Refinancing: Which Option is for You?
There are not as many loan options as there are applicants, but sometimes it feels like it! Contact us at 9545392000 and we'll help you qualify for the right loan program to fit your financial situation. What do you hope to achieve with your refinance loan? Keeping in mind the information below will help you narrow your choices.
Making Your Payments Lower
Is your refinance primarily to lower your rate and monthly payments? Then a low, fixed rate loan may be your best option. Maybe you currently have a higher rate fixed rate mortgage, or maybe you have an ARM — adjustable rate mortgage — where the rate of interest can vary. Unlike the ARM, your low fixed-rate mortgage will stay at a certain low rate for the life of the mortgage, even when interest rates rise. If you are planning to stay in your home for about five more years, a fixed rate loan may be an especially good option for you. But if you do plan to sell your home more quickly, you will want to consider an ARM with a low initial rate to get lower monthly payments.
Are you wanting to cash out some of your home equity with your refinance? Perhaps you're planning a special vacation; you need to pay college tuition for your child; or you are planning some home improvements. So you'll want to find a loan for more than the balance remaining of your existing mortgage loan.So you will want If you've had your current mortgage loan for a long time and/or have a loan with high interest, you might\could be able to do this without increasing your monthly payment.
Maybe you'd like to cash out a portion of the equity in your home (cash out) to put toward other debt. If you have the equity in your home for it, taking care of other debt with higher interest than the rate on your mortgage (for example: credit cards, home equity loans, or car loans) means you can possible save several hundred dollars in your monthly budget.
Paying it off Sooner
Are you dreaming of paying off your loan sooner, while building up your home equity faster? If this is your goal, your refinance can move you to a mortgage program with a shorter term, for example: a 15 year loan. The payments will likely be higher than they were with a longer term loan, but in exchange, you will pay considerably less interest and can build up equity quicker. But, you may be able to make the change without a higher monthly payment if your longer term loan was closed a while ago, and the remaining balance is somewhat low. You could even make it lower! To help you understand your options and the multiple benefits of refinancing, please contact us at 9545392000. We are here for you.
Want to know more about refinancing your home? Give us a call: 888-357-1440 or email us at Info@EMBLenders.com.