Refinance Wellness Guide

Refinancing your mortgage… Hmm, interest between the two rates is $108,364.14. So, in this sounds like something you should situation, a person with a 200k loan at 6% who refinances to today’s average rate of 3.5% would save over $108,000 think about. Maybe… in interest. Not bad for the tiny amount of effort it actually takes a person to refinance. Especially when you choose No, it’s not a big deal. If you don’t, it doesn’t really matter. . We make it easy and do all the heavy lifting. It’s probably not worth the trouble. Your 5.75% mortgage We walk you through every step of the process, guiding you rate isn’t so bad. After all, rates were above 18% in 1983. the best decision with certainty. That’s our promise. Compared to that, 5.75% is great. So, you’re paying a few extra dollars a month on your mortgage. Who cares? Interest Savings on a $200,000 Loan Who cares? YOU should care! $1200 Friends, there’s NEVER been a better time to refinance in the past 60 years. The last time rates on 30-year $1000 fixed-rate mortgages were this low, “I Love Lucy” was a $800 top-rated show on the new-fangled technology called $231,676 television. Gas was 27 cents a gallon. Ike was president. $600 In interest at 6.2% Do we need to go on? We think you get the point. The $400 point is that you should refinance at today’s historically low rates. Period. $125,325 $200 In interest at 3.5%

Here’s a quick example to explain why you should 5 10 15 20 25 30 refinance. Let’s take an average 30-year fixed $200,000 years years years years years years mortgage. Now let’s take two mortgage rates – 6% and Saving $108,000 in interest over 30 years 3.5% (about the current average mortgage rate). The principal and interest payment (not including taxes and That said, there are several reasons you might want to insurance) on a 30-year $200,000 mortgage at 6% is refinance. Here are some of the common reasons and a $1,199.10. Over the life of your loan, you’ll pay $231,676.28 few mortgages you might want to consider. And believe in total interest with that rate. it or not, all of them are designed to do one thing – save you money, one way or another. Let’s see why: Now, let’s take that same $200,000, 30-year loan and calculate your payment at a mortgage rate of 3.5%. That Lower Your Mortgage Payment payment is $898.09. Over the life of the loan, you’ll pay This is probably the most popular choice for refinancing. $123,312.14 in interest at 3.5%. The difference in overall Lower that monthly mortgage payment, and put that

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Would you like a FREE mortgage review? Contact us at (800) 447-3180 extra money in the bank – or in your wallet. Simply take your currently monthly payment and find a mortgage that offers you a lower monthly payment. Trust us, there are many choices. The most popular is the 30-year fixed, followed by the 30-year FHA loan or the 30-year VA loan. A YOURgage with a 25¬¬ to 30-year term will also help you achieve this goal. And an ARM will get you a very low payment during the initial fixed portion of the loan. It’s great for those on a budget or those who want to increase their monthly cash flow. Flowing cash is a good thing, no?

Pay Off Your Mortgage Faster Another popular choice, for obvious reasons. The sooner you pay off your mortgage, the sooner you no longer have to make a mortgage payment. And, you can greatly reduce your overall interest by paying off your mortgage faster. Let’s take the 30-year fixed at 3.5% example above (where total interest is $123,312.14). If you turn that loan into a 15-year fixed and keep the same 3.5% interest rate, guess how much less interest you pay? Well, you don’t have to guess. You’ll save $65,954.45 in interest. That’s a fact, and that’s money you keep. The 8-year YOURgage is our most popular way to pay off your mortgage faster. The 15-year fixed is another popular option. You decide what fits your budget best.

30-Year 23-Year 15-Year Rate 3.50% (3.723% APR) 3.375% (3.716% APR) 2.75% (3.239% APR) Payment $898.09 $1,042.89 $1,357.25

*Payments do not include applicable taxes and insurance. Your actual obligation will be greater. Examples for illustrative purposes only. Rates subject to change without notice.

Consolidate Your Debt High-interest credit cards getting you down? Student debt ripping cash out of your wallet each month? High-interest debt is no fun, but there’s solution: a debt consolidation refinance. As long as you’ve got a little extra equity in your home (meaning your house is worth more than you owe on your mortgage), you can probably qualify. Why pay 20% on a credit card when you can refinance at 3.5% and pay it off? And more often than not, you’ll be able to deduct your interest from your income on your income tax (talk to a tax advisor first, please). This is really a no-brainer. You have debt. You can reduce the interest you pay on that debt. You’d do that if you could, wouldn’t you? Get Cash from Your Home Let’s say you want to redo your kitchen or your bathroom, but you don’t have the $10–20K it’ll take to do the job. What do you do? Well, if you have equity in your home, you could do a cash-out refinance and use the money for your renovation. Refinancing is a great way to borrow money at extremely low rates. With our housing markets stabilizing, and even growing in many U.S. markets now, experts are assuming the bottom has been reached and it’s all uphill going forward. Take advantage of rising values and borrow at record-low rates. Again, if you can’t find a cheaper way to borrow the money, a refinance is probably your best bet. It’s unlikely you’ll find a loan cheaper than with today’s mortgage rates (especially when you include the tax deduction). FHA and VA loans offer the largest cash-out refinance among our loan options.

