Best mortgage refinance lenders right of January 2026

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Updated 16 min read

As interest rates creep lower, mortgage refinance applications are on the rise. Whether you’re looking to fund home improvements, pay off high-interest credit card debt, or trade in your current higher-interest-rate mortgage for a new, lower-rate loan, these lenders are among the country’s best home loan refinance providers.

Why Rocket Mortgage refinancing stands out: Rocket Mortgage is the leading retail refinance lender by dollar volume, with three-quarters of its refi business attributed to conventional loans.

Rocket Mortgage refinance details

Availability: All 50 states and Washington, D.C.
Types of mortgage loans: Conventional, FHA, VA, and jumbo; rate-and-term, adjustable-rate, cash-out, and FHA and VA (IRRRL) streamline refinances
Minimum credit scores: 620 for conventional, 580 for FHA, and 580 for VA loans

A refinance calculator tells you how much you might save each month, though details of how the calculation is derived aren’t provided.
A free mortgage review “takes about three minutes” and suggests refinance options.
Ranks above average in customer satisfaction, according J.D. Power.

Sample refinance rates are lowered with additional fees in the form of 1.5 to 2.0 discount points.
Rocket Mortgage charged borrowers significantly higher-than-median loan fees in 2024.

Read our complete Rocket Mortgage review.

Why Bank of America mortgage refinancing stands out: Bank of America caters to owners of high-value homes, with a median loan refinance amount of $815,000 in 2024.

Bank of America mortgage refinance details

Availability: All 50 states and Washington, D.C.
Types of mortgage loans: Conventional, FHA, VA, and jumbo; rate-and-term, adjustable-rate, and cash-out refinances
Minimum credit scores: “We don’t publish minimum credit scores,” Susan Atran, senior vice president of Bank of America, told Yahoo Finance via email

You can enter your address in BofA’s Real Estate Center and get an idea of how much your home is worth with a map of comparable sales and a value history chart. That’s important information to have when considering a refinance.
Bank of America existing customers may qualify for interest rate or origination fee discounts.
Bank of America is highly rated for customer satisfaction by J.D. Power.

Cons

Sample mortgage rates cannot be customized by credit score and are based on a FICO score of 740 or higher.
FHA and VA refinancing are available only to existing Bank of America mortgage clients.

Try these 6 tips for picking a mortgage lender.

Why Truist mortgage refinancing stands out: Truist offers cash-out refinancing on the most popular loans, including conforming and jumbo conventional loans, as well as FHA and VA mortgages.

Truist Bank mortgage refinance details

Availability: 17 states and Washington, D.C.
Types of mortgage loans: Conventional, FHA, VA, and jumbo; rate-and-term, adjustable-rate, and cash-out refinances
Minimum credit scores: 620

Truist offers sample mortgage refinance rates with one or zero discount points. That helps you make a decision on whether buying points makes sense for you.
Offers refinancing for conventional, VA, and FHA loans.

Cons

Unfortunately, as much as we like Truist’s sample mortgage rates shown with or without discount points, rate assumptions do not allow you to adjust the credit score range or other variables.
Truist only offers cash-out refinancing in some U.S. states.
Has a well-below-average score for customer satisfaction, according to the 2025 J.D. Power Mortgage Origination Satisfaction Study.

Why Citibank mortgage refinancing stands out: In the search for low mortgage rates, Citibank delivers, according to Yahoo Finance analysis of 2024 Home Mortgage Disclosure Act data.

Citibank mortgage refinance details

Availability: All 50 states and Washington, D.C.
Types of mortgage loans: Conventional, FHA, VA, and jumbo; rate-and-term, adjustable-rate, and cash-out refinances
Minimum credit scores: A Citi representative told Yahoo Finance they don’t provide minimum credit scores.

The bank offered lower-than-median loan costs to borrowers in 2024, according to federal data.
Citibank scored No. 1 for all lenders in customer satisfaction, according to J.D. Power.
Citi offers $500 off closing costs (mention code 10818) and discounts to existing Citibank customers.

Sample rates don’t disclose the credit score required, only “excellent credit,” which is often considered to be a score of 800 or above, according to Equifax.
Sample rates are lowered by up to one discount point.

