. 

_{*Rate can't guarantee an applicant will be approved or a closing can occur within a specific timeframe.}