Refinancing: Which Loan Program is for You?
There are a huge number of refinancing programs available to borrowers. We can help you select the refinance program that will fit your financial situation the best. Call us at (718) 477-4405 to get started. surveying your options, you'll need to think about what you want to achieve with the refinance.
Lowering Your Payments
Are achieving reduced mortgage payments and a better rate your main reasons for refinancing? In that case, applying for a low, fixed-rate loan could be a good option for you. Maybe you are presently in a mortgage with a high, fixed interest rate, or a mortgage loan with which the rate of interest varies - an adjustable rate mortgage (ARM). Even if rates get higher later, unlike with your ARM, when you qualify for a mortgage with a fixed rate, you lock in the low interest rate for the term of your loan. If you expect to live in your home for at least five more years, a loan with a fixed rate may be an especially good choice for you. But if you do plan to move more quickly, you should consider an ARM with a low initial rate in order to achieve lower payments.
Getting Out some Cash
Is your refinance goal mainly to pull out some of your home equity for an infusion of cash? Your house needs renovating; your daughter has gone to University and needs tuition; or you are planning a special vacation. Then you need to look for a loan higher than the balance remaining on your current mortgage.So you will need You may not increase your mortgage payemnt, though, if you've had your current mortgage for a number of years, and/or your interest rate is high.
Do you want to pull out some equity to consolidate other debt? Good plan! If you have enough equity, paying toward other debt with higher interest rates that your home loan (credit cards or home equity loans, for example) may be able to save you a chunk of money each month.
Getting a Shorter Term Loan
Are you planning to fatten up your home equity faster, and pay off your mortgage loan more quickly? You should consider refinancing to a shorterterm loan, like a 15-year mortgage loan. You will be paying less interest and increasing your home equity faster, even though your monthly payments will usually be more than they were. However, if you have held your current thirty-year mortgage loan for a long time and the remaining balance is somewhat low, you might be do this without increasing your monthly payment — you could even be able to save! To help you figure out your options and the multiple benefits in refinancing, please contact us at (718) 477-4405. We are here for you.
Curious about refinancing? Give us a call at (718) 477-4405.