Which Refinancing Option is Best for You?
Even though it may seem like it sometimes, there are not as many loan programs as there are borrowers! Contact us at 3038627760 and we'll help you qualify for the best refinance loan for your situation. What do you hope to achieve with your refinance loan? Considering in mind the following will help you begin your decision process.
Making Your Payments Lower
Are achieving lower mortgage payments and an improved rate your main refinance goals? Then a low, fixed rate loan may be the best loan program for you. Perhaps you now have a fixed-rate mortgage with a higher rate, or perhaps you have an ARM — adjustable rate mortgage — where the rate of interest varies. Even when rates rise later, unlike with your ARM, when you qualify for a fixed-rate mortgage, you set the low rate for the life of your loan. If you are planning to live in your home for about five more years, a fixed rate loan may be an especially good fit for you. However, an ARM with a low intitial payment may be a wiser way to lower your mortgage payments if you expect to move within the near future.
Is your refinance goal primarily to pull out some home equity for an infusion of cash? Your house needs new carpet; your daughter has been accepted to University and needs tuition; or you have a special family vacation planned. Then you need to get a loan for more than the remaining balance of your existing mortgage.Then you need You might not have an increase in your mortgage payemnt, though, if you have had your current loan for a while, and/or your interest rate is high.
Do you want to cash out some of your equity to consolidate other debt? Yes you can! If you own some debt with steep interest (like credit cards or car loans), you may be able to take care of that debt with a loan with a lower rate with your refinance, if you have the equity built up to make it work.
Getting a Shorter Term Loan
Do you want to build up home equity quicker, and have your mortgage paid off sooner? If this is your wish, your refinance loan can move you to a loan program with a short, like a 15 year loan. The payments will probably be more than they were with your long-term mortgage loan, but the pay-off is: that you will pay substantially less interest and can build up equity more quickly. On the other hand, if your current long-term mortgage has a small remaining balance, and was closed a number of years ago, you may be able to make the move without paying more each month. To help you figure out your options and the numerous benefits of refinancing, please call us at 3038627760. We will help you reach your goals!
Want to know more about refinancing your home? Give us a call at 3038627760.