Why Fifth Third mortgage refinancing stands out: Although it serves fewer than a dozen states, Fifth Third Bank mortgages impress with low loan costs, according to a Yahoo Finance analysis.

Fifth Third mortgage refinance details

Availability: Alabama, Florida, Georgia, Illinois, Indiana, Kentucky, Michigan, North Carolina, Ohio, South Carolina, Tennessee, and West Virginia
Types of mortgage loans: Conventional, FHA, and jumbo; rate-and-term, adjustable-rate, cash-out, and VA IRRRL
Minimum credit scores: “Fifth Third considers a range of factors when evaluating refinancing applications, including credit history, and we don’t disclose specific minimum credit score requirements,” a Fifth Third Bank representative told Yahoo Finance.

Fifth Third Bank offered below-median loan costs in 2024, according to our analysis of HMDA data.
Customers can earn a refinancing rate discount by using autopay.
The Rate Drop Protector Program waives lender fees on a future refi if mortgage rates drop after you refinance.

Fifth Third only serves borrowers in Alabama, Florida, Georgia, Illinois, Indiana, Kentucky, Michigan, North Carolina, Ohio, South Carolina, Tennessee, and West Virginia.

Discover how to get a low-cost mortgage refinance.

Why Pennymac mortgage refinancing stands out: Pennymac specializes in refinancing government-backed mortgages, such as FHA loans. Nearly 30% of its business in 2024 was dedicated to FHA refinancing.

Pennymac mortgage refinance details

Availability: All 50 states and Washington, D.C.
Types of mortgage loans: Conventional, FHA, VA, USDA, and jumbo; rate-and-term, adjustable-rate, cash-out, FHA Streamline refinance, and VA IRRRL
Minimum credit scores: 620 for conventional; 580 for FHA, VA, and USDA loans

Refinance rates are shown after a quick custom calculation, based on your property value, outstanding balance, cash-out request, ZIP code, and credit score range.
Flexible-term refinancing allows you to choose your payoff date.
Pennymac offered lower-than-median mortgage rates to borrowers in 2024.

While interest rates were lower, Pennymac charged much higher-than-average loan costs in 2024.

Why Veterans United mortgage refinancing stands out: Veterans United is, by far, the highest-volume VA loan originator in the nation, and nearly all (99%) of its refinance business in 2024 was VA loans.

Veterans United mortgage refinance details

Availability: All 50 states and Washington, D.C.
Types of mortgage loans: VA and conventional loans; rate-and-term, cash-out, and VA IRRRL
Minimum credit scores: 620

Veterans United offers all VA refinance options, including cash-out, IRRRL, and jumbo.
Catering to its worldwide military clientele, Veterans United provides 24/7 customer service.
Veterans United has a high customer satisfaction score, as measured by J.D. Power.

It does not offer adjustable-rate mortgages.
Veterans United’s sample rates include up to 1.625 discount points.

Read our complete Veterans United mortgage review.

Why CMG Financial mortgage refinancing stands out: Of all of the government-backed loan programs, USDA mortgages are unique in that they cater to borrowers looking to refinance rural properties. Yahoo Finance has chosen CMG Financial as one of the best USDA lenders available.

CMG Financial mortgage refinance details

Availability: All 50 states and Washington, D.C.
Types of mortgage loans: Conventional, FHA, VA, USDA, and jumbo loans; rate-and-term, adjustable-rate, cash-out, and VA IRRRL
Minimum credit scores: 620

CMG Financial offers a helpful online guide that walks you through the why and how of a refinance.
A refinance calculator provides both basic and advanced views of refinance scenarios, along with a mortgage amortization option.
There is typically no minimum home equity requirement to refinance a USDA loan.

CMG doesn’t offer sample mortgage rates without a preapproval application, which results in a hard credit pull that will likely impact your credit score.
The lender ranks below average in customer satisfaction, according to J.D. Power.

When you think it’s a good time for a mortgage refinance, here are the steps you’ll take:

Check your credit score and get your finances in the best shape possible.
Decide which type of refinance will serve you best.
Compare mortgage lenders to find your best refinance offer.
Decide if you want to lock in your mortgage rate.
Order an appraisal.
Close on the new loan.

