How soon can a new house be refinanced?

Asked by Abhijith Prabhudev, Milpitas, CA Mon Aug 19, 2013

We bought a new house and want to know how soon we can get it refinanced? The answer to this question helps us understand if we should go with seller approved lender, utilize $5000 closing cost and then immediately refinance or just go outside with better rates and loose $5000 closing cost credit. Thanks in advance for your advice and time.

Help the community by answering this question:

+ web reference
Web reference:


Ruth and Per…, Agent, Los Gatos, CA
Tue Dec 16, 2014
Generally, you can start right after you close provided you have a No pre payment penalty.

Best regards
P Mistry
1 vote
Ali Qureshi, Agent, Pleasanton, CA
Thu Nov 20, 2014
You can refinance anytime.
1 vote
Jasbir Gujral, Mortgage Broker Or Lender, Pleasanton, CA
Wed Sep 4, 2013
Yes you can refinance any time if you have no prepayment penalty. Compare rates what preferred lender is giving you with other Brokers/ Lenders. If you think you think preferred lender is giving you good deal compare to others than go for it. I would like to get more details on this loan to give you intelligent answer. My phone lines are open for free consultation.
1 vote
This is a big relief for me. I have been wondering the same issue and was a little worried that I would be penalized for trying to refinance too early. My home is still under construction, but I wanted to make sure if there was a specific time limit you have to wait or not.

Zach |
Flag Thu Nov 20, 2014
Jennifer Str…, Home Buyer, Milpitas, CA
Mon Aug 19, 2013
you should calculate how much will the rate you can get from outside lender save you. If the amount is bigger than $5000, get outside lender; otherwise take the $5000. Most buyers like to take the $5000.
1 vote
Tina Lam, Agent, San Jose, CA
Mon Aug 19, 2013
You'll need to review the loan terms to know when a refinance is possible. Ask your Realtor for help.

As for trying to squeeze out an extra $5K by using the preferred lender and then going around them later, that's most likely a moot point if you're buying a new construction.
Web Reference:
1 vote
Sam Shueh, , San Jose, CA
Sat Dec 6, 2014
no requirement. Some start the process after moved in.
0 votes
Jay Taylor, , Santa Ana, CA
Tue Aug 12, 2014
Hi Abhijith Prabhudev, first of all congratulations for your new house. Secondly, you can get the house refinanced anytime if there is no pre-payment penalty. Get in touch with your realtor for the purpose, s/he would be the best to guide you through all the variables available.
0 votes
Kelly Miller, Home Owner, Santa Ana, CA
Mon Dec 30, 2013
I think refinancing has come up with the great idea to take out a new mortgage as and when interest rates drop then pay off the old mortgage without any time boundation. But be sure that refinancing has certain drawbacks also such as prepayment penalty could cost you several months' worth of interest or a percentage of the remaining loan amount.
0 votes
Alex Urbano…, Agent, Milpitas, CA
Sat Dec 21, 2013
Refinancing can be done anytime after the purchase of the home for as long as there is no prepayment clause on the initial loan. Just be sure to review any and all closing costs accompanied with trying to refinance. I know that there are a lot of great lenders out there in Milpitas and I'm sure you will find one here that will be able to give you more details on your question. Thanks for sharing your question.
0 votes
Robert Spino…, Mortgage Broker Or Lender, Mill Valley, CA
Tue Aug 20, 2013

In order to have this dilemma you have to have the house, so I would tell you to stay focused and close by the path of least resistance. If you trust the seller approved lender, and their terms are slightly worse, I would still probably tell you to work with them and close escrow first. If, on the other hand, you have no rapport with this lender, they do not give you confidence and they are charging you a higher price for less service, then it may be best to work with an outside lender. If you think your situation more closely resembles the second scenario, act sooner rather than later so as not to jeopardize your closing timeline.

Best of luck and let us know if we can help. BTW, unless you have a prepayment penalty on your loan, you can refinance any time after closing. It may not make sense to do it, but nothing would be stopping you.

Rob Spinosa
0 votes
Ryan Huebel, , Towson, MD
Mon Aug 19, 2013
It really depends on the type of loan that you currently have. I would suggest 6 months unless your current loan states otherwise.
0 votes
Claudia Mull…, Mortgage Broker Or Lender, Fremont, CA
Mon Aug 19, 2013
You can refinance your home the next day at the purchased price.
You may use the new increased or possibly decreased value after six months.
0 votes
Alexander Gr…, Agent, San Jose, CA
Mon Aug 19, 2013
I can certainly help you out with this. You can call me at 408-352-5147 or email me at You can check us out at I will look at your situation and present you with some options.

Alex Greer
NMLS #1056079
0 votes
Search Advice
Ask our community a question

Email me when…

Learn more