Time to Refinance
We know that if you have a mortgage, you probably receive countless solicitations to refinance. We sell mortgages for a living and we get a call, email, text, or mailer just about every day trying to get us to refinance. Many of the solicitations advertise phony rates, or tell you that you’re approved for some special loan program. The funny thing about these phony ads is that the companies sending them out don’t even have to lie. Interest rates really are close to being at all-time lows.
Here are some reasons you might want to consider refinancing your current mortgage.
Reasons to Refinance
You could lower your mortgage payment by refinancing into a lower rate. If you’ve had your current mortgage for a while, the balance is going to be lower than when you first got it, and if you refinance now, not only will the rate probably be lower, but the loan amount will also be lower. Borrowing less money at a lower interest rate is a guaranteed way to lower your payment.
If your house has gone up in value (and just about everyone’s house has), your loan-to-value ratio (LTV) will be less if you refinance, and if you have 20% equity in the property, you won’t have to pay mortgage insurance.
If you have other debt, like credit cards, with interest rates that are higher than the current mortgage rates, and you just can’t seem to ever pay them off, refinancing and consolidating those high-interest rate credit cards into your new mortgage could potentially lower your overall payments by hundreds of dollars each month.
If you want to do some extensive home remodeling, there’s probably no cheaper way to pay for it than by getting a cash-out refinance.
Reducing Monthly Payments
Really, anytime you want to lower the amount of money you’re spending each month, looking at refinancing your mortgage is the best place to start. Very often, it makes sense to refinance, although sometimes it doesn’t. The best part of working with us as your lender is that we will tell you if it makes sense or not. All of our business comes from referrals, and the best way to get referrals is to be honest with people. We’ve been honest with our clients for years and years now, and our phones just keep on ringing.
Contact us today to see if refinancing your current mortgage makes sense for you. It’s free, it’s quick, and it’s easy.