As we’ve mentioned, there are several mortgage refinancing options. Let’s take a quick look at the different types of refis.

The rate-and-term refinance is the core refinance loan — the one most people think of first. You replace your current mortgage with a new one that has a lower interest rate and perhaps a different repayment term length.

The term (the length of time you wish to pay on the loan) is a choice you make when you structure your new loan. It can be shorter, longer, or the same as the payoff period of your existing mortgage.

Two things happen as you live in a house for a while: You pay down the balance you owe, called the principal, and the value of your house (usually) grows. That means you’ll have equity in your house. Typically, you can’t access that value until you sell your home unless you get a second mortgage for a home equity loan or line of credit — or a cash-out refinance.

With a cash-out refi, you take some of the value of your home out in cash and add it back to your loan balance.

Dig deeper:

Government loans offer simpler forms of refinancing that take less time and have fewer paperwork hurdles to clear. Called streamline refinances, they are available to homeowners with FHA, VA, or USDA mortgages.

Dig deeper:

Refinancing a loan is no small expense. If you don’t have some cash set aside for the closing costs, you may want to look into a no-closing-cost refinance.

The name of the loan is a little misleading, though. “No closing cost” is not accurate. There are the usual lender and third-party fees that come with a refinance, but you don’t pay them up-front. Instead, the expenses are added to your loan balance or baked into a higher interest rate.

Here’s a refi spin you may not be familiar with: a cash-in refinance. It’s exactly what it sounds like, but you may wonder why it’s a thing.

How it works: You take a lump sum of cash, apply it to the loan principal as a down payment, and, in effect, shrink your mortgage. As a result, your new loan is likely to have a lower interest rate. You might even pay the loan off earlier and save even more interest. It can be an interesting option to explore if you’ve come into some cash and are looking for ways to put it to good use.

Another specialized refi product is the short refinance. It’s an emergency financial maneuver when you are so late on your mortgage payments that you are at risk of foreclosure.

If you can convince your lender that you can make the payments on a restructured refinance, the lender agrees to a new loan for less than the original mortgage. There are credit history and tax consequences to consider, but if you’re in a default danger zone, it may be a worthy resolution.

Of the seven home refinance options, this may be the most innovative, particularly for seniors looking for a boost in financial security. For homeowners aged 62 and over who own their house or have it nearly paid off, a reverse mortgage generates an on-demand lump sum of cash or an income stream.

You still own the home, but don’t make payments on the amount of equity withdrawn. Interest and fees accumulate over time as equity in the house is reduced. The loan balance is due when you no longer live there and is usually paid from the proceeds of a sale. In the meantime, there are closing costs, tax payments, and insurance premiums to pay. A reverse mortgage is a complicated transaction and requires careful consideration.

The longer you live in a home, the more you may think about refinancing. It can be a tempting proposition. It is also a wealth-building move, if done for the right reasons.

Here are the main pros and cons of refinancing a mortgage:

The potential to lower your interest rate
The possibility of lowering your monthly payment
The ability to pull cash out of your home’s value
The opportunity to pay off your house sooner

Lender and third-party fees that are included in the closing costs
Paying more interest over the life of the loan if you extend the mortgage term
The risk of adding to your debt load

Sometimes it makes sense to refinance your home loan, and sometimes it doesn’t. If you can improve your financial situation, a home loan refinance is a good idea. Hopefully, it’s a long-term improvement.

The most obvious good reason to refi is when interest rates fall enough to make the cost of a refinance worthwhile. However, even that is not a smart money decision if you move before you break even on the closing costs.

Regardless of the reason you’re considering a mortgage refinance, it has to pass a math test. When you weigh the costs versus the benefits from a bottom-line numbers analysis, you’ll know when it makes sense to fire up a new mortgage.

It absolutely can be a good time to refinance your home. Mortgage rates are moving lower. As of Q2 2025 — the most up-to-date data as of publication — Americans had $35.7 trillion in home equity, according to the Federal Reserve.

There are many reasons for refinancing, as we’ve noted above. It’s just a matter of knowing your financial objective and setting the proper targets for the timing.

Mortgage refinance rates are often a little higher than purchase rates (though that isn’t always the case). You might actually snag a better refinance rate if your finances have improved since you bought the home or if market rates are lower overall. You can refinance with the same mortgage lender, but applying for preapproval with three or four companies will help you compare offers and find the best rate possible.

