Refinancing: Which Option is for You?
There are an enormous number of refinancing programs available to borrowers. Call us at 562 320-0510 and we can help you qualify for the right refinance program to fit your financial needs. In order to review your options, you can list what you want to achieve with your refinance.
Lowering Your Payments
Are your refinance goals to lower your rate and consequently your mortgage payments? Then your best choice may be a low fixed-rate loan. Maybe you are now in a mortgage with a high, fixed interest rate, or a mortgage with which the rate of interest varies - an adjustable rate mortgage (ARM). Even as interest rates rise, a fixed rate mortgage loan will remain at the same, low interest rate, unlike an ARM. If you are not expecting to move in the near future (about five years), a fixed rate mortgage loan can especially be a wise choice. However, if you can see yourself moving before too long, an adjustable rate mortgage with a small initial rate may be the ideal way to lower your monthly payments.
Is "cashing out" your main purpose for refinancing? Maybe you're going on a much needed vacation; you have to pay college tuition for your child; or you plan to renovate your home. So you'll need to find a loan for more than the remaining balance of your existing mortgage.Then you'll need You might not increase your mortgage payemnt, though, if you have had your existing mortgage loan for a long time, and/or your loan interest rate is high.
Consolidating Your Debt
Do you hold other debt, maybe with a high interest rate, that you want to consolidate? If you have the equity in your home for it, taking care of other high interest debt (for example: car loans, credit cards, student loans, or home equity loans) means you can save possibly hundreds of dollars per month.
Switching to a Shorter Term Loan
Are you planning to fatten your home equity faster, and pay off your mortgage loan sooner? If this is your wish, your refinance loan 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 home equity more quickly, although your monthly payments will generally be more than you were paying. But, you could be able to switch without much increase in your monthly payment if your long term mortgage loan was closed a while ago, and the remaining balance is low. You may even pay less! To help you understand your options and the multiple benefits in refinancing, please contact us at 562 320-0510. We are here for you.
Want to know more about refinancing your home? Give us a call: 562 320-0510.