Selecting a Refinancing Program
Even though it seems like it at times, there aren't as many loan programs as there are applicants! Call us at (407) 898-7559 and we will help you qualify for the perfect refinance loan program to fit your financial needs. There are some general things to have in mind while you consider your choices.
Making Your Payments Lower
Are achieving better mortgage payments and an improved rate your main reasons for refinancing? Then a low, fixed rate loan may be the ideal choice for you. Perhaps you currently have a higher rate fixed rate mortgage, or perhaps you have an ARM — adjustable rate mortgage — where the rate of interest varies. Even if rates get higher later, unlike with your ARM, when you get a fixed-rate mortgage, you lock in that low rate for the life of your mortgage. If you are not expecting to move in the near future (about five years), a fixed-rate mortgage can especially be a great loan option. But if you do plan to sell your home more quickly, you will need to consider an ARM with a low initial rate to get reduced payments.
Is "cashing out" your primary purpose for refinancing? Maybe you're going on a much needed vacation; you have to pay college tuition for your child; or you are updating your kitchen. In this case, you will need to qualify for a loan higher than the balance remaining of your existing mortgage loan.In this case, you need However, if your mortgage rate is high now and you have held it for a long time, you may be able to accomplish your goals without making your mortgage payments rise.
Perhaps you want to pull out some equity (cash out) to put toward other debt. If you hold some higher interest debts (such as credit cards or car loans), you might be able to take care of that debt with a lower rate loan with your refinance, if you have enough equity.
Building up Equity More Quickly
Are you hoping to fatten your home equity faster, and pay your mortgage off sooner? If this is your hope, the refinance can change you to a mortgage program with a short, such as a 15 year loan. Your monthly payments will probably be higher than with your long-term mortgage loan, but the pay-off is: you will pay considerably less interest and will build up equity quicker. However, if you've held your existing thirty year loan for a long time and the loan balance is relatively low, you could be do this without raising your monthly mortgage payment — it's even possible to save! To help you determine your options and the many benefits in refinancing, please call us at (407) 898-7559. We would love to help you reach your goals!
Want to know more about refinancing your home? Call us: (407) 898-7559.