Refinancing your home can be a very attractive decision with interest rates currently at historic low levels however it is not right for everybody and homeowners should fully evaluate whether or not refinancing is a financially savvy decision.
It is true that the advantages for refinancing your home have never been so clear but before you jump right in there are things to consider before you make this decision.
There are several important things to consider when deciding whether or not you should be refinancing your home.
These are the top 3 things that you should evaluate: 1.
How long do you plan on living in your current property? If you plan on only staying in your current property for the short term (5 years or so) then there are programs that will make refinancing your home a financially attractive decision.
However, if you plan on staying in your current property for the duration of the loan period then there has never been a better time in history to refinance.
2.
What kind of credit history do you have? If you have a high credit rating you may want to ask a mortgage professional about home loan programs discounted for individuals with good credit.
Maybe you have improved your credit rating since you purchased the home and are now eligible for low interest mortgage rates.
If on the other hand you have less than perfect credit it is important that you be honest with your mortgage professional and fully review your credit report for any mistakes.
The market for less than perfect mortgage loans also known as sub-prime loans has grown significantly in recent years and created more competitive interest rates.
3.
What are your current financial priorities? If your main goal is to have a steady cash flow then there are several options available when refinancing your home that will reduce your monthly payment and put money in your pocket.
Also when you refinance you have the option to take cash out of the equity you put in your home.
This has become a major reason people are choosing to refinance today as cash flow is a significant priority for many Americans.
However, if you have recently received extra funds or anticipate receiving extra funds like stock options, inheritance, or sale of an asset then you might want to consider refinancing your home mortgage so you can pay it down quicker.
If you have the available funds this will save you thousands of dollars in interest over the life of your mortgage.
If you would like to further explore whether or not refinancing your home mortgage is a financially savvy decision than I suggest you contact a mortgage loan officer who will fully evaluate your particular situation.
The most convenient and efficient way to do this is by going to a website that is affiliated with several top lenders and can provide you multiple quotes after filling out just one online application.
Some of these multiple lender websites will charge you an application fee however there are a few good ones that are completely free to the consumer.
It is true that the advantages for refinancing your home have never been so clear but before you jump right in there are things to consider before you make this decision.
There are several important things to consider when deciding whether or not you should be refinancing your home.
These are the top 3 things that you should evaluate: 1.
How long do you plan on living in your current property? If you plan on only staying in your current property for the short term (5 years or so) then there are programs that will make refinancing your home a financially attractive decision.
However, if you plan on staying in your current property for the duration of the loan period then there has never been a better time in history to refinance.
2.
What kind of credit history do you have? If you have a high credit rating you may want to ask a mortgage professional about home loan programs discounted for individuals with good credit.
Maybe you have improved your credit rating since you purchased the home and are now eligible for low interest mortgage rates.
If on the other hand you have less than perfect credit it is important that you be honest with your mortgage professional and fully review your credit report for any mistakes.
The market for less than perfect mortgage loans also known as sub-prime loans has grown significantly in recent years and created more competitive interest rates.
3.
What are your current financial priorities? If your main goal is to have a steady cash flow then there are several options available when refinancing your home that will reduce your monthly payment and put money in your pocket.
Also when you refinance you have the option to take cash out of the equity you put in your home.
This has become a major reason people are choosing to refinance today as cash flow is a significant priority for many Americans.
However, if you have recently received extra funds or anticipate receiving extra funds like stock options, inheritance, or sale of an asset then you might want to consider refinancing your home mortgage so you can pay it down quicker.
If you have the available funds this will save you thousands of dollars in interest over the life of your mortgage.
If you would like to further explore whether or not refinancing your home mortgage is a financially savvy decision than I suggest you contact a mortgage loan officer who will fully evaluate your particular situation.
The most convenient and efficient way to do this is by going to a website that is affiliated with several top lenders and can provide you multiple quotes after filling out just one online application.
Some of these multiple lender websites will charge you an application fee however there are a few good ones that are completely free to the consumer.
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