Mortgage refinancing is a valuable option for homeowners who want to lower their monthly payments, reduce the amount of interest on their current mortgage, or get access to extra cash. With mortgage refinancing, the borrower essentially pays off a preexisting mortgage with a new, more favorable loan, taking advantage of term renegotiation and lower interest rates. For those that have built up enough equity in their homes, mortgage refinancing can also be a way to put cash-in-hand for home improvement projects, pay off high interest credit cards or other expenses. Even if you've had financial difficulties in the past, it's worth spending a few minutes to asses your options and the potentially lifestyle changing benefits of mortgage refinancing.
When to consider refinancing
Struggling with high monthly payments?
If mortgage payments are looming over your monthly budget, refinancing can help. There are many options you can chose from in order to relieve the stress of high monthly payments:
- Switch from a high-interest ARM loan to a lower interest, fixed-rate loan
- Take advantage of declining rates and refinance your mortgage with another, low interest loan
- Lengthen the term of your loan and immediately lower your monthly payments.
If you have equity in your current home, you can refinance for a larger principal than your remaining mortgage and use the difference to pay for any number of expenses. This type of refinancing, called "cash-out" refinancing, can be used for:
- Home renovations
- College tuition
- Car payments
- Or to pay off high-interest credit card debt
Would you just like to save thousands of dollars?
Even if you aren't struggling with your mortgage payments or currently in need of extra cash, you can still take advantage of nationally lower interest rates or renegotiate the term of your loan and potentially save thousands of dollars in interest!
- Interest rates are now extremely low
- Quickly reduce your monthly mortgage payments
- Your new low payment can free up funds for a better quality of life for you and your family
Mortgage Refinancing Benefits
No matter what your current financial situation is, anyone can potentially take advantage of the numerous benefits of mortgage refinancing. With refinancing you can:
- Lower you monthly payments
- Use your home equity to get extra cash now
- Swap high-interest credit-card debt for a lower-interest loan
- Adjust the term of your loan and get on the fast track to owning your home outright
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