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If you’ve gotten a new mortgage this past year, you might be considering refinancing. How long do you need to wait to refinance? Do you need to wait any time at all? 

The type of loan you have influences whether or not you can quickly refinance your home loan in Los Angeles. If you have a conventional mortgage or some types of government-backed loans, you may be able to immediately refinance, with one exception: the majority of cash-out refinances ask that owners be in the home for at least 12 months.

Can I Refinance My Mortgage Immediately?

In some cases, yes. Some lenders do allow owners to refinance their mortgage immediately after they take out a mortgage. This is an unusual situation, but it does happen.

FHA Loans And Refinancing

Some FHA loans do allow borrowers to refinance immediately. If you are refinancing from one FHA loan rate to another, this is a “simple refinance.” There’s no FHA requirement to wait to refinance in this case as long as you are not taking cash out. However, some lenders may ask borrowers to wait six months before a simple refinance. In this case, mortgage experts say you can apply to refinance with another company.

FHA streamline refinances don’t require appraisals, but you do have to have the mortgage for at least 210 days and made at least six monthly payments. This type of refinance allows borrowers to have one late payment. 

However, here’s a tip about monthly payments: some FHA mortgages and many others require on-time mortgage payments, for at least six months and at times, up to 12 months before you apply.

Other Government-Backed Loans And Refinancing

If you have a VA loan and want to refinance, you need to wait six months or at least 210 days after you made your first mortgage payment. There are more complex rules for USDA-backed loans, but in general, you need to have made on-time payments for at least 180 days before refinancing.

Jumbo Loan Refinancing Requirements Vary From Lender to Lender

Jumbo loans are non-conforming mortgages, and therefore have rules that are specific to each lender. If you have a jumbo mortgage, this is one reason why it’s important to work with an experienced mortgage loan broker like California Platinum Loans. The same is true if you have a VA loan, an FHA loan, or a conventional home loan. 

There are many reasons to want to refinance a mortgage, and working with experts who have access to many different lenders can guide you in the direction of your best options and opportunities. Fill out the quick, easy refinance questionnaire to learn more today.

Sources:

Lewis, Holden and Kate Wood. “How Soon Can You Refinance A Mortgage? Here are the Rules,” Nerdwallet, 4 August 2023, url: https://www.nerdwallet.com/article/mortgages/how-soon-can-you-refinance-mortgage

Martin, Erik J. “How Soon Can I Refinance My House? Here Are The Rules,” The Mortgage Reports, 13 July 2023, url: https://themortgagereports.com/54100/how-soon-can-i-refinance-after-i-close-on-my-mortgage

According to Zillow, Los Angeles exceeds the national average for younger single and unmarried couple home buyers age 24 to 35. More than one out of ten home buyers in this age range are part of an unmarried couple.

One of Zillow’s senior economists said “Singles can opt to purchase a home with their partner even if marriage is not a part of their future plans.”

Buying a home is a major financial and legal transaction. If you’re thinking about buying a home with your partner, here are some of the important considerations.

Who Will Apply For The Mortgage? 

When you start the mortgage process, you’ll quickly learn that any applicant will have their credit score, debt-to-income (DTI) ratio, and assets taken into consideration. Sometimes one member of a couple will have stronger credit than another, and this member could be the best choice to apply for the mortgage even though the couple will buy the house and live in it together.

Who Should Hold The Title?

There are several ways that you can hold title to a home in California. They include sole ownership, joint tenancy, tenants in common, and a living trust. You should speak with your real estate professional about the advantages and disadvantages of each option when considering your unique situation.

How Will You Divide The Costs?

In addition to the mortgage, you will also be responsible for homeowners’ insurance and property taxes. Other potential costs include mortgage insurance and HOA fees as well as utility bills. Work with your partner to decide how you will split up costs before you enter into a purchase agreement.

What Happens If Someone Moves Out?

If you have fractional shares of the home and one partner decides to move, it can become a complex legal situation. A partner who leaves may need to be bought out of the equity that they have in the property. Many people consider refinancing their mortgage if one partner moves. 

Other Considerations For Partners And Couples

If your partner isn’t on the mortgage, you will need to refinance the mortgage to add their name to it. In addition, the partner whose name is on the home’s title is the legal owner of the home.

There are many advantages to buying a home with your partner in addition to being able to live where you want and have the lifestyle you enjoy. There are many legal and financial considerations for both members of a couple when buying a home. This is why it’s a good idea to work with experienced professionals like California Platinum Loans and California Platinum Realty and also to consult legal professionals with experience in Los Angeles area real estate.

Sources

Abrams Garfinkel Margolis Bergson, LLP, “Rising Trend in Unmarried Couples Buying Homes in Expensive Markets,” url: https://agmblaw.com/rising-trend-unmarried-couples-purchasing-homes-expensive-markets/

Kilroy, Ashley. “Questions Unmarried Couples Should Consider When Buying A House,” Rocket Learning, 12 July 2023, url: https://www.rocketmortgage.com/learn/questions-unmarried-couples-should-consider-when-buying-a-house

Sources

Amid California’s sandy beaches, towering redwoods, and bustling cities lies an ever-evolving financial realm. As sun-kissed residents brace for yet another sunny day, let’s decode the morning haze of the financial, mortgage, and real estate market. Here’s your freshly brewed economic espresso shot: The latest from California Platinum Loans.

Echoes from the 10-Year Treasury Tunes

The 10-year treasury almost touched the illustrious 5% benchmark but then decided it liked the view from a bit lower down. While many of us may ponder about going short on our California tans this summer, hedge fund magnates have notably gone short on the 10-year treasury. To put it in numbers, a whopping 600 billion shorts. Now, if only our beach shorts were as intriguing!

Distinguished Voices Weigh In

It’s not just the surfers riding the waves; economic giants are also catching their financial breakers. The spotlight shines on Bill Gross and Bank of America’s captain, Brian. Mr. Gross hints that the Federal Reserve may need to adjust its sails sooner. On the other hand, Brian suggests that the Fed’s policies have made the consumer wallet a tad lighter.

Renting vs. Owning: The Affluent Californian’s Dilemma

As residents grapple with whether to go for the Tuscan villa or the modern penthouse, a curious debate ensues. Realtor.com’s chief economist dropped a zinger, suggesting renting is the economic flavor of the month in major US cities. But before you trade your keys for a lease, consider factors beyond monthly payments. We’re talking loan amortization, asset appreciation, and those delightful tax cuts.

In the radiant realm of California, the mortgage and real estate pulse never skips a beat. Today, we’ve sifted through the buzz to present you with the golden nuggets of information. The horizon seems ever-promising for the sagacious home buyer or the discerning investor. Keep your financial sunglasses on, and stay tuned with California Platinum Loans for your daily dose of economic sunshine.

Remember, in California’s financial scene, it’s not always about catching the biggest wave but understanding the tide.