Refinancing your Mortgage Loan
Tips for Getting Started on Refinancing your Mortgage
Reasons to refinance:
1. Lower your interest rate
Refinancing your mortgage is a great way to save thousands of dollars over the length of your mortgage loan. Lowering your interest rate is one of the top reasons for refinancing your mortgage. This can make a big difference in your monthly expenses and costs for housing by saving money on financing fees.
2. Building equity faster
Homeowners build equity with their monthly mortgage payments. This equity is a form of asset and can be returned to the homeowners upon the sale of the property. In this way, homeownership is a type of forced savings. Homeowners can borrow against their equity as the value of the home increases If you are in a position to make higher monthly payments due to an increase in salary or other good fortune, you may want to switch from a 30-year loan program into a 15 or 20-year loan structure. This enables you to build equity faster and save a tremendous amount of money on financing fees.
3. Convert Your Adjustable Rate Mortgage
Many homeowners who start with Adjustable Rate Mortgages desire to move to the stability of a Fixed Rate mortgage later on down the road. As interest rates fluctuate, making original deals less attractive, people will change their loan programs in order to capitalize on the best rates available.
4. Improved Credit Rating
Your credit score has improved as a result of making your mortgage payments on time and in full, you may be in a position to take advantage of your improved credit standing. Over time, you will end up with a much improved credit score and a more admirable credit history. Your improved credit score helps you obtain a lower interest rate.
5. Use the equity you have established - Cash out Refinance
A cash-out refinance allows you to tap into the equity you have built up in your home. You may want to pay off revolving credit card accounts, send a child to college, or use the money for home improvements or personal expenses.
6. Tax deductions
Homeowners can deduct mortgage interest and property tax payments on their income tax return.
We’re making it easier than ever for you to do the things you want to do—whether it’s lowering your mortgage payment, consolidating debt, or remodeling your home. Regardless of credit history or employment status, we can help you refinance your home and free up the cash you need
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