Refinancing is something many home owners do. The simple fact that mortgages have such a long length to them means that there is going to be a lot of changes in the economy and the loan market throughout the life of the loan.
To be fair, lenders often allow options, like refinancing to mortgage holders so that they can keep their mortgage competitive. This is smart on the part of the lender, as well because it protects the lender as well as the buyer.
The lender offers these options because if they didn’t a borrower could easily go to another lender and refinance through them, which is basically taking away a large chunk of income from the original lender.
When you go to refinance you will often find that your lender is more than happy to work with you. Shopping around becomes essential because you have all the power in the refinancing situation. Your lender doesn’t want to lose your business and will often jump over hurdles to try to keep it.
