Which Refinancing Program is Best for You?
The huge number of refinance options available is truly breathtaking. We can guide you to choose the refinance loan program that can fit your situation the best. Contact us at (972) 292-0448 to get started. What are your goals for refinancing? Considering in mind the information below will help you narrow your choices.
Lowering Your Payments
Are achieving lower mortgage payments and an improved rate your main reasons for refinancing? If so, a good choice might be a low fixed-rate loan. Maybe you now hold a higher rate fixed rate mortgage, or maybe you have an ARM — adjustable rate mortgage — where the rate of interest can vary. Even when rates come up later, unlike with your ARM, when you get a mortgage with a fixed rate, you set the low interest rate for the term of your loan. If you are expecting to stay in your home for at least five more years, a fixed rate mortgage may be a particulary good option for you. On the other hand, if you do see yourself selling your home before too long, an adjustable rate mortgage with a low initial rate could be the ideal way to reduce your monthly payments.
Getting Out some Cash
Is "cashing out" your primary reason for your refinance? Your home needs renovating; your daughter has gone to University and needs tuition; or you are planning a special vacation. Then you want to apply for a loan higher than the remaining balance on your existing mortgage.So you will want to qualify for a loan for a higher number than the balance remaining on your existing mortgage. You may not have an increase in your monthly payemnt, however, if you've had your existing mortgage loan for a number of years, and/or your loan interest rate is high.
Do you want to cash out some of your home equity to consolidate additional debt? Yes you can! If you have a fair amount of home equity, paying toward other debt with rates higher than your home loan (credit cards or home equity loans, for example) might help save you a lot of cash every month.
Building up Equity More Quickly
Are you dreaming of paying off your loan sooner, while beefing up your home equity quicker? In that case, you'll want to look into refinancing to a short term mortgage loan - like a fifteen-year mortgage loan. Although your mortgage payment amount will likely be more, you can be paying less 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 somewhat low. You may even make it lower! To help you understand your options and the numerous benefits in refinancing, please contact us at (972) 292-0448. We are here to help you reach your goals!
Want to know more about refinancing your home? Give us a call: (972) 292-0448.