Deciding to Refinance
Traditionally, the decision on whether or not to refinance has meant balancing the savings of a lower monthly payment against the costs of refinancing as well as the possibility of lowering your loan term and saving money on interest in the long run.
We can help establish a mortgage plan that makes sense and benefits you.
You may qualify to refinance for more than the balance remaining on your old mortgage — in effect, tapping your home equity, or "cashing out," in mortgage speak.
Another use for the extra cash is to pay off any higher rate loans you may have.
Trade your Adjustable for a Fixed
By switching to a fixed rate loan, you can lock in an attractive rate for as long as you own your home.
There are certain cases, however, where an ARM makes sense. If you are fairly certain you'll be moving within five years, you may save some money — and avoid rising payments — with a five year ARM.
Build home equity faster
Many borrowers use a refinance to shorten the term of the mortgage. This offers two advantages: you may build up equity faster, and pay far less in total interest over the life of the loan.