Refinancing: Which Option is for You?
The huge number of refinance options available to borrowers is truly breathtaking. We can help you select the refinance loan program that can fit your needs the best. Contact us at 754-202-4376 to get things started. There are some general things to have in mind as you consider your choices.
Making Your Payments Lower
Are getting better payments and a lower rate your main reasons for refinancing? If so, getting a low, fixed-rate loan may be a wise choice for you. Perhaps you are now in a mortgage loan with a high, fixed interest rate, or a mortgage loan with which the rate of interest varies : an adjustable rate mortgage (ARM). Different that the ARM, your low fixed rate mortgage stays at a certain low rate for the life of the loan, even if interest rates rise. If you plan to stay in your home for at least five more years, a fixed-rate loan may be a particulary good choice for you. On the other hand, if you can see yourself selling your home within the next few years, an ARM mortgage with a small initial rate might be the ideal way to reduce your monthly payment.
Refinancing to Cash Out
Are you refinancing primarily to "cash out" some home equity? Your house needs updating; your son has been accepted to college and needs tuition money; or you are taking your family on a cruise. So you want to get a loan higher than the balance remaining on your present mortgage.Then you will You'll be looking for a loan for a bigger amount than the balance remaining of your current mortgage in this case. If you've had your current mortgage loan for a long time and/or have a high interest mortgage, you may be able to do this without increasing your monthly payment.
Do you have other debt, perhaps with high interest, that you'd like to consolidate? If you have built up some equity, paying toward other debt with higher interest rates that your mortgage loan (credit cards or home equity loans, for example) might be able to save you a chunk of money every month.
Building up Equity Faster
Are you dreaming of paying your loan off sooner, while building up your equity more quickly? If this is your plan, the refinance can move you to a mortgage loan program with a short, such as a 15 year loan. Your monthly payments will probably be more than they were with your long-term mortgage loan, but in exchange, you will pay considerably less interest and will build up equity more quickly. However, if you have held your current 30-year loan for a long time and the loan balance is somewhat low, you may be able to do this without raising your monthly mortgage payment — you could even be able to save! To help you understand your options and the multiple benefits of refinancing, please contact us at 754-202-4376. We are here for you.
Curious about refinancing? Call us: 754-202-4376.