Which Refinancing Option is Right for You?
The huge number of refinance options available can be overwhelming. We can help you find the refinance loan program that will fit