 TITLE: When Can I Refinance My Home? CONTENT: What Should I Consider Before Refinancing?\n------------------------------------------\nWhile refinancing a mortgage loan can provide a lot of benefits, there are some things that could make you think twice about starting the refinance process:\n*   **Loan costs**: Mortgage loans, including refinance loans, typically include closing costs that can range from 2% to 5% of the loan amount. If your mortgage is $200,000, that's between $4,000 and $10,000 that can eat into the potential savings or other benefits you'd get from refinancing. It's essential that you take the time to calculate your potential savings from a refinance compared with the costs to close the loan.\n*   **Other costs**: If you're refinancing your loan to get rid of one form of mortgage insurance, it's possible that the new loan will require another form. Make sure you understand the terms of each mortgage type to get an idea of what your ongoing costs will be. Also, pre-payment penalties can make it difficult to get out of your original loan.\n*   **Credit situation**: If your credit scores have changed since you got your first loan, it could affect your chances of getting approved for a refinance loan with more favorable terms. The same goes if your debt-to-income ratio (DTI)—your monthly debt payments relative to your monthly gross income—has increased in the meantime.\nThere are many good reasons to refinance a mortgage loan, but carefully consider these things to make sure your reason is good enough. END