Welcome to RealPros Mortgage and our NO COST refinance program. 

This program allows borrowers to refinance their existing mortgage without paying any closing costs, ie., no lender or title company fees are incurred in the transaction. These fees are paid on your behalf by RealPros Mortgage, LLC.  The fees are NOT financed or added to your existing principal balance.  This allows for flexibility within the refinance in relation to conventional loan to value (LTV) rules that apply.  For example, by not incurring any closing costs, 1)your mortgage balance won't increase beyond allowable limits relative to the appraised value of your home, 2) you don't borrow as much which keeps your payment down, 3) if mortgage insurance is required, the increasing MI factors for higher loan to values may be avoided, and 4) your overall expense for closing costs is decreased over the span of your previous mortgage and this refinance. 

No cost refinancing is an attractive method of saving transaction costs, consolidating first and second mortgages, perhaps eliminating mortgage insurance entirely, paying off other debt obligations through consolidation, and generally saving the equity in your house.

Since there are fees to be paid in every mortgage refinance (or purchase) transaction, how are we able to pay these for you and where does the money come from?? The answer to this riddle resides within the current interest rate market and the amount of your mortgage.  If closing costs to be paid on your behalf total $2,000 then we must be able to sell your loan to our investors and the conventional secondary market for enough money to pay the closing costs and ourselves for the services rendered.  This is accomplished through your acceptance of a slightly higher than "par" market interest rate, usually .25-.50% higher than the usual interest rate quote that includes a loan origination fee and closing costs. We take the proceeds from the sale of the loan and pay the transaction costs for you.

Borrowers usually pay their own property taxes, homeowner's insurance, and the accrued interest on their existing mortgage loan. These costs can be financed, paid in cash at closing, or even paid by RealPros Mortgage, LLC.  However, often there is a refund from existing tax and insurance escrow accounts and the accrued mortgage interest is due whether the refinance is completed or not.  The higher mortgage rate needed to pay for these refundable or recurring expenses may not be in your best interest.

Call or email for a free evaluation and consultation about this program. We are a small, customer service oriented company and will ensure your complete education and satisfaction.