Choosing a Refinancing Loan
The huge number of refinance options available is truly breathtaking. We can guide you to find the refinance loan program that can fit your needs the best. Call us at (720) 550-4235 to get things started. What are your goals for your refinance loan? Keeping in mind the information below will help you narrow your choices.
Reducing Your Monthly Payments
Are achieving lower payments and a lower rate your main reasons for refinancing? If so, applying for a low, fixed-rate loan may be a good choice for you. Maybe you are presently in a mortgage loan with a high, fixed interest rate, or a mortgage loan in which the interest rate varies : an adjustable rate mortgage (ARM). Even as interest rates rise, a fixed-rate mortgage must remain at the same, low interest rate, unlike an ARM. If you aren't planning on moving in the near future (about 5 years), a fixed-rate mortgage can especially be a great option. But if you do expect to move more quickly, you should consider an ARM with a low initial rate to get lower payments.
Getting Out some Cash
Is "cashing out" your main reason for refinancing? Perhaps you're planning a special vacation; you need to pay college tuition for your child; or you plan to renovate your home. With this in mind, you'll need to get a loan higher than the balance remaining of your present mortgage.Then you will You will be looking for a loan for more than the remaining balance on your existing mortgage in this case. You might not increase your mortgage payemnt, though, if you've had your existing loan for a while, and/or your interest rate is high.
Perhaps you'd like to pull out some equity (cash out) to put toward other debt. If you have the equity in your home to make it work, taking care of other debt with higher interest than the rate on your mortgage (for example: home equity loans, student loans, or credit cards) means you can save possibly several hundred dollars each month.
Paying it off Sooner
Are you planning to fatten up your home equity faster, and get your mortgage paid off more quickly? In that case, you want to find out about refinancing to a short term mortgage - like a fifteen-year mortgage program. You will be paying less interest and increasing your equity more quickly, although your mortgage payments will generally be higher than they were. On the other hand, if your current long-term loan has a small balance remaining, and was closed a while ago, you may even be able to make the switch without paying more each month. To help you understand your options and the many benefits of refinancing, please call us at (720) 550-4235. We are here to help you reach your goals!
Curious about refinancing your home? Give us a call at (720) 550-4235.