Completing a Mortgage Refinance can be a smart way to improve for your
financial situation. Depending on your circumstances you may want to undergo mortgage
refinancing for any of the following reasons:
Mortgage Refinance To Lower Your
Even a small reduction in your mortgage rate can have a significant impact in the long-run.
Refinancing to lower your monthly payment frees up cash flow, so you can manage your money
more effectively. Furthermore, if you plan to stay in your home for a long time, you may want
to mortgage refinance and consider buying down your rate to reduce your monthly payment. If
you have equity in your home, home loan refinancing could enable you to lower your mortgage
Mortgage Rate & Payment
Mortgage Refinance To Consolidate Debt
If you have debt outside of your mortgage and you have equity in your home, it may be time to
consider refinancing your home. You are likely paying a much higher interest rate on credit
cards and auto loans, and by mortgage refinancing you could roll all of these debts into one
tax deductible loan. Credit card interest rates may be as high as 25%. Refinancing your home
to pay off and consolidate debt under one low mortgage rate and monthly payment may be a smart
alternative for you. A well structured home refinance could save you a great deal of money.
Mortgage Refinance To Get Cash Out Of Your Home
Completing a mortgage refinance can get you cash out of your home for a variety of purposes,
including education expenses, vacations, other investments, home improvements and more.
Mortgage refinancing could be a better option than using high-rate credit cards or personal
Mortgage Refinance To Pay off Your Home Loan Faster
A mortgage refinance can be structured to pay off your home quicker. Instead of refinancing
into a typical 30 year mortgage, you could get a 20, 15, or even 10 year fixed so you pay it
off quicker. Also, many home refinance loans give you the option of paying more on your
principal every month so you can pay down your home loan fast as well. Refinancing can allow
you to consider multiple options and/or types of mortgage loan products.
Mortgage Refinance To Move To A Fixed Rate From An ARM
Adjustable Rate Mortgages (ARMs) are great when mortgage rates are low. However, as rates
increase that ARM quickly becomes a significant burden. That's when it is time to
consider mortgage refinancing into a fixed rate loan. Especially if you plan on staying in
your home for a few years, refinancing your mortgage loan into a stable fixed rate may make a
great deal of sense and give you more peace of mind.
Mortgage Refinance To Eliminate Private Mortgage Insurance (PMI)
If you were unable to make a down payment of at least 20% when you first obtained your
mortgage loan, you may be paying PMI. If your house has appreciated and/or you have paid down
your existing mortgage, you may be able to mortgage refinance your home to eliminate your
monthly PMI payment. Along with possibly lowering your rate, a mortgage refinance could reduce
your monthly mortgage payment considerably.