New year, new financial goals. If one of the things on your list for 2026 is to reevaluate and get your finances in order, you may want to consider refinancing your home. Maybe you’re wanting to consolidate some debt or put more money aside for the future. Refinancing can give you a little extra cash flow to use towards your other financial goals.

If your holiday spending has finally caught up to you, you may be already looking for ways to recuperate your losses. And as tax season approaches, it’s a great time to look at your overall budget and plan for the year ahead. Here are some different types of refinances to consider. A Rate-and-Term Refinance to lower your rate or change the term/loan type for savings. A Cash-Out Refinance taps into your home equity for cash, increasing loan size. FHA, VA, or USDA Streamlines offer easier refinances for existing, qualifying loans. Shortening of the loan term, such as a 15-year from a 30-year, can also be a great refinancing option if your budget allows it. This looks like making extra principal payments with each monthly payment or in lump sums, or by making bi-weekly payments.

When deciding if a refinance is right for you at this time, you’ll want to evaluate a few things first. Start by comparing your current mortgage rate to available rates. Then you’ll want to consider what position your home equity is in. It’s also important to reevaluate your financial standing and what changes may be coming up (ie. raises, bonuses, job changes). Make sure to check for any credit score improvements or issues. Also consider your break-even point: how long it takes to recover closing costs. And a final major consideration would be how long you plan to stay in the home.

Below is a step-by-step guide to help you through your refinancing process.

  1. Determine your goal (lower payment, cash-out, shorten term).
  2. Review current mortgage terms.
  3. Check your credit and financial readiness.
  4. Connect with a loan officer for rate quotes or scenarios.
  5. Submit an application.
  6. Appraisal (if needed).
  7. Underwriting + documentation.
  8. Rate lock + closing timeline.

If you feel like refinancing is the right move for you this year, get connected with a trusted loan officer in your area to see what refinancing options make sense for your goals in 2026.