Choosing a Refinancing Program
|Are you looking for a mortgage? We'd be thrilled to talk about our many mortgage solutions! Call us at 949-421-1000 x701. Ready to get started? Apply Now.|
There are an enormous number of refinancing options available to borrowers. We can guide you to choose the refinance program that will fit your financial situation the best. Call us at 949-421-1000 x701 to begin the process. What are your reasons for refinancing? Considering in mind the following will help you narrow your choices.
Reducing Your Monthly Payments
Are achieving reduced payments and a lower rate your main refinance goals? Then a low, fixed rate loan may be your best option. Maybe you now have a higher rate fixed rate mortgage, or perhaps you have an ARM — adjustable rate mortgage — in which the rate of interest can vary. Even if interest rates rise, a fixed rate mortgage must remain at the same, low interest rate, unlike an ARM. This kind of loan can be particularly a good option if you don't think you'll be moving within the next five years or so. However, an ARM with a initial low payment may be a better way to lower your monthly payments if you plan on moving in the next few years.
Are you planning to cash out some of your equity with your refinance? Perhaps you're planning a special vacation; you have to pay college tuition for your child; or you plan to renovate your home. With this in mind, you'll need to find a loan higher than the balance remaining of your existing mortgage.In this case, you'll want You might not have an increase in your monthly payment, however, if you've had your current mortgage for a while, and/or your loan interest rate is high.
Consolidating Your Debt
Do you hold other debt, maybe with high interest, that you need to consolidate? If you hold any higher interest debts (such as credit cards or vehicle loans), you might be able to take care of that debt with a lower rate loan through your refinance, if you have enough equity.
Getting a Shorter Term Loan
Are you hoping to fatten your equity faster, and pay your mortgage loan off sooner? If this is your plan, your refinance loan can move you to a mortgage loan program with a short, like a 15 year loan. Although your mortgage payments will usually be more, you will save on interest; so your home equity will rise up faster. However, if you've held your current thirty-year mortgage loan for a number of years and the remaining balance is relatively low, you might be do this without increasing your monthly payment — it's even possible to save! To help you understand your options and the numerous benefits in refinancing, please contact us at 949-421-1000 x701. We can help you reach your goals!