Refinancing Your Home
Refinancing your home can be a smart financial choice. If interest rates are lower or you have a current financial need, it may be a great time for you to refinance.
Benefits of Refinancing
Depending on your circumstances, refinancing can change your monthly payment along with a number of other benefits:
- Lower interest expense. You can reduce your interest cost over the life of the mortgage by taking advantage of lower rates and/or shortening the term of your loan.
- Lower monthly payment. A lower interest rate or a longer term mortgage can lower your payments.
- Debt consolidation. If you have a stressful debt load, refinancing could help you consolidate higher interest rate loans into one monthly payment with less interest.
- Increase equity faster. Refinancing can shorten your repayment period, increasing the equity in your home faster.
- Home improvement. You can use the equity in your home to receive extra cash for home improvement projects.
When should I refinance?
Is refinancing a possibility for you? Ask yourself a few questions to see if it might pay off:
- What is my interest rate? Are current rates lower?
- How long do I plan to stay in this house?
- Will the savings of a lower interest rate or shorter term outweigh closing costs?
- Do I have debt that could be consolidated at a lower rate?
Contact us to see if refinancing could be beneficial for you.