compare refinance rates step by step to find your best deal

How comparing actually works

When you compare refinance rates, you balance the headline rate with the full price of borrowing. Collect quotes the same day for the same loan amount and term so the APR, points, and lender fees line up fairly. Request a written estimate and a rate lock window, then verify whether the quote assumes escrows or autopay discounts.

Key inputs lenders weigh

• Credit score and history, which influence price tiers and LLPA add-ons.
• Loan-to-value and occupancy; cash-out often carries a higher rate.
• Debt-to-income and income documentation type.
• Loan term and product: fixed versus ARM, jumbo versus conforming.
• Property type and state-specific fees or taxes.

Calculate the real savings

Compare total costs over your intended hold period, not just monthly payment. Compute a simple break-even by dividing closing costs by the payment reduction, and watch for prepayment penalties. If costs are high, ask about lender credits, par pricing, or shortening the term to build equity faster.