Refinancing: Which Option is for You?
There are an enormous number of refinancing options available to borrowers. Contact us at (203) 526-9345 and we will help you qualify for the perfect refinance loan for your financial needs. There are several questions to ask yourself as you review the options.
Lowering Your Payments
Are achieving lower mortgage payments and a lower rate your main refinance goals? In that case, your best choice could be a low fixed-rate loan. Perhaps you now have a higher rate fixed rate mortgage, or perhaps you hold an ARM — adjustable rate mortgage — where the interest rate varies. Even as interest rates rise, a fixed-rate mortgage will stay at the same, low interest rate, unlike an ARM. This kind of loan can be especially a good idea if you don't think you'll be moving within the next 5 years or so. On the other hand, if you do see yourself moving before too long, an adjustable rate mortgage with a low initial rate may be the best way to bring down your monthly payment.
Refinancing to Cash Out
Is "cashing out" your primary reason for your refinance? Perhaps you want to make home improvements, pay your child's college tuition bill, or take a cruise. Then you'll need to get a loan higher than the remaining balance on your present mortgage loan.In this case, you will need You might not have an increase in your mortgage payemnt, however, if you've had your current mortgage loan for a long time, and/or your loan interest rate is high.
Consolidating Your Debt
Do you want to pull out some of your equity to consolidate additional debt? Yes you can! If you own any debt with higher interest (such as credit cards or car loans), you may be able to take care of that debt with a lower rate loan with your refinance, if you have the home equity built up to make it work.
Building up Equity More Quickly
Are you dreaming of paying your loan off sooner, while beefing up your home equity faster? Then, you need to look into refinancing to a short term mortgage loan - like a fifteen-year mortgage loan. The mortgage payments will probably be higher than with a long-term loan, but in exchange, you will pay substantially less interest and can build up equity quicker. On the other hand, if your current long-term loan has a low balance remaining, and was closed a while ago, you could be able to make the change without paying more each month. To help you determine your options and the numerous benefits in refinancing, please contact us at (203) 526-9345. We are here for you.
Want to know more about refinancing your home? Give us a call at (203) 526-9345.