Although it seems like it sometimes, there are not as many loan options as there are applicants! We can help you find the loan program that will fit your needs the best. Call us at (352) 222-1135 to get things started. What do you hope to achieve with refinancing? Considering in mind the following will help you narrow your choices.
Reducing Your Monthly Payments
Are your refinance goals to lower your rate and consequently your mortgage payments? Then a low, fixed rate loan may be the ideal option for you. An ARM (Adjustable Rate Mortgage) or a high fixed rate mortgage are loans that you may want to refinance. Even if rates get higher later, unlike with your ARM, when you qualify for a mortgage with a fixed rate, you set that low interest rate for the life of your loan. If you are not expecting to move in the near future (about five years), a fixed rate mortgage loan can particularly be a good choice. But if you do plan to sell your home more quickly, you should consider an ARM with a low initial rate to get lower monthly payments.
Getting Out some Cash
Is “cashing out” your primary reason for your refinance? Your home needs new carpet; your son has gone to college and needs tuition; or you are taking your family on a cruise. Then you need to look for a loan above the balance remaining on your present mortgage.Then you’ll want However, if your interest rate is currently high and you’ve had it for quite a few years, you may be able to reach your goals without making your monthly payments higher.
Do you have other debt, perhaps with higher interest, that you’d like to consolidate? If you have enough equity, paying off other debt with rates higher than your mortgage (credit cards or home equity loans, for example) could help save you a lot of money each month.
Paying it off Faster
Do you need to build up home equity quicker, and pay off your mortgage sooner? Consider refinancing to a shorter-term loan, like a 15-year mortgage. Your mortgage payments will probably be more than they were with your longer-term mortgage, but in exchange, that you will pay substantially less interest and will build up equity more quickly. But, you could be able to switch without a bigger monthly payment if your longer-term loan was closed a while ago, and the remaining balance is somewhat low. You may even make it lower! To help you figure out your options and the many benefits of refinancing, please call us at (352) 222-1135. We would love to help you reach your goals!
Want to know more about refinancing? Call us at (352) 222-1135.