Selecting a Refinancing Loan
The huge number of refinance options available to borrowers is truly breathtaking. Contact us at 719-331-6278 and we'll work with you to qualify you for the best loan program for your financial needs. What do you hope to achieve with your refinance loan? Considering in mind the information below will help you narrow your choices.
Making Your Payments Lower
Is your refinance primarily to lower your rate and monthly payments? Then a good choice may be a low fixed-rate loan. Perhaps you are now in a mortgage loan with a high, fixed interest rate, or a mortgage loan in which the rate of interest varies - an adjustable rate mortgage (ARM). Even when rates rise later, unlike with your ARM, when you get a fixed-rate mortgage, you lock in that low interest rate for the life of your loan. If you are not planning a move in the near future (about 5 years), a fixed rate mortgage loan can especially be a good choice. However, an ARM with a initial low payment may be a wiser way to reduce your monthly payments if you plan on moving within the near future.
Refinancing to Cash Out
Are you planning to cash out some of your equity in your refinance? Maybe you want to pay for home improvements, take care of your college kid's tuition, or take your dream vacation. With this in mind, you will need to get a loan for more than the balance remaining on your current mortgage.So you will need You may not increase your mortgage payemnt, however, if you've had your existing loan for a long time, and/or your loan interest rate is high.
Consolidating Your Debt
Do you have other debt, maybe with high interest, that you'd like to consolidate? If you have a fair amount of home equity, paying toward other debt with higher interest rates that your mortgage loan (credit cards or home equity loans, for example) could be able to save you a lot of cash each month.
Building up Equity Faster
Are you dreaming of paying your loan off more quickly, while beefing up your home equity quicker? In that case, you'll need to look into refinancing to a short term mortgage - like a fifteen-year mortgage loan. You will be paying less interest and increasing your equity more quickly, although your payments will likely be bigger than they were. But, you could be able to make the change without a higher monthly payment if your longer term mortgage loan was closed a while ago, and the remaining balance is low enough. You may even pay less! To help you figure out your options and the many benefits of refinancing, please call us at 719-331-6278. We are here for you.
Want to know more about refinancing your home? Call us: 719-331-6278.