Selecting a Refinancing Loan
The number of refinance options available to borrowers can be overwhelming. Contact us at (800)593-0143 and we'll help you qualify for the right refinance loan to fit your financial situation. There are several questions to ask yourself while you look at your choices.
Reducing Your Monthly Payments
Are you refinancing primarily to lower your rate and monthly payments? In that case, getting a low, fixed-rate loan might be a good option for you. Maybe you currently hold a fixed-rate mortgage with a higher rate, or perhaps you have an ARM — adjustable rate mortgage — where the interest rate varies. Even when rates rise later, unlike with your ARM, when you close a fixed-rate mortgage, you set the low interest rate for the life of your mortgage. If you aren't planning on moving in the near future (about five years), a fixed-rate mortgage can especially be a good loan option. On the other hand, if you can see yourself moving before too long, an adjustable rate mortgage with a low initial rate might be the ideal way to bring down your monthly payment.
Refinancing to Cash Out
Is your refinance goal mainly to pull out some of your equity for an infusion of cash? Your house needs updating; your daughter has gone to college and needs tuition money; or you are planning a special vacation. Then you want to get a loan above the balance remaining of your present mortgage.With this goal, you'll want You may not have an increase in your monthly payemnt, though, if you have had your current mortgage for a number of years, and/or your interest rate is high.
Perhaps you want to pull out some equity in your home (cash out) to use toward other debt. If you have any debt with higher interest (such as credit cards or car loans), you might be able to take care of that debt with a lower rate loan with your refinance, if you have enough equity.
Paying it off Faster
Do you need to build up equity quicker, and pay off your mortgage more quickly? If this is your goal, the refinance can switch you to a mortgage loan program with a short, such as a 15 year loan. Your monthly payments will likely be more than with your long-term loan, but the pay-off is: that you will pay considerably less interest and can build up equity more quickly. However, if you have held your existing 30 year mortgage loan for a number of years and the remaining balance is somewhat low, you might be able to do this without raising your monthly payment — it's even possible to save! To help you determine your options and the multiple benefits of refinancing, please call us at (800)593-0143. We are here for you.
Want to know more about refinancing? Call us: (800)593-0143.