Choosing a Refinancing Option
Although it may seem like it sometimes, there are not as many loan programs as there are borrowers! We can help you find the refinance loan program that can fit your financial situation the best. Contact us at (650) 689-5684 to get started. There are several questions to ask yourself as you review the choices.
Making Your Payments Lower
Are achieving reduced mortgage payments and a better rate your main refinance goals? If so, getting a low, fixed-rate loan could be a wise choice for you. Maybe you now have a fixed-rate mortgage with a higher rate, or maybe you hold an ARM — adjustable rate mortgage — with which the interest rate can vary. Unlike the ARM, your low fixed rate mortgage will stay at a certain low rate for the life of your loan, even when interest rates rise. If you aren't planning on moving in the near future (about five years), a fixed rate mortgage loan can especially be a wise loan option. However, an ARM with a initial low payment may be a better way to lower your payments if you expect to move in the next few years.
Refinancing to Cash Out
Are you refinancing primarily to pull out some of your equity for an infusion of cash? Perhaps you're dreaming of a cruise; you have to pay tuition for your college-bound child; or you are updating your kitchen. So you will need to find a loan for more than the remaining balance on your present mortgage loan.Then you will need You may not have an increase in your monthly payemnt, however, if you have had your current loan for a number of years, and/or your interest rate is high.
Consolidating Your Debt
Do you want to pull out a portion of your equity to consolidate additional debt? Yes you can! If you have the equity in your home to make it work, paying off other high interest debt (for example: car loans, credit cards, student loans, or home equity loans) means you can possible save several hundred dollars monthly.
Building up Equity More Quickly
Do you plan to build up equity more quickly, and have your mortgage paid off sooner? If this is your plan, your refinance mortgage can switch you to a mortgage program with a short, for example: a 15 year loan. The payments will likely be higher than with your long-term mortgage, but in exchange, that you will pay considerably less interest and can build up equity quicker. But, you could be able to make the change without a bigger monthly payment if your long term loan was closed a while ago, and the balance remaining is somewhat low. You may even pay less! To help you determine your options and the numerous benefits in refinancing, please contact us at (650) 689-5684. We are here for you.
Want to know more about refinancing your home? Give us a call: (650) 689-5684.