Which Refinancing Program is Best for You?
When you are overwhelmed with so many choices, it may seem as if there are even more refinance loan programs than borrowers! Call us at (585) 282-0960 and we can work with you to qualify you for the perfect refinance loan program to fit your financial needs. surveying your options, you can list your goals for your refinance.
Lowering Your Payments
Are achieving reduced payments and a better rate your main refinance goals? In that case, a low, fixed rate loan may be the ideal option for you. An ARM (Adjustable Rate Mortgage) or a fixed mortgage with a high rate are loans that you may want to refinance. Even as interest rates rise, a fixed rate mortgage must stay at the same, low interest rate, unlike an ARM. This kind of loan can be especially a wise idea if you don't think you will move within the next five years or so. But if you do plan to sell your home more quickly, you will need to consider an ARM with a low initial rate in order to achieve reduced payments.
Are you refinancing primarily to pull out some of your home equity for an infusion of cash? Maybe you're dreaming of a cruise; you need to pay tuition for your college-bound child; or you plan to renovate your home. Then you'll want to get a loan above the balance remaining on your existing mortgage.With this goal, you'll You'll be looking for a loan for a bigger amount than the current balance of your present mortgage in this case. If you've had your existing mortgage loan for quite a while and/or have a high interest mortgage, you may be able to do this without increasing your mortgage payment.
Consolidating Your Debt
Do you hold other debt, perhaps with a higher interest rate, that you want to consolidate? If you have enough equity, taking care of other debt with higher interest that your mortgage loan (credit cards or home equity loans, for example) might be able to save you a chunk of money each month.
Switching to a Shorter Term Loan
Are you dreaming of paying your loan off faster, while building up your home equity more quickly? If this is your wish, the refinance mortgage can switch you to a loan program with a shorter term, for example: a 15 year loan. Your payments will probably be higher than with a longer term mortgage loan, but the pay-off is: that you will pay quite a bit less interest and can build up equity quicker. On the other hand, if your existing longer term mortgage has a low remaining balance, and was closed a number of years ago, you may even be able to make the switch without paying more each month. To help you figure out your options and the multiple benefits of refinancing, please contact us at (585) 282-0960. We are here for you.
Curious about refinancing? Give us a call at (585) 282-0960.