Are you looking to pay off your mortgage? Whether you are refinancing or purchasing a new home, paying off a mortgage can be both an exciting and daunting task. Here are the steps you need to take.
Make a request
Really, paying off a mortgage is a fairly simple task. The first - and most logical - step that needs to be taken is to contact your lender and let them know what you want to do. If you’re doing this yourself (you can also have a third party take care of everything), you will need to ask your lender for a payoff letter. This begins the process.
Make a payment
Typically you need to send over a payment in the form of certified funds, such as a wire transfer or a certified check. After you send the payment, you will receive a confirmation of the received funds.
You might be getting escrow back
Sometimes, there may be money left in your escrow account after you’ve paid off the loan - resulting in you overpaying and needing a refund sent to you. Take a look at what type of loan you have to determine whether or not you will receive a refund check, or whether or not that escrow can be applied to your new principal.
While you may be able to do all this on your own, it is always recommended to have a professional help you through each step of the way. Call Mortgage Advisor for more information and to start on your path to refinancing!