Which Refinancing Program is Best for You?
There aren't as many refinance loan options as there are applicants, but at times it feels like it! Call us at 754-202-4376 and we'll work with you to qualify you for the perfect refinance program for your situation. There are some general questions to ask yourself while you consider your choices.
Making Your Payments Lower
Are your refinance goals to lower your rate and consequently your mortgage payments? In that case, your best option could be a low fixed-rate loan. Perhaps you currently have a fixed-rate mortgage with a higher rate, or maybe you hold an ARM — adjustable rate mortgage — in which the interest rate can vary. Even when interest rates rise, a fixed rate mortgage will remain at the same, low interest rate, unlike an ARM. This kind of loan can be especially a wise option if you aren't planning a move within the next 5 years or so. On the other hand, if you can see yourself selling your home before too long, an ARM with a small initial rate might be the ideal way to reduce your monthly payments.
Getting Out some Cash
Are you wanting to cash out some of your home equity in your refinance? Perhaps you're going on a much needed vacation; you need to pay tuition for your college-bound child; or you are updating your kitchen. So you'll want to find a loan higher than the remaining balance of your present mortgage loan.In that case, you You'll be looking for a loan for more than the balance remaining of your current home loan in this case. However, if your loan interest rate is high now and you've held it for quite a few years, you could be able to reach your goals without making your mortgage payments increase.
Do you want to cash out some equity to consolidate other debt? Yes you can! If you have built up some equity, paying toward other debt with higher interest that your mortgage loan (credit cards or home equity loans, for example) might help save you a chunk of money each month.
Building up Equity More Quickly
Do you want to build up home equity more quickly, and pay off your mortgage faster? If this is your goal, your refinance loan can switch you to a mortgage loan program with a short, like a 15 year loan. You will be paying less interest and increasing your home equity faster, even though your monthly payments will usually be bigger than they were. On the other hand, if your existing longer term loan has a small remaining balance, and was closed a number of years ago, you could be able to make the move without paying more each month. To help you determine your options and the many benefits of refinancing, please contact us at 754-202-4376. We are here to help you reach your goals!
Curious about refinancing? Call us at 754-202-4376.