Choosing a Refinancing Program
Although it seems like it sometimes, there are not as many loan programs as there are applicants! Call us at 562 320-0510 and we'll help you qualify for the perfect refinance loan program to fit your needs. There are several questions to ask yourself while you look at your options.
Lowering Your Payments
Are getting lower mortgage payments and a better rate your main reasons for refinancing? If so, applying for a low, fixed-rate loan may be a wise option for you. An ARM (Adjustable Rate Mortgage) or a fixed mortgage with a high rate are loans that you may want to refinance. Even if rates come up later, unlike with your ARM, when you qualify for a mortgage with a fixed rate, you lock in that low rate for the term of your mortgage. This can be especially a wise option if you don't plan to move within the next five years or so. However, an ARM with a initial low payment could be a smarter way to lower your payments if you see yourself moving within the near future.
Getting Out some Cash
Are you planning to cash out some of your home equity with your refinance? Maybe you're going on a much needed vacation; you have to pay college tuition for your child; or you are planning some home improvements. So you need to apply for a loan above the remaining balance on your current mortgage loan.Then you will You'll want to apply for a loan for more than the current balance on your existing home loan in this case. If you've had your current mortgage for quite a while and/or have a high interest mortgage, you might\could be able to do this without making your monthly payment bigger.
Consolidating Your Debt
Do you want to pull out some of your equity to consolidate other debt? Yes you can! If you have any debt with higher interest (like credit cards or car loans), you may be able to pay that debt off with a lower rate loan through your refinance, if you have the home equity built up to make it work.
Paying it off Faster
Do you want to build up home equity more quickly, and pay off your mortgage faster? In that case, you want to find out about refinancing to a short term mortgage - like a fifteen-year mortgage program. Although your monthly payment amount will probably be increased, you will be paying less interest; so your equity will build up faster. On the other hand, if your current longer term mortgage has a small remaining balance, and was closed a while ago, you might be able to make the move without paying more each month. To help you determine your options and the numerous benefits of refinancing, please contact us at 562 320-0510. We are here for you.
Want to know more about refinancing? Give us a call: 562 320-0510.