Which Refinancing Program is Right for You?
There are an enormous number of refinancing programs available to borrowers. Contact us at 248-644-1200 and we can match you with the refinance program that best fits you. What are your goals for your refinance loan? Keeping in mind the information below will help you narrow your choices.
Lowering Your Payments
Are you refinancing primarily to lower your rate and monthly payments? If so, the best option might be a low fixed-rate loan. Perhaps you currently have a fixed-rate mortgage with a higher rate, or perhaps you hold an ARM — adjustable rate mortgage — where the interest rate can vary. Even if rates get higher later, unlike with your ARM, when you qualify for a fixed rate mortgage, you lock in that low rate for the life of your loan. If you aren't planning a move in the near future (about five years), a fixed-rate mortgage can particularly be a great choice. But if you do plan to move more quickly, you will need to consider an ARM with a low initial rate in order to achieve lower mortgage payments.
Are you planning to cash out some of your equity with your refinance? Perhaps you're dreaming of a cruise; you have to pay tuition for your college-bound child; or you plan to renovate your home. In this case, you need to apply for a loan for more than the remaining balance of your present mortgage loan.In that case, you'll need You might not have an increase in your monthly payemnt, however, if you have had your current mortgage for a long time, and/or your interest rate is high.
Maybe you'd like to cash out some home equity (cash out) to put toward other debt. If you own any higher interest debts (like credit cards or car loans), you may be able to pay that debt off with a loan with a lower rate through your refinance, if you have the right amount of home equity.
Building up Equity More Quickly
Are you hoping to fatten up your home equity faster, and get your mortgage paid off more quickly? In that case, you want to find out about refinancing to a short term mortgage - such as a fifteen-year loan. Although your monthly payment amount will probably be increased, you can save on interest; so your equity will build up faster. However, if you have held your existing thirty year loan for a number of years and the loan balance is relatively low, you could be able to do this without raising your monthly mortgage payment — it's even possible to save! To help you determine your options and the multiple benefits in refinancing, please contact us at 248-644-1200. We are here to help you reach your goals!
Want to know more about refinancing? Give us a call at 248-644-1200.
Get a Refinance Quote
Looking to refinance your home? Fill out the following form to get a fast quote from us.