You might think it would be a lot faster than getting the original mortgage, right? Not so much. You can count on four to six weeks from application to closing.

The waiting period for getting a refinance after buying a house, often referred to as a seasoning requirement, varies according to the type of mortgage you have. For the most common mortgages, called conventional loans, there is no seasoning rule.

For government loans, the waiting period can be from 210 days to a year. One complication: Lenders can have their own conditions that may impact the refinancing timeline.

If you can qualify through a lender and comply with any applicable waiting periods noted here, you can refinance as many times as you like.

Refinancing a mortgage can improve your financial standing over time. But what if you have a bad credit score? You want to improve your credit but think you can’t qualify for a refi. We’ve got good news: Some refinance programs, particularly for government loans, are designed to improve your creditworthiness and have very lenient borrowing standards.

If you have an FHA, VA, or USDA loan, talk to an approved mortgage lender and determine your options. Streamline refinances for these loans might be just what you’re looking for.

Conventional loans also have refinance programs for borrowers who are financially fragile. Talk to a lender or two to talk about the possibilities for refinancing your mortgage with poor credit.

It’s a bit ironic that using credit can mean your credit score takes a short-term hit. It’s one of the mysteries of the FICO game we play. The key is “short-term.” Whenever you have credit inquiries or open a new account, your score can be negatively impacted by a minor amount. So, yes, refinancing will briefly ding your credit score.

However, you are replacing your old mortgage with a new one. So, the former loan will register as paid off soon enough. Know the ins and outs of credit score ups and downs so that you aren’t surprised.

The best lender to refinance your mortgage is the one that offers the most favorable loan deal. Sure, you’ll want to give your current lender a crack at the repeat business, but shopping a couple of other home loan providers helps you find the best combination of low fees and an affordable interest rate.

The “bank versus mortgage company” debate is a tricky one to pin down, because it depends on your needs and financial situation. If your current lender — whether it be a bank or mortgage company — offers considerable perks for using them again for a refinance, they might be the best fit. Otherwise, you should consider which type of mortgage you want to refinance into, then compare deals among three or four lenders. Try mixing both banks and mortgage-specific companies into your shopping.

Refinance mortgage rates are already starting to move generally lower. Preceding both of the Federal Reserve’s interest rate cuts this year, mortgage rates began trending lower. However, rates make incremental moves in either direction every day. And it’s important to remember that headline mortgage rates are often for home purchases. Refinance rates are usually a bit higher.

Yahoo Finance assesses mortgage lender interest rates using the latest available Home Mortgage Disclosure Act (HMDA) data. Of the finalists in our Best Mortgage Refinance Lenders list, Bank of America, Pennymac, and Citibank mortgage had the lowest median interest rates.

To choose a lender for refinancing your mortgage, apply for prequalification or preapproval with several lenders at once. Compare their interest rates and fees to see which offers you the best combination of the two.

Yahoo Finance reviews mortgage lenders based on five primary considerations: 1) Interest rates. Using 2024 Home Mortgage Disclosure Act data from almost 5,000 mortgage companies, we analyze mortgage lenders based on issued mortgage rates below or above the annual median of reporting lenders. 2) Affordability. A measure of loan product availability and the willingness of a lender to offer government-backed loans, low down payments, down payment assistance, and consideration of nontraditional credit. 3) Loan costs. HMDA data is again analyzed, and total loan costs are compared to the annual median. 4) Rate transparency. The ability of a website user to obtain a mortgage interest rate estimate. We also consider whether rates are enhanced with discount points or high credit score requirements, disclaimers revealing rate assumptions, sample advertised rates, and whether adjustable or no discount point rate estimates are available. 5) Online features. An analysis of the educational material, calculators, and additional resources available to users.

Advertisers or sponsorships do not influence ratings.

Editorial disclosure for mortgages:

The information in this article has not been reviewed or approved by any advertiser. The details on financial products, including interest rates and fees, are accurate as of the publish date. All products or services are presented without warranty. Check the lender’s website for the most current information. This site doesn’t include all currently available offers.

Laura Grace Tarpley edited this article.