Refinancing: Which Loan Program is for You?

There are an enormous number of refinancing options available to borrowers. We can guide you to locate the loan program that will fit your situation the best. Contact us at 561-475-2281 to get things started. In the interest of looking at your options, you can consider what you want to achieve with the refinance.

Lowering Your Payments

Are achieving reduced monthly payments and an improved rate your main reasons for refinancing? In that case, applying for a low, fixed-rate loan could be a wise option for you. An ARM (Adjustable Rate Mortgage) or a high fixed rate mortgage are loan programs that you might want to refinance. Unlike the ARM, your low fixed-rate mortgage stays at a certain low rate for the life of your mortgage, even as interest rates rise. If you are expecting to stay in your home for about five more years, a fixed rate loan may be an especially good choice for you. However, if you can see yourself selling your home within the next few years, an ARM mortgage with a small initial rate might be the best way to reduce your monthly payments.

Refinancing to Cash Out

Is your refinance goal mainly to pull out some home equity for an infusion of cash? It could be you're planning a special vacation; you need to pay tuition for your college-bound child; or you are updating your kitchen. So you will need to apply for a loan for more than the remaining balance of your current mortgage.So you'll want If you've had your current mortgage loan for a number of years and/or have a high interest mortgage, you may be able to do this without making your mortgage payment bigger.

Consolidating Debt

Maybe you want to pull out some of the home equity (cash out) to put toward other debt. If you hold any debt with high interest (such as credit cards or car loans), you might be able to take care of that debt with a loan with a lower rate through your refinance, if you have the equity built up to make it work.

Switching to a Shorter Term Loan

Are you hoping to fatten up your home equity faster, and get your mortgage paid off sooner? Consider refinancing to a shorterterm loan, like a 15-year mortgage. Although your mortgage payment amount will likely be more, you can save on interest; so your equity amount will rise up faster. Conversely, if your existing long-term loan has a low balance remaining, and was closed a while ago, you could be able to make the switch without paying more each month. To help you figure out your options and the numerous benefits of refinancing, please contact us at 561-475-2281. We will help you reach your goals!

Curious about refinancing your home? Call us: 561-475-2281.