How an Annual Mortgage Review Could Help Homeowners at Tax Time

by Marc Demetriou, CLC, ChFC, CDLP, Guaranteed Rate Inc. | October 20, 2021

With fall in full swing, this is a good time for homeowners to get an annual mortgage review and needs analysis. According to the Consumer Financial Protection Bureau (CFPB), knowing how home loans are calculated can help prospective homebuyers and current homeowners better understand their current or future mortgage loan options. Whether a homeowner is thinking about refinancing or purchasing a new property, having up-to-date mortgage data most certainly helps one revered group of professionals in particular — CPAs.

Providing the IRS with accurate information on a home’s actual worth can make income tax preparation ahead of April 15 less painful for both the homeowner and their CPA. And with rates still hovering at record-low levels, it makes sense to review mortgage and rate options now. Based on the typical investment time horizon, homeowners should consider using the equity in their homes for one or more of the following financial options:

  • Cash-out refinance for college funding
  • Home renovations
  • Debt consolidation
  • Purchasing a second home or investment property
  • Converting to a shorter-term fixed or adjustable-rate mortgage (ARM) option

The typical factors that go into a mortgage review are as follows:

  • Current interest rate
  • Current monthly payments
  • Mortgage insurance
  • Estimated value of home (with consultation with an appraiser)
  • Current mortgage product (fixed or ARM and what term)
  • Type of home: condo, single family or multi-family
  • Occupancy type: primary, second home or investment property
  • Approximate credit score
  • State in which the property is located

The benefits of getting a mortgage review could include:

  • Lower monthly payments (savings, if any, vary based on consumer’s credit profile, interest rate availability and other factors)
  • Shorter loan term
  • Cash out or refinance option
  • Qualifying for another mortgage
  • Peace of mind

Homeowners who are armed with straightforward and easy-to-understand information about their mortgage can make more-informed decisions on the best financial options that fit their needs.

Learn more at and at Guaranteed Rate's NJCPA member benefit provider page. 

Marc C. Demetriou

Marc C. Demetriou

Marc Demetriou, CLC, ChFC, CDLP, is the senior vice president of mortgage lending and the branch manager at Guaranteed Rate Inc., an NJCPA member benefit provider.

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