Often times more than not during a stressful fiscal situation a home owner will turn to refinancing their equity in order to pay down their bad debt and get ahead with their bills. One aspect of this entire process that many do not educate themselves on is the actual refinancing closing costs involved with this type of transaction. Their are a few very all to important details that can make or break your costs level or even snap them out of existence. Now I know that sounds absolutely wonderful to you, but again let us delve a little bit deeper into things and show you exactly what type of lake you are soon to be swimming in with your ever so important home and deed.
When you are ready to make the leap usually your first stop in discussing the details is going to be your lender. They will usually on your behalf prepare a good faith estimate of the endgame closing costs. Sometimes you may get lucky and receive this quickly, but keep in mind they are only required to mail it to you within three business days of your initial application for refinancing closing costs.
Since your lender is the actual entity that will prepare the estimate many people commonly associate costs with the lender. When in fact this is not true. Your lender is only preparing an estimate of your costs which you may or may not incur when buying or refinancing. Keep in mind they are not required to disclose every single possible fee. These so called estimates are basically a educated guess based on their own past experience. Some minor or even major expenses can and have been left out in the past.
The bottom line is to be aware that you are only receiving an estimate and that you may or may not receive them quickly. Make sure to go over your options with your lender and the company or companies involved.