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Would you like a FREE mortgage review? Contact us at (800) 447-3180

Keep Your Payment from Rising If you’re in an adjustable rate mortgage (ARM), you’re probably enjoying rates near 3% right now. Why would you ever refinance out of an ARM that’s dropped each adjustment period for the past several years? Good question, but the answer is clear. That ARM will probably rise eventually. And when that does, your payment will rise. And with fixed rates at such incredible lows, you can refinance into a 30-year, a 15-year or a YOURgage fixed loan and you won’t have to worry about your rate ever rising again. It’s just a little insurance against the future. Keep in mind, there’s nothing wrong with an ARM. You might be surprised to learn that many financially savvy folks have ARMs on their homes. The Quicken Loans CEO has an ARM. So does our president and CMO. Even our chief economist has an ARM, along with several of our regional vice presidents. You might have guessed that these folks know the mortgage business well, and they all chose an ARM to meet their financial goals. Like we said, there’s nothing wrong with an ARM. There’s also nothing wrong with refinancing out of an ARM while fixed rates are so low. Nothing wrong with that at all.

SO LET’S RECAP SOME REASONS YOU SHOULD REFINANCE TODAY: 1. You want to take advantage of historically low rates for a lower monthly payment

2. You want to pay off your mortgage faster to reduce interest and save big bucks

3. You want to consolidate debt you already have and refinance that debt at a much lower rate

4. You want to appear smart to your friends, and brag about your super-low mortgage rate

Whatever your reason, Quicken Loans has a solution and we’d love to help you reach your goals. Even if you think you can’t qualify for a refinance because your house is underwater or your credit is bruised, we might still be able to help. Right now there are programs, such as the FHA Streamline refinance or the HARP program, that allow people with no equity to take advantage of today’s rates. Get in touch with us to find out how we can help you.

It’s your money. Stop giving more of it away than you have to. Refinance before rates rise.

Now that’s smart!

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Would you like a FREE mortgage review? Contact us at (800) 447-3180

30-Year Fixed-Rate Mortgage: The payment on a $200,000 30-year Fixed-Rate Loan at 3.5% and 70% loan-to-value (LTV), FICO score of 740 or above with 0 points due at closing. The Annual Percentage Rate (APR) is 6.097%. Payment does not include taxes and insurance premiums. The actual payment amount will be greater. Some state and county maximum loan amount restrictions may apply. 30-Year Fixed-Rate Mortgage: The payment on a $200,000 30-year Fixed-Rate Loan at 6% and 70% loan-to-value (LTV), FICO score of 740 or above with 0 points due at closing. The Annual Percentage Rate (APR) is 6.097%. Payment does not include taxes and insurance premiums. The actual payment amount will be greater. Some state and county maximum loan amount restrictions may apply. 30-Year Fixed-Rate Mortgage: The payment on a $200,000 30-year Fixed-Rate Loan at 3.50% and 70% loan-to-value (LTV) is $898.09 with 1.375 points due at closing. The Annual Percentage Rate (APR) is 3.723%. Payment does not include taxes and insurance premiums. The actual payment amount will be greater. Some state and county maximum loan amount restrictions may apply. 23-Year Fixed-Rate Mortgage: The payment on a $200,000 23-year Fixed-Rate Loan at 3.375% and 70% loan-to-value (LTV) is $1042.89 with 2 points due at closing. The Annual Percentage Rate (APR) is 3.716%. Payment does not include taxes and insurance premiums. The actual pay- ment amount will be greater. Some state and county maximum loan amount restrictions may apply. 15-Year Fixed-Rate Mortgage: The payment on a $200,000 15-year Fixed-Rate Loan at 2.75% and 70% loan-to-value (LTV) is $1357.25 with 2 points due at closing. The Annual Percentage Rate (APR) is 3.239%. Payment does not include taxes and insurance premiums. The actual pay- ment amount will be greater. Some state and county maximum loan amount restrictions may apply. Licensed in all 50 states. State-specific license information: Arizona: Quicken Loans Inc., 16425 North Pima, Suite 200, Scottsdale, AZ 85260, Mortgage Banker License #BK-0902939; Arkansas: Quicken Loans Inc., 1050 Woodward Avenue, MI 48226-1906, (888) 474-0404; California: Licensed by Department of Corporations, CA Residential Mortgage Lending Act; Colorado: Quicken Loans Inc., NMLS #3030, (888) 474-0404, Regulated by the Division of Real Estate; Georgia: Residential Mortgage Licensee (#11704) – 1050 Woodward Avenue, Detroit MI 48226-1906; Illinois: Residential Mortgage Licensee #4127 – Department of Financial and Professional Regulation, 1050 Woodward Av- enue, Detroit, MI 48226-1906; Massachusetts: Quicken Loans Inc., Mortgage Lender License #ML-3030; Minnesota: not an offer for a rate lock agreement; Mississippi: Licensed by the Mississippi Department of Banking and Consumer Finance; New Hampshire: Licensed by the NH Banking Department, #6743MB; New Jersey: Licensed Mortgage Banker – NJ Department of Banking, first (and/or second) mortgages only; New York: Licensed Mortgage Banker – NYS Banking Department; Oregon: Quicken Loans Inc. – License # ML-1387; Pennsylvania: Licensed as a first Mortgage Banker by the Department of Banking and licensed pursuant to the Pennsylvania Secondary Act; Rhode Island: Licensed Lender; Texas: Quicken Loans Inc., 1050 Woodward Ave, Detroit, MI 48226; Virginia: Licensed by Virginia State Corporation Commission, License # MC-1738. Quicken Loans Nationwide Mortgage Licensing System #3030. Restrictions may apply. Equal Housing Lender. © 2000–2012 Quicken Loans Inc., All rights reserved. Lending services provided by Quicken Loans Inc., a subsidiary of Rock Holdings Inc. “Quick- en Loans” is a registered service mark of Inc., used under license.

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