Refinancing: Which Loan Program is for You?
Even though it seems like it sometimes, there aren't as many refinance loan options as there are applicants! Call us at (610) 889-7467 and we will match you with the loan program that fits you best. In order to review your options, you should determine what you want to achieve with your refinance.
Lowering Your Payments
Are getting lower payments and an improved rate your main reasons for refinancing? Then a good option could be a low fixed-rate loan. Maybe you are presently in a mortgage with a high, fixed interest rate, or a mortgage with which the rate of interest varies : an adjustable rate mortgage (ARM). Different that the ARM, your low fixed rate mortgage will stay at a certain low rate for the term of your loan, even as interest rates rise. If you plan to stay in your home for about five more years, a fixed rate loan may be an especially good fit for you. But if you do expect to move more quickly, you will want to consider an ARM with a low initial rate to get lower monthly payments.
Getting Out some Cash
Is your refinance goal mainly to pull out some equity for an infusion of cash? Your house needs new carpet; your son has gone to University and needs tuition money; or you have a special family vacation planned. Then you want to get a loan for more than the remaining balance of your current mortgage.In that case, you will You'll need to find a loan for more than the remaining balance of your present home loan in this case. You might not increase your monthly payemnt, however, if you've had your current mortgage loan for a while, and/or your interest rate is high.
Do you hold 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 debt with higher interest than the rate on your mortgage (such as credit cards, home equity loans, or car loans) means you can possible save hundreds of dollars in your monthly budget.
Switching to a Shorter Term Loan
Are you planning to fatten your home equity faster, and pay your mortgage off more quickly? Then, you want to look into refinancing to a short term mortgage loan - like a fifteen-year mortgage loan. Even though your mortgage payment amount will probably be increased, you can be paying less interest; so your equity amount will rise up faster. On the other hand, if your existing long-term mortgage has a small balance remaining, and was closed a number of years ago, you could be able to make the change without paying more each month. To help you determine your options and the numerous benefits in refinancing, please contact us at (610) 889-7467. We are here for you.
Curious about refinancing your home? Call us: (610) 889-7467.