Nook | We're Making Home Loans Simple

Login
  • Home Loans

    We will get you the right home loan from the right bank, faster. Welcome to the future of home loans.

    Get Pre-Qualified

    Find out if you qualify for a home loan from in just 3 minutes.

    Start Loan Application

    The journey to your new home begins here. Start now.

    Book Consultation Call

    Get expert advices from our home loan consultants for free.

    Mortgage Brokering

    We help you with your home loan transaction at no cost to you.

    Cashback

    We'll share some of our commission to you when you get approved.

    Home Loan Types

    Know which type of housing loan you need to manage your finances.

    Loan Calculators

    Check your financial capacity now.

  • Partners

    Join the many who made the best decision in providing their clients with the best home loan journey available in the country.

    Banking Partners

    Some of the biggest banks in the Philippines with the goal of making home loans simple.

    Retail Partners

    Get discounts and exclusive deals during your home loan journey from these retail shops.

    Affiliate Program

    Refer your friends and family to become an affiliate and receive commission plus discounts for every successful referrals.

    Nook Home Loans - Affiliate Army
  • Latest News

    Featured Posts

    Nook Welcomes Robinsons Bank and Maybank as Official Partners

    Recent Posts

  • About

    Know more about the Philippines' first mortgage broker, how we do it and why only we can do it.

    Nook App

    Transact faster with your Nook home loan consultant.

    Our Process

    We’ll take you through our four simple steps.

    About Us

    Why we are the first and the only mortgage broker in the country.

    Careers

    Join the Mortgage Brokering Industry Pioneer, Nook.

    Contact Us

    Chat to us now and talk to a Live Agent.

    Help Center

    Browse our library of articles with helpful information.

Home Loan Refinance

We’ll break down the pros and cons of refinancing you home loan and help you determine whether this is the best option for you. right now.

Home Loan Refinance

We’ll break down the pros and cons of refinancing and help you determine whether this is the best option for you.

What is Refinancing?

Besides allowing borrowers to purchase or construct their dream home, there are also a variety of uses for a home loan that you may not be aware of.

One example of this would be refinancing. Refinancing refers to the process of replacing your existing loan with a new one

A home loan refinance typically gives the borrower a lower interest rate, a shorter loan term and maybe even some extra cash in their pocket.

What is Refinancing?

Besides allowing borrowers to purchase or construct their dream home, there are also a variety of uses for a home loan that you may not be aware of.

One example of this would be refinancing. Refinancing refers to the process of replacing your existing loan with a new one

A home loan refinance typically gives the borrower a lower interest rate, a shorter loan term and maybe even some extra cash in their pocket.

SUPER SIMPLE

How to Refinance a Housing Loan

Here are seven (7) steps to succeed with a housing loan refinancing process.

Decide on Your Purpose of Refinance
Do you want a lower housing loan interest rate? Can you afford a higher monthly repayment amount and shorter housing loan term? Are you ready to borrow from your home equity?
1
Assess Your Financial Health
Every bank will assess your ‘credit score’. You can find out your credit score online through various website services.
2
Assess Your Budget
Budget enough cash reserves to cover your refinance costs, which can range from 2% to 3% of your loan amount. (But speak with a Nook expert about which banks will include the switching costs in the loanable amount so you have no out of pocket expenses).
3
Approximate Your Home’s Value
Check out the websites of Nook’s partners - Lamudi and Carousell - to get a feel for the prices of other similar properties in your area. If your property has increased in value, you might be able to lend extra money to spend on personal items, a holiday, a car, or more.
4
Shop Around Carefully
Nook can help you understand the housing loan market and help you decide on which home loan refinance product suits your current situation best.
5
Lock in Your Housing Loan Rate
Once you have decided on your preferred bank, get Nook to lock in your housing loan interest rate for your desired period (eg. 1, 3 or 5 years).
6
Complete Your Refinance With Nook
Work with Nook to finalize your refinance, submit any paperwork via the Nook app and get ready to enjoy more financial freedom.
7
SUPER SIMPLE

How to Refinance a Housing Loan

Here are seven (7) steps to succeed with a housing loan refinancing process:

Decide on Your Purpose of Refinancing
Do you want a lower housing loan interest rate? Can you afford a higher monthly repayment amount and shorter housing loan term? Are you ready to borrow from your home equity?
1
Assess Your Financial Health
Every bank will assess your ‘credit score’. You can find out your credit score online through various website services.
2
Assess Your Budget
Budget enough cash reserves to cover your refinance costs, which can range from 2% to 3% of your loan amount. (But speak with a Nook expert about which banks will include the switching costs in the loanable amount so you have no out of pocket expenses).
3
Approximate Your Home’s Value
Check out the websites of Nook’s partners - Lamudi and Carousell - to get a feel for the prices of other similar properties in your area. If your property has increased in value, you might be able to lend extra money to spend on personal items, a holiday, a car, or more.
4
Shop Around Carefully
Nook can help you understand the housing loan market and help you decide on which home loan product suits your current situation best.
5
Lock in Your Housing Loan Rate
Once you have decided on your preferred bank, get Nook to lock in your housing loan interest rate for your desired period (eg. 1, 3 or 5 years).
6
Complete Your Refinance With Nook
Work with Nook to finalize your refinance, submit any paperwork via the Nook app and get ready to enjoy more financial freedom.
7
THE NOOK WAY

How Can I Apply for Refinancing?

Borrowers can apply directly to the bank and endure the stressful process by themselves or ask Nook for help.

Refinancing still requires a lot of documents to be submitted to the bank. But with Nook, we’ll take care of the entire application process for you. Through Nook, you can skip the long lines at the bank and receive updates from our home loan experts virtually. Best of all, Nook’s services are completely free for all our clients.

When it comes to refinancing, it all boils down to whether this option can help you save more money and ease the burden of your monthly payments. Check whether you qualify for refinancing by clicking the button below.

THE NOOK WAY

How Can I Apply for Refinancing?

Borrowers can apply directly to the bank and endure the stressful process by themselves or ask Nook for help.

Refinancing still requires a lot of documents to be submitted to the bank. But with Nook, we’ll take care of the entire application process for you. Through Nook, you can skip the long lines at the bank and receive updates from our home loan experts virtually. Best of all, Nook’s services are completely free for all our clients.

When it comes to refinancing, it all boils down to whether this option can help you save more money and ease the burden of your monthly payments. When it comes to refinancing, it all boils down to whether this option can help you save more money and ease the burden of your monthly payments. Check whether you qualify for refinancing by clicking the button below.

What Are the Requirements for Refinancing?

While banks have their own set of unique requirements, in general, borrowers will be asked to submit the following documents:

These are the following:
Housing loan application form (completely filled out)
Government Issued IDs
Marriage Certificate (if married)
Income documents (Certificate of Employment, Income Tax Returns, etc. )
Get Nook to help you with all of the above plus more (for free).
Refinancing Requirements v2a

What Are the Requirements for Refinancing?

While banks have their own set of unique requirements, in general, borrowers will be asked to submit the following documents:

These are the following:
Housing loan application form (completely filled out)
Government Issued IDs
Marriage Certificate (if married)
Income documents (Certificate of Employment, Income Tax Returns, etc. )
Get Nook to help you with all of the above plus more (for free).
Refinancing Requirements v2a
PERFECT TIMING IS THE KEY

When Should You Wait Before Refinancing?

Refinancing your housing loan doesn’t always make sense in every situation. This is especially true if, for example, you plan to move within the next few years. Here are some common scenarios when refinancing may not be the best idea.

PERFECT TIMING IS THE KEY

When Should You Wait Before Refinancing?

Refinancing your housing loan doesn’t always make sense in every situation. This is especially true if, for example, you plan to move within the next few years. Here are some common scenarios when refinancing may not be the best idea.

You’re selling your home soon

If you won’t stay living in your home long enough to recover your refinance bank fees, you could end up losing money rather than saving some.

You have almost paid off your existing home loan

If you’re in the final stages of paying off your housing loan, starting over with a new, long-term home loan means you may end up paying more in interest.

You face a prepayment penalty with the existing loan

Some banks will charge you a fee if you pay off your home loan during the first few years of borrowing. This is known as a prepayment penalty. Your new loan pays off your old home loan when you refinance, so if that does trigger a penalty, you’ll need to calculate if the penalty will be financially worth it in the end.

You need to focus on other financial goals

If the money you have set aside to refinance your housing could be used to pay down high interest debt (for example credit cards), consider prioritizing those financial commitments first before considering home loan refinancing.

MORE FLEXIBLE TERMS

Benefits of Home Loan Refinancing

Alter Home Loan Terms

Through refinancing, you can avail of a new home loan with a new set of terms. For example, you may want to shorten or extend your home loan period depending on your current financial situation.

Given the financial constraints brought about by the pandemic, some borrowers may have to prioritize other immediate necessities. In this situation, if you are having difficulties paying your amortization fee for 10 years, you have the option to refinance it and lengthen your term to, say, 15 or 20 years. This will reduce your monthly repayment amount.

