Not too long ago, some of our friends lost their home to foreclosure. This was a difficult time for them, and we often found ourselves in the kitchen where we would whip up something delicious to help take our minds off the financial stress they were going through.

While there wasn’t an easy solution for them, I learned quite a bit about the options you can take to avoid losing your home. One of the primary things to look into is refinancing. If you aren’t familiar with refinancing, it has several things to offer.

First, you may be able to restructure your home loan to a better option. Some friends worked with Mortgage refinance Oklahoma specialists to restructure their loan from an adjustable rate mortgage, more commonly called an ARM, to a 30-year fixed-rate loan. Prior to the refinance, they never knew what their mortgage payment would be. Afterward, they had a set rate.

Second, refinancing may lower the interest rate. Even if you got the best deal possible when you purchased your home, interest rates may have dropped. If you refinance at a lower rate, you can save money. What could you do with several thousand dollars extra? I know I could enjoy my favorite restaurants a little more often!

Third, it may reduce your monthly payment. When your house is on the line, you need to cut every expense you can find. Even knocking $50 off a month may help.

Fourth, the new loan may not take effect for a month to a month and a half. Another person I know refinanced his home. The new loan went into effect in the middle of the month, but his first payment wasn’t due until the end of the next month. That little gap sure made a nice cushion for him.

While there are no guarantees, refinancing very well could help save your home.