There are many benefits to Refinancing your mortgage.
Its important to know how your current mortgage situation could impact your overall current financial position as well as your future plans. Now a days, refinancing has become much easier and there are many more options to choice from.
Here are 10 reasons you should consider Refinancing:
1. Most of the loan processing is now handled electronically, so very little to no paper! Your Application and necessary disclosures are all signed via e-sign, no more printed packages and “wet” signature.
2. Documentation can now easily be uploaded to online portals for efficiency and security.
3. Investors will now allow “odd” terms when refinancing. No more going backward with your loan term. Terms from 8 years – 30 years are now available.
4. Refinancing may sometimes help with lowering your overall monthly payments. This can be achieved with a lower interest rate or through debt consolidation.
5. Refinancing allows you to tap into the equity within your home, which helps with debt consolidation or helps with improvements you would like to make to your home. Taking cash out might be your answer.
6. Maybe lowering your term is what you need to improve your financial situation? With lower rates, refinancing to a lower term may help you achieve long term financial goals and can help you pay off your mortgage sooner.
7. If you will not be in your home for the remaining term of your current mortgage, refinancing to an Adjustable rate mortgage may get you a lower interest rate and still get you the fix rate term you need. If you are only going to be in your house for another 5 years, why not consider a 5/1 Adjustable rate mortgage?
8. Do you have a HELOC? If so, now might be the time to combine your first mortgage and your HELOC into one loan. The blended rate on the two loans may be higher than the new interest rate on the new refinance.
9. If you are paying Private Mortgage Insurance (PMI) as part of your current mortgage payment, refinancing your mortgage may allow you to eliminate this payment. You may have the equity you need to eliminate or reduce the amount you are paying for private mortgage insurance.
10. If you purchased your home with a cosigner, refinancing would allow you to remove the cosigner, improving the loan responsibly/liability obligation for that cosigner.
If any of these apply to you, do not let your current mortgage situation sit too long! Contact one of our Loan officers to talk about a mortgage review!