Nook-Refinancing_Alter Home Loan Terms
Nook-Refinancing_Change Interest Type

Change the Interest Rate Type

When you refinance a loan, it is possible to shift from an adjustable interest rate (also called a variable rate or floating rate) to a fixed rate. Refinancing gives you the flexibility to explore different types of home loans and select one that best suits your needs at the moment.

Access Lower Interest Rates

However, refinancing is most commonly used when borrowers want to borrow money at a current interest rate that is lower than the one in their original loan. Having access to a reduced interest rate can save you a significant amount of money over the duration of the loan.

Nook-Refinancing_Access Lower Interest Rates
MORE FLEXIBLE TERMS

Benefits of Home Loan Refinancing

Alter Home Loan Terms

Through refinancing, you can avail of a new home loan with a new set of terms. For example, you may want to shorten or extend your home loan period depending on your current financial situation.

Given the financial constraints brought about by the pandemic, some borrowers may have to prioritize other immediate necessities. In this situation, if you are having difficulties paying your amortization fee for 10 years, you have the option to refinance it and lengthen your term to, say, 15 or 20 years. This will reduce your monthly repayment amount.

Nook-Refinancing_Alter Home Loan Terms

Change the Interest Rate Type

When you refinance a loan, it is possible to shift from an adjustable interest rate (also called a variable rate or floating rate) to a fixed rate. Refinancing gives you the flexibility to explore different types of home loans and select one that best suits your needs at the moment.

Nook-Refinancing_Change Interest Type

Access Lower Interest Rates

However, refinancing is most commonly used when borrowers want to borrow money at a current interest rate that is lower than the one in their original loan. Having access to a reduced interest rate can save you a significant amount of money over the duration of the loan.

Nook-Refinancing_Access Lower Interest Rates
TAKE NOTE OF THESE
TAKE NOTE OF THESE

Disadvantages of Refinancing

1. Minimal Savings

When done correctly, refinancing can help a client save money. However, when done without comparing the rates and knowing the upfront fees, there is no absolute assurance that refinancing your property will save you money.

Although lower interest rates may be quite appealing, it is important to assess your financial capabilities as well. Sometimes, refinancing your home loan involves shouldering additional costs on the borrower’s end upfront. If you are able to pay the fees without taking another loan, then refinancing is something that you can explore.

1. Minimal Savings

When done correctly, refinancing can help a client save money. However, when done without comparing the rates and knowing the upfront fees, there is no absolute assurance that refinancing your property will save you money.

Although lower interest rates may be quite appealing, it is important to assess your financial capabilities as well. Sometimes, refinancing your home loan involves shouldering additional costs on the borrower’s end upfront. If you are able to pay the fees without taking another loan, then refinancing is something that you can explore.

2. Appraisal Fees

One of the upfront fees required in refinancing is the appraisal fee. An appraisal fee is used to employ a licensed professional to determine the value of a property. Because the home acts as collateral for the loan, banks want to guarantee you’re not overborrowing. In the event that a borrower is not able to repay their loan, the bank will sell the property to earn back the money it lent.

Since you’ll be applying for a new home loan, banks may require you to have your property appraised once again. In the Philippines, appraisal fees may cost around Php 3,500 to Php 7,000 depending on the location of your property (however, this is a small amount compared to the savings of a properly considered refinancing).

2. Appraisal Fees

One of the upfront fees required in refinancing is the appraisal fee. An appraisal fee is used to employ a licensed professional to determine the value of a property. Because the home acts as collateral for the loan, banks want to guarantee you’re not overborrowing. In the event that a borrower is not able to repay their loan, the bank will sell the property to earn back the money it lent.

Since you’ll be applying for a new home loan, banks may require you to have your property appraised once again. In the Philippines, appraisal fees may cost around Php 3,500 to Php 7,000 depending on the location of your property (however, this is a small amount compared to the savings of a properly considered refinancing).

3. Long Processing Time

The refinancing process may take longer than expected. However, if you’ve been a good payer in your existing mortgage, then you’re almost always assured of an approval at the fastest possible time.

3. Long Processing Time

The refinancing process may take longer than expected. However, if you’ve been a good payer in your existing mortgage, then you’re almost always assured of an approval at the fastest possible time.

If you’re still unsure about whether to proceed with refinancing your home loan, schedule a free consultation with our home loan experts where you can ask any and all questions you have in mind! Or, if you’ve already done your research, you can use Nook's refinancing calculator.

If you’re still unsure about whether to proceed with refinancing your home loan, schedule a free consultation with our home loan experts where you can ask any and all questions you have in mind! Or, if you’ve already done your research, you can use Nook's refinancing calculator.

ENJOY THE BENEFITS

Is Home Loan Refinancing Worth It?

There are several things to consider before you decide whether refinancing your home loan makes sense for you and your financial situation.

If you bought your home during a time of higher-interest-rates, or if your interest rate has climbed higher since the fixing period expired, now could be a good time to consider refinancing your home loan.

Check out our home loan refinance calculator which can help you work out the numbers very easily and help you decide if the time is right.

When you’re ready to move forward, work with a Nook Home Loan Consultant who can look at your financial goals and identify exactly how you’ll benefit from refinancing. Our Nook experts can discuss your options and find your best home loan terms.

ENJOY ITS BENEFITS

Is Home Loan Refinancing Worth It?

There are several things to consider before you decide whether refinancing your home loan makes sense for you and your financial situation.

If you bought your home during a time of higher-interest-rates, or if your interest rate has climbed higher since the fixing period expired, now could be a good time to consider refinancing your home loan.

Check out our home loan refinance calculator which can help you work out the numbers very easily and help you decide if the time is right.

When you’re ready to move forward, work with a Nook Home Loan Consultant who can look at your financial goals and identify exactly how you’ll benefit from refinancing. Our Nook experts can discuss your options and find your best home loan terms.

MORE FROM YOUR LOAN

What Is A Cash-Out Refinance?

As your home loan matures, you build up equity in your home.
Equity refers to the amount of a property’s value that you’ve paid off and now own.

MORE FROM YOUR LOAN

What Is A Cash-Out Refinance?

As your home loan matures, you build up equity in your home.
Equity refers to the amount of a property’s value that you’ve paid off and now own.

You can gain equity in a property in two (2) ways:
Your home increases in value.
You pay down the principal amount of your housing loan. Every time you make a monthly repayment on your housing loan, you gain a little bit more equity in your home.
You can gain equity in a property in two (2) ways:
Your home increases in value.
You pay down the principal amount of your housing loan. Every time you make a monthly repayment on your housing loan, you gain a little bit more equity in your home.

A cash-out refinance (also called Loan Take Out / Refinancing) is a type of home loan refinance that allows you to take advantage of the equity you’ve built in your home. It allows you to move your home loan to a new bank and also gives you extra cash in exchange for taking on a larger home loan.

In other words, with a cash-out refinance, you borrow more money than your current home loan balance and keep the difference to spend how you like.

A cash-out refinance doesn’t add another monthly payment to your list of bills – the new home loan lender will pay off your current home loan and replace it with a new home loan - usually with a lower interest rate.

Let’s say, for example, that you bought a home for Php 2,000,000 and you’ve paid off Php 600,000. This means you now owe Php 1,400,000 on your home loan. Let’s also say that you want to make Php 200,000 worth of renovations.

With a cash-out refinance, you take some of your equity and then add what you’ve taken out on your new home loan. This means your new mortgage would be worth Php 1,600,000 – the original Php 1,400,000 you owed on the home plus the Php 200,000 you wanted for renovations.

When you get a cash-out refinance, you can do what you want with the equity portion of the money. You can buy a car, pay off more expensive debts, or cover an unexpected medical bill.

Cash-out refinancing gives you access to lower interest rates than credit cards otherwise would have so it’s up to you to work out where it’s best spent.

A cash-out refinance (also called Loan Take Out / Refinancing) is a type of home loan refinance that allows you to take advantage of the equity you’ve built in your home. It allows you to move your home loan to a new bank and also gives you extra cash in exchange for taking on a larger home loan.

In other words, with a cash-out refinance, you borrow more money than your current home loan balance and keep the difference to spend how you like.

A cash-out refinance doesn’t add another monthly payment to your list of bills – the new home loan lender will pay off your current home loan and replace it with a new home loan - usually with a lower interest rate.

Let’s say, for example, that you bought a home for Php 2,000,000 and you’ve paid off Php 600,000. This means you now owe Php 1,400,000 on your home loan. Let’s also say that you want to make Php 200,000 worth of renovations.

With a cash-out refinance, you take some of your equity and then add what you’ve taken out on your new home loan. This means your new mortgage would be worth Php 1,600,000 – the original Php 1,400,000 you owed on the home plus the Php 200,000 you wanted for renovations.

When you get a cash-out refinance, you can do what you want with the equity portion of the money. You can buy a car, pay off more expensive debts, or cover an unexpected medical bill.

Cash-out refinancing gives you access to lower interest rates than credit cards otherwise would have so it’s up to you to work out where it’s best spent.