Selecting a Refinancing Program
There aren't as many refinance loan programs as there are applicants, but sometimes it seems like it! We can help you find the loan program that can fit your financial situation the best. Call us at (302) 765-8089 to get started. There are several things to keep in mind as you look at the choices.
Making Your Payments Lower
Are achieving reduced payments and an improved rate your main refinance goals? In that case, a good option could be a low fixed-rate loan. Perhaps you are now in a mortgage with a high, fixed interest rate, or a mortgage with which the interest rate varies - an adjustable rate mortgage (ARM). Even when rates rise later, unlike with your ARM, when you get a mortgage with a fixed rate, you set the low interest rate for the term of your mortgage. If you are expecting to stay in your home for about five more years, a loan with a fixed rate may be a particulary good choice for you. However, an ARM with a initial low payment may be a smarter way to reduce your payments if you expect to move within the near future.
Getting Out some Cash
Are you wanting to cash out some of your equity in your refinance? It could be you want to pay for home improvements, take care of your college kid's tuition, or go on a dream vacation. Then you want to get a loan for more than the balance remaining of your current mortgage loan.With this goal, you You will be looking for a loan for a bigger amount than the remaining balance with your existing mortgage in this case. You might not increase your mortgage payemnt, though, if you have had your existing mortgage for a number of years, and/or your interest rate is high.
Do you have other debt, maybe with high interest, that you want to consolidate? If you have the equity in your home for it, taking care of other debt with higher interest than the rate on your mortgage (for example: car loans, credit cards, student loans, or home equity loans) means you can save possibly several hundred dollars monthly.
Building up Equity More Quickly
Are you dreaming of paying off your loan faster, while beefing up your home equity quicker? If this is your goal, your refinance can change you to a loan program with a short, such as a 15 year loan. You will be paying less interest and increasing your equity more quickly, even though your monthly payments will likely be higher than they were. However, if you have had your current thirty year loan for a number of years and the remaining balance is relatively low, you might be able to do this without raising your monthly mortgage payment — you could even be able to save! To help you figure out your options and the many benefits in refinancing, please contact us at (302) 765-8089. We are here for you.
Want to know more about refinancing? Call us: (302) 765-8089.