Which Refinancing Program is Right for You?
Even though it seems like it at times, there aren't as many refinance loan choices as there are applicants! Contact us at 9727982110 and we can match you with the loan program that is best for your needs. What are your goals for your refinance loan? Keeping in mind the following will help you narrow your choices.
Reducing Your Monthly Payments
Are your refinance goals to lower your rate and consequently your mortgage payments? If so, getting a low, fixed-rate loan might be a wise option for you. Perhaps you are currently in a mortgage with a high, fixed interest rate, or a mortgage in which the interest rate varies - an adjustable rate mortgage (ARM). Different that the ARM, your low fixed-rate mortgage will stay at a certain low rate for the term of your mortgage, even as interest rates rise. If you plan to stay in your home for about five more years, a fixed rate mortgage may be a particulary good fit for you. However, an ARM with a low intitial payment may be a smarter way to reduce your mortgage payments if you expect to move in the next few years.
Getting Out some Cash
Is "cashing out" your main reason for refinancing? It could be you're going on a much needed vacation; you have to pay tuition for your college-bound child; or you plan to renovate your home. So you want to apply for a loan higher than the balance remaining of your present mortgage.Then you want to qualify for a loan for a higher amount than the remaining balance on your existing mortgage loan. However, if your interest rate is high now and you've had it for a long time, you may be able to accomplish your goals without making your mortgage payments bigger.
Consolidating Your Debt
Do you want to cash out some of your equity to consolidate other debt? Good idea! If you hold any debt with high interest (like credit cards or vehicle 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 equity.
Building up Equity More Quickly
Are you planning to fatten up your equity faster, and pay your mortgage loan off more quickly? Then, you'll need to find out about refinancing to a short term mortgage loan - like a fifteen-year loan. You will be paying less interest and growing your home equity faster, although your payments will usually be more than you have been paying. But, you might be able to switch without a higher monthly mortgage payment if your longer term mortgage loan was closed a while ago, and the balance remaining is small. You could even make it lower! To help you understand your options and the multiple benefits of refinancing, please call us at 9727982110. We are here for you.
Curious about refinancing your home? Call us at 9727982110.