When should I refinance my mortgage? If interest rates are at least 1% lower than your current rate—or if you're looking to lower your monthly payment, remove mortgage insurance, or tap into equity—it might be time to refinance. Refinancing can also help you shorten your loan term, switch from an adjustable to a fixed-rate mortgage, or consolidate high-interest debts into a single, manageable payment.
Example Scenario: Let’s say you purchased your home in 2020 with a $350,000 loan at a historically low 3.75% interest rate. Fast forward to 2025, and you're now juggling $40,000 in high-interest credit cards and personal loans. You decide to do a cash-out refinance into a new $390,000 mortgage at 6.5%. Yes, your new mortgage rate is higher—but now your credit card payments, personal loan, and even some medical expenses are all rolled into one fixed monthly payment. Instead of paying $800+ a month in minimums across multiple debts, your new total monthly payment (including the mortgage) may only increase slightly—yet save you over $500/month in out-of-pocket expenses. That’s real cash flow relief.
Ask one of our loan professionals to run the numbers for your unique situation.
Should I pay points to lower my rate? Points (aka discount points) are prepaid interest. One point = 1% of your loan amount. Paying points makes sense if you plan to stay in the home long enough to break even on the cost. We can help you compare long-term savings versus upfront costs.
Is 2025 a good time to buy a house? The right time to buy isn’t about timing the market—it's about your personal finances and long-term goals. That said, mortgage rates are expected to trend lower by the end of 2025, and owning can often be more stable (and affordable) than renting in the long run. Let’s talk about your situation.
How much do I need for a down payment? Not necessarily 20%! First-time buyers may qualify for 3% down conventional loans or 3.5% down FHA loans. VA and USDA loans even allow 0% down. We’ll help you find the best fit.
Can I buy a home with student loans? Yes, you can! Your debt-to-income ratio (DTI) matters more than the loan itself. As long as your income supports your total monthly debt—including student loans—you can qualify for a mortgage.
What’s the difference between a mortgage broker and a bank? Banks offer their own loan products. Brokers (like us) shop multiple wholesale lenders to find you better rates, lower fees, and more options. Think of us as your mortgage matchmaker.
What documents do I need to apply?
How does my credit score affect my loan? Higher credit scores usually mean better interest rates and lower monthly payments. Most lenders require at least a 620 for conventional loans, but FHA loans can go as low as 580. And yes—we have lenders who accept credit scores as low as 550. If your credit needs work, don't worry—we can still explore your options. On the flip side, borrowers with excellent credit (typically 740+) may qualify for premium pricing and the lowest rates available. Whether your score is strong or needs a little rebuilding, we’ll help you make the most of your mortgage options.
What can I do to improve my credit before applying?
What is APR, and how is it different from the interest rate? Your interest rate is what you pay to borrow money. APR (Annual Percentage Rate) includes the interest rate plus certain fees, giving you a better picture of the true cost of your loan over time.
What does it mean to lock my rate? Locking your rate means securing your interest rate for a set period (usually 30–60 days) while your loan is processed. This protects you from market fluctuations. Your loan officer will walk you through when and how to lock.
What is a reverse mortgage / age-in-place loan? A reverse mortgage lets homeowners age 62+ access their home equity without monthly payments. You can receive funds as a lump sum, line of credit, or monthly payout—while continuing to live in your home. This is a powerful retirement planning tool when used correctly.
What is 80-10-10 financing? This strategy avoids mortgage insurance (PMI) by combining:
What is the Buy Before You Sell program? Offered through one of our lending partners, this innovative program is a game changer. It allows you to buy your next home before selling your current one—without requiring a contingent offer. Even better, it includes a 0% bridge loan secured by your departing residence, giving you the power to make a competitive, non-contingent offer on a new home. This puts you in control of your timeline, strengthens your offer in competitive markets, and helps you avoid the stress of temporary housing or rushed decisions. This option has become very popular over the years.
Do first-time homebuyers get special incentives? Yes, first-time homebuyers in Washington state can access various incentives like down payment assistance, special loans with reduced interest rates, and grants, often through programs offered by the Washington State Housing Finance Commission (WSHFC) To qualify, most programs require you to attend a homeownership seminar. These free or very low-cost classes are held regularly throughout the community and cover topics like budgeting, the buying process, and long-term homeownership planning. We can help you find a class near you and determine which first-time homebuyer programs you may be eligible for.
Have questions about special loan programs? We're here to help. Give us a call and ask about the full menu of unique financing solutions available through our lending partners.
What happens at closing? You’ll sign your final loan documents, pay closing costs, and receive the keys to your new home. We’ll coordinate with your escrow and title team so there are no surprises.
What are closing costs? They typically range from 2–5% of the home’s purchase price and include:
What is an appraisal, and why does it matter? An appraisal is a professional opinion of the home’s value. Lenders use it to make sure the property is worth the loan amount. It’s also important for your peace of mind!
We’re here to help. Our Kirkland-based team is happy to answer your questions, run custom loan scenarios, or walk you through the pre-approval process. Give us a call or schedule a free consultation today.
Washington First Mortgage Loan Corporation | Kirkland, WA – Trusted by Homebuyers Since 2011
