Did you know that you may be able to take advantage of today’s competitive rates by shortening the term of your loan?
Did you know that you may be able to take advantage of today’s competitive rates by shortening the term of your loan?
Refinancing is simply replacing an existing mortgage with a new loan. Typically, people refinance their mortgage in order to reduce their monthly payments, lower their interest rate, or change their loan program from an adjustable-rate mortgage to a fixed-rate mortgage. Some people need access to cash in order to fund home renovation projects or paying off various debts and will leverage the equity in their house to obtain a cash-out refinance. With interest rates at historic lows, now might just be the time you've been waiting for to refinance! Below are more reasons one might find refinancing beneficial!
Refinancing is simply replacing an existing mortgage with a new loan. Typically, people refinance their mortgage in order to reduce their monthly payments, lower their interest rate, or change their loan program from an adjustable-rate mortgage to a fixed-rate mortgage. Some people need access to cash in order to fund home renovation projects or paying off various debts and will leverage the equity in their house to obtain a cash-out refinance. With interest rates at historic lows, now might just be the time you've been waiting for to refinance! Below are more reasons one might find refinancing beneficial!
*Lower your payment. On average refinancing can save you $100 a month or more. Leaving more money to put towards other debts or saving.
*Consolidate debt. Cash-out refinancing is a great way to consolidate. Using the equity in your home to pay down other debts you may have acquired.
*Lower your interest rate. In turn, lowering your monthly payment. Paying less towards interest and more towards the principal balance of your mortgage.
*Lower the term of your mortgage. Reduce the duration on your mortgage. The shorter the term on your mortgage, the lower your mortgage rate.
*Eliminate private mortgage insurance (PMI). If your home has increased in value you may be able to remove your monthly private mortgage insurance, and pay more towards the principal balance on your mortgage.
*Change your mortgage from a risky Adjustable Rate Mortgage to a secure Fixed Rate Mortgage. When you have an adjustable-rate mortgage, your payment can adjust up and down as interest rates change. Refinancing into a fixed-rate mortgage gives you a stable monthly payment amount, giving you the ease of knowing your monthly payment will never change.
Lower your payment. On average refinancing can save you $100 a month or more. Leaving more money to put towards other debts or saving.
Consolidate debt. Cash-out refinancing is a great way to consolidate. Using the equity in your home to pay down other debts you may have acquired.
Lower your interest rate. In turn, lowering your monthly payment. Paying less towards interest and more towards the principal balance of your mortgage.
Lower the term of your mortgage. Reduce the duration on your mortgage. The shorter the term on your mortgage, the lower your mortgage rate.
Eliminate private mortgage insurance (PMI). If your home has increased in value you may be able to remove your monthly private mortgage insurance, and pay more towards the principal balance on your mortgage.
Change your mortgage from a risky Adjustable Rate Mortgage to a secure Fixed Rate Mortgage. When you have an adjustable-rate mortgage, your payment can adjust up and down as interest rates change. Refinancing into a fixed-rate mortgage gives you a stable monthly payment amount, giving you the ease of knowing your monthly payment will never change.
