Which Refinancing Loan Program is Best for You?
When you are overwhelmed with all the choices, it may seem like there are even more loan programs than applicants! Call us at (760)789-9995 and we will work with you to qualify you for the right loan program to fit your financial needs. surveying your options, you can list what you want to achieve with the refinance.
Lowering Your Payments
Are your refinance goals to lower your rate and consequently your mortgage payments? In that case, getting a low, fixed-rate loan may be a wise choice for you. Perhaps you currently hold a fixed-rate mortgage with a higher rate, or perhaps you have an ARM — adjustable rate mortgage — in which the interest rate can vary. Even as interest rates rise, a fixed-rate mortgage loan will remain at the same, low interest rate, unlike an ARM. This kind of loan is especially a wise idea if you don't think you'll be selling your home within the next five years or so. But if you do plan to move more quickly, you will want to consider an ARM with a low initial rate to get reduced payments.
Getting Out some Cash
Are you wanting to cash out some of your home equity in your refinance? Your house needs updating; your son has been accepted to college and needs tuition money; or you are taking your family on a cruise. In this case, you want to look for a loan above the remaining balance on your existing mortgage loan.So you will need However, if your mortgage rate is currently high and you've held it for a long time, you could be able to accomplish your goals without an increase in your mortgage payment.
Do you want to pull out some of your equity to consolidate other debt? Yes you can! If you have a fair amount of home equity, paying toward other debt with rates higher than your mortgage (credit cards or home equity loans, for example) may be able to save you a lot of cash every month.
Building up Equity Faster
Are you planning to fatten your equity faster, and pay off your mortgage sooner? Then, you need to look into refinancing to a short term mortgage loan - such as a fifteen-year mortgage loan. You will be paying less interest and growing your home equity faster, even though your monthly payments will usually be more than they were. However, if you've held your current thirty year loan for a number of years and the loan balance is rather low, you could be do this without increasing your monthly payment — you may even be able to save! To help you understand your options and the numerous benefits of refinancing, please call us at (760)789-9995. We are here for you.