Which Refinancing Option is Right for You?
Although it seems like it sometimes, there aren't as many refinance loan choices as there are borrowers! Call us at 248-644-1200 and we can match you with the refinance program that fits you best. What are your reasons for refinancing? Considering in mind the following will help you begin your decision process.
Reducing Your Monthly Payments
Are getting lower mortgage payments and a better rate your main reasons for refinancing? In that case, a low, fixed rate loan may be the ideal option for you. An ARM (Adjustable Rate Mortgage) or a high fixed rate mortgage are loan programs that you might want to refinance. Even if rates come up later, unlike with your ARM, when you qualify for a mortgage with a fixed rate, you set the low rate for the term of your mortgage. If you plan to live in your home for at least five more years, a fixed rate mortgage may be a particulary good option for you. However, an ARM with a low intitial payment could be a better way to reduce your monthly payments if you see yourself moving in the next few years.
Getting Out some Cash
Is "cashing out" your primary reason for your refinance? Your house needs new carpet; your daughter has been accepted to University and needs tuition; or you are taking your family on a cruise. So you'll need to find a loan for more than the balance remaining on your present mortgage.With this goal, you'll want If you've had your current mortgage loan for a long time and/or have a high interest mortgage, you might\could be able to do this without increasing your monthly payment.
Consolidating Your Debt
Do you have other debt, maybe with high interest, that you need to consolidate? If you have the equity in your home to make it work, paying off other high interest debt (like home equity loans, student loans, or credit cards) means you can save possibly hundreds of dollars in your monthly budget.
Getting a Shorter Term Loan
Are you dreaming of paying off your loan more quickly, while building up your equity faster? Consider refinancing with a shorterterm loan, often a 15-year mortgage. The mortgage payments will likely be more than they were with the long-term mortgage loan, but in exchange, that you will pay considerably less interest and will build up equity quicker. But, you could be able to make the change without a higher monthly mortgage payment if your longer term loan was closed a while ago, and the remaining balance is low. You could even pay less! To help you understand your options and the multiple benefits of refinancing, please call us at 248-644-1200. We are here for you.
Curious about refinancing? Call us: 248-644-1200.
Get a Refinance Quote
Looking to refinance your home? Fill out the following form to get a fast quote from us.