Selecting a Refinancing Option
There are an enormous number of refinancing programs available to borrowers. We can help you find the refinance program that will fit your needs the best. Call us at 703.255-5810 to begin the process. In the interest of looking at your options, you should think about your goals for the refinance.
Making Your Payments Lower
Are your refinance goals to lower your rate and consequently your mortgage payments? Then a low, fixed rate loan may be the ideal option for you. Perhaps you are presently in a loan with a high, fixed interest rate, or a mortgage in which the rate of interest varies - an adjustable rate mortgage (ARM). Even when interest rates rise, a fixed-rate mortgage loan will remain at the same, low interest rate, unlike an ARM. If you are expecting to live in your home for about five more years, a loan with a fixed rate may be an especially good choice for you. However, an ARM with a low intitial payment may be a better way to reduce your monthly payments if you see yourself moving in the next few years.
Is "cashing out" your primary purpose for your refinance? Your house needs improvements; your daughter has gone to college and needs tuition money; or you are taking your family on a cruise. So you want to apply for a loan higher than the balance remaining of your present mortgage loan.With this goal, you will You'll want to apply for a loan for a bigger amount than the current balance of your current home loan in that case. However, if your loan interest rate is currently high and you have held it for a long time, you may be able to reach your goals without an increase in your mortgage payment.
Consolidating Your Debt
Do you hold other debt, perhaps with a higher interest rate, that you need to consolidate? If you have a fair amount of home equity, paying off other debt with higher interest rates that your home loan (credit cards or home equity loans, for example) might help save you a lot of cash every month.
Paying it off Sooner
Are you hoping to fatten your home equity faster, and pay your mortgage off more quickly? If this is your goal, the refinance mortgage can switch you to a loan program with a short, for example: a 15 year loan. You will be paying less interest and growing your home equity more quickly, even though your monthly payments will generally be bigger than you were paying. On the other hand, if your existing long-term mortgage has a low balance remaining, and was closed a while ago, you might be able to make the change without paying more each month. To help you figure out your options and the multiple benefits of refinancing, please contact us at 703.255-5810. We can help you reach your goals!
Want to know more about refinancing? Call us at 703.255-5810.