Selecting a Refinancing Option
There aren't as many refinance loan programs as there are applicants, but sometimes it seems like it! Contact us at 7068605514 and we can work with you to qualify you for the best refinance loan for your financial needs. There are some general questions to ask yourself while you review the options.
Making Your Payments Lower
Are your refinance goals to lower your rate and consequently your mortgage payments? Then the best choice may be a low fixed-rate loan. An ARM (Adjustable Rate Mortgage) or a high fixed rate mortgage are loan programs that you might want to refinance. Even if rates rise later, unlike with your ARM, when you get a fixed rate mortgage, you lock in that low interest rate for the life of your loan. If you are expecting to live in your home for at least five more years, a fixed-rate loan may be an especially good choice for you. But if you do expect to sell your home more quickly, you will want to consider an ARM with a low initial rate to get reduced payments.
Is "cashing out" your main purpose for your refinance? Your house needs new carpet; your son has been accepted to University and needs tuition money; or you are planning a special vacation. Then you'll need to find a loan for more than the balance remaining on your current mortgage.Then you want However, if your interest rate is high now and you've held it for a long time, you could be able to achieve your goals without making your mortgage payments higher.
Perhaps you want to cash out a portion of the equity (cash out) to use toward other debt. If you hold any debt with steep interest (such as credit cards or car loans), you may be able to take care of that debt with a lower rate loan through your refinance, if you have the right amount of home equity.
Paying it off Sooner
Are you dreaming of paying off your loan sooner, while beefing up your home equity quicker? If this is your goal, your refinance can switch you to a mortgage program with a shorter term, such as a 15 year loan. Even though your monthly payments will probably be increased, you will save on interest; so your home equity will rise up faster. On the other hand, if your current longer term mortgage loan has a low balance remaining, and was closed a while ago, you may even be able to make the change without paying more each month. To help you determine your options and the many benefits of refinancing, please call us at 7068605514. We would love to help you reach your goals!
Want to know more about refinancing your home? Call us: 7068605514.