Mortgage Refinance 

THE TOP MORTGAGE REFINANCES IN UTAH

Your home is your most valuable asset. Make it work harder for you by refinancing your mortgage. Free up money, reduce your monthly payment, or borrow money against your house. It’s all possible with Wasatch Peaks Credit Union’s versatile mortgage refinance options.

WHY REFINANCE YOUR MORTGAGE?

Refinancing your mortgage at the right time—and under the right conditions—can offer real financial advantages. Depending on your goals, refinancing could help you:

• Lower your interest rate: Lock in a more competitive rate to reduce the overall cost of your loan.
• Reduce your monthly payments: Free up room in your budget with a lower payment.
• Save more over the life of your loan: A lower rate means less interest paid over time.
• Pay off your mortgage faster: Choose a shorter term to become mortgage-free sooner.
• Tap into your home’s equity: Use a cash-out refinance to access funds at a lower rate than personal loans or credit cards.
• Switch to a lender who puts you first: If your current lender isn’t delivering the service you deserve, refinancing can give you a fresh start with a more member-focused partner.

MORTGAGE REFINANCE CALCULATOR

SHORT-TERM REFINANCE

Save money on long-term interest by opting for a short-term loan. You’ll pay a little more each month but you’ll pay less interest over time and own your house sooner.

• Pay off your home sooner
• Earn equity faster
• Step down to a 5, 7, or 10-year loan
• Free up money for future needs

MORTGAGE REFINANCE FAQs 

• Is it a good idea to refinance a mortgage?

  Refinancing a mortgage can be a smart move if it lowers your interest rate, reduces your monthly payment, or helps you pay off your loan faster. However, it’s not a good choice if you are considering selling sooner, or you already have a good rate on your home.

  The key is to calculate your break-even point—the time it takes to recoup closing costs through lower monthly payments or savings on future interest payments. If you plan to stay in the home longer than that, refinancing could be worth it. If not, it may cost more than it saves.

• How much does it typically cost to refinance a mortgage?

  Refinancing a mortgage typically costs 2% to 5% of the loan amount. For example, if you're refinancing a $300,000 mortgage, expect to pay between $6,000 and $15,000 in closing costs. These may include the application fee, appraisal, title search, lender fees, and other charges.

• How many years should I wait to refinance my mortgage?

  You don’t have to wait a specific number of years to refinance a mortgage, but you should wait until it makes financial sense. Most homeowners refinance after one to two years, often when interest rates drop or their credit score improves enough to qualify for better terms.

• Does refinancing hurt your credit?

  Refinancing can cause a small, temporary dip on your credit report, usually by just a few points, when lenders do a hard credit check when you apply, and because opening a new loan affects your credit mix and average account age.

  However, that impact is typically short-lived. If you keep making on-time payments and don’t take on new debt, your score often recovers quickly. For most homeowners, the long-term savings from refinancing far outweigh the short-term credit hit.

• At what interest rate should you refinance?

  A common rule of thumb is to refinance if you can lower your interest rate by at least 1%, but even a 0.5% reduction can make sense if the loan amount is large or you plan to stay in the home for several years.

  Again, the best way to know when to refinance is to calculate your monthly savings and break-even point. If the savings outweigh the closing costs and you’ll stay in the home long enough to benefit, it’s likely worth refinancing—even if the rate drop is small.

• What is the best refinance option?

  It depends on your financial goals. If you are looking to free up money immediately for other needs, then a conventional refinance at a  lower rate or a longer time period will allow you to pay less each month. If you are looking to save money on interest or pay off your home sooner, then it makes sense to refinance over a shorter term or a higher rate. If you are looking to take money out of your house then you will need to refinance for a larger amount.

• What is an alternative to refinancing?

  In some cases, you may be able to recast (or re-amortize) your mortgage by making a large lump-sum payment toward your loan’s principal. Your lender then recalculates your monthly payments based on the new, lower balance, without changing your interest rate or loan term. This can reduce your monthly payments without going through a full refinance.

• Who can refinance a mortgage at Wasatch Peaks Credit Union?

  You need to be a member to refinance a mortgage loan at Wasatch Peaks Credit Union. It’s easy to become a member. You can become a member of Wasatch Peaks Credit Union if you meet any of the following conditions:

  • You are an immediate family member of an existing member-owner: parent, child, brother, sister, spouse or surviving spouse, grandparent, or grandchild. This includes stepparents, stepchildren, stepsiblings, and adoptive relationships.
  • You live, work, worship, attend school, or regularly conduct business with companies and other legal entities located in Weber, Davis, and Morgan Counties, or within a select underserved community located in Box Elder, Salt Lake, Summit, Utah, Tooele, and Juab Counties.
  • You are  a member of Trails Foundation of Northern Utah (TFNU.org), a 501(c)(3) NGO that functions as a planner, promoter, constructor, and protector of a network of public paths, trails, and related open spaces for non-motorized use. Not a member of the Trails Foundation Northern Utah? Wasatch Peaks will enroll you at no additional cost to you.

  If none of these fit, but you still want to join, a Wasatch Peaks Member Service Representative will find the best eligibility option for you.