Refinancing: Which Option is for You?
The huge number of refinance options available is truly breathtaking. We can help you choose the loan program that can fit your needs the best. Call us at (414) 350-5834 to begin the process. There are several things to bear in mind while you look at the choices.
Lowering Your Payments
Are achieving better mortgage payments and an improved rate your main reasons for refinancing? Then the best option might be a low fixed-rate loan. Perhaps you currently have a fixed-rate mortgage with a higher rate, or perhaps you hold an ARM — adjustable rate mortgage — where the rate of interest varies. Different that the ARM, your low fixed rate mortgage stays at a certain low rate for the life of the loan, even if interest rates rise. A fixed-rate mortgage can be particularly a good option if you don't plan to move within the next five years or so. However, an ARM with a low intitial payment may be a smarter way to lower your monthly payments if you expect to move in the next few years.
Getting Out some Cash
Is "cashing out" your main purpose for your refinance? It could be you need to pay for home improvements, take care of your college kid's tuition, or go on a dream vacation. Then you'll want to get a loan higher than the remaining balance of your present mortgage.In this case, you need You may not increase your monthly payemnt, though, if you have had your existing loan for a number of years, and/or your interest rate is high.
Do you have other debt, maybe with higher interest, that you want to consolidate? If you have a fair amount of equity, paying off other debt with rates higher than your mortgage (credit cards or home equity loans, for example) might help save you a lot of money every month.
Paying it off Sooner
Do you plan to build up equity more quickly, and have your mortgage paid off more quickly? Then, you'll need to look into refinancing to a short term mortgage loan - like a fifteen-year mortgage program. You will be paying less interest and growing your equity faster, even though your payments will likely be bigger than they were. But, you may be able to make the change without much increase in your monthly payment if your long term loan was closed a while back, and the balance remaining is small. You could even make it lower! To help you figure out your options and the many benefits in refinancing, please call us at (414) 350-5834. We are here for you.
Curious about refinancing your home? Call us: (414) 350-5834.