Refinancing: Which Option is for You?

Even though it seems like it sometimes, there aren't as many loan options as there are borrowers! Contact us at 3038627760 and we can match you with the refinance program that fits you best. In the interest of looking at your choices, you can list your goals for the refinance.

Making Your Payments Lower

Are getting reduced payments and an improved rate your main refinance goals? In that case, getting a low, fixed-rate loan may be a good option for you. An ARM (Adjustable Rate Mortgage) or a high fixed rate mortgage are loans that you may want to refinance. Even when rates get higher later, unlike with your ARM, when you close a mortgage with a fixed rate, you set the low rate for the term of your loan. A fixed-rate mortgage can be particularly a good idea if you don't think you'll be moving within the next 5 years or so. But if you do plan to move more quickly, you will need to consider an ARM with a low initial rate to get reduced payments.

Getting Out some Cash

Are you wanting to cash out some of your home equity in your refinance? Maybe you want to pay for home improvements, pay your child's college tuition bill, or take your dream vacation. Then you want to qualify for a loan higher than the balance remaining of your existing mortgage.So you will You'll need to get a loan for a bigger amount than the remaining balance with your present mortgage in this case. You might not increase your monthly payemnt, however, if you've had your current loan for a while, and/or your loan interest rate is high.

Consolidating Your Debt

Maybe you'd like to cash out a portion of the home equity (cash out) to put toward other debt. If you have the equity in your home for it, paying off other debt with higher interest than the rate on your mortgage (like credit cards, home equity loans, or car loans) means you can save possibly hundreds of dollars each month.

Switching to a Shorter Term Loan

Are you dreaming of paying your loan off more quickly, while beefing up your equity quicker? Consider refinancing with a shorterterm loan, such as a 15-year mortgage loan. Although your mortgage payments will usually be more, you will save on interest; so your home equity will build up faster. But, you could be able to make the change without much increase in your monthly payment if your longer term mortgage was closed a while ago, and the remaining balance is low. You may even pay less! To help you figure out your options and the many benefits of refinancing, please call us at 3038627760. We are here for you.

Curious about refinancing your home? Give us a call: 3038627760.