Which Refinancing Program is Right for You?
There are an enormous number of refinancing options available to borrowers. Contact us at (720) 550-4235 and we will match you with the loan program that is ideal for your needs. What are your goals for your refinance loan? Considering in mind the information below will help you begin your decision process.
Lowering Your Payments
Is your refinance primarily to lower your rate and monthly payments? In that case, getting a low, fixed-rate loan may be a wise choice for you. Perhaps you currently hold a fixed-rate mortgage with a higher rate, or perhaps you hold an ARM — adjustable rate mortgage — in which the interest rate can vary. Even if interest rates rise, a fixed rate mortgage loan will stay at the same, low interest rate, unlike an ARM. This kind of loan can be particularly a wise option if you don't think you'll be moving within the next 5 years or so. However, an ARM with a low intitial payment may be a wiser way to reduce your payments if you expect to move in the near future.
Is your refinance goal mainly to pull out some home equity for an infusion of cash? It could be you want to update your kitchen, pay your child's college tuition bill, or go on a dream vacation. In this case, you will want to get a loan higher than the remaining balance on your current mortgage loan.So you'll need However, if your loan interest rate is high now and you've had it for quite a few years, you may be able to achieve your goals without a rise in your mortgage payment.
Consolidating Your Debt
Maybe you want to cash out a portion of the equity (cash out) to use 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 loan with a lower rate with your refinance, if you have enough home equity.
Paying it off Sooner
Do you plan to build up home equity quicker, and pay off your mortgage faster? If this is your wish, the refinance mortgage can change you to a mortgage program with a short, for example: a 15 year loan. The payments will likely be higher than they were with your longer term loan, but the pay-off is: you will pay quite a bit less interest and will build up equity quicker. However, if you have had your current thirty-year mortgage loan for a long time and the remaining balance is somewhat low, you may be do this without raising your monthly payment — you may even be able to save! To help you understand your options and the numerous benefits of refinancing, please call us at (720) 550-4235. We will help you reach your goals!
Curious about refinancing your home? Give us a call: (720) 550-4235.