Today’s mortgage rates are still at historically low levels. It is not too late to take advantage of these rates to save you thousands of dollars each year on your existing mortgage. The process may also be easier than you think. Call us today to see if we can put more money back into your pocket!
Reasons to Refinance
There are a number of other great reasons to refinance your existing mortgage today!
- Lower Your Payment: It only takes a small rate reduction to lock in significant long-term savings. A 0.25% reduction in your rate today can result in savings of over $25,000 over the life of your loan. Refinancing your mortgage to lower your monthly payment puts money directly into your pocket frees up cash flow. If you plan to stay in your home for a long time, you may want to consider buying down your rate below than the current market rate to further reduce your monthly payments and increase your long-term savings.
- Cash Out: Although housing prices have declined meaningfully in the last few years, many homeowners still have significant equity in their homes. A Cash Out Refinance can enable you to take convert the equity in your home into cash for your discretionary use. There is no restriction to what you use your Cash Out refinance funds for whether it’s to consolidate debt, get cash to turn your house into your dream home, pay for college, or invest in your dreams. With a cash-out refinance, we make it easy for you to get money out of your home when you need it.
- Consolidate Debt: If you have debt outside of your mortgage and you have equity in your home, it’s time to consider refinancing your home loan. A debt consolidation loan can combine all of your credit cards, auto loans, and other high interest debt, into one low monthly payment. You are most likely paying a significantly higher interest rate on your credit cards and auto loans. A mortgage refinance will enable you to consolidate multiple debt payments into one low rate and tax deductible mortgage payment. Consolidating your debt can also help you rebuild poor credit and most importantly, reduce the worry and stress associated with paying high interest rate debt.
- Convert your ARM to a Fixed Rate: Adjustable Rate Mortgages (ARMs) are great when mortgage rates are low and when you intend to stay in your home for a shorter period of time. When interest rates rise and you intend to stay in your home beyond the fixed rate time frame of your ARM, it makes sense to consider refinancing your ARM into a Fixed Rate loan. Refinancing into a Fixed Rate mortgage will enable you to gain the predictability and stability in your mortgage payment that will lead to your peace of mind.
- Eliminate Costly Private Mortgage Insurance (PMI): Many investors require the payment of Private Mortgage Insurance (PMI) if you are unable to make a down payment of at least 20% when you first obtained your mortgage. If you have paid down your existing mortgage and you now have at least 20% equity in your home, you may be able to refinance your home to eliminate your monthly PMI payment. Along with possibly lowering your rate, a mortgage refinance could reduce your monthly mortgage payment considerably by eliminating the additional costs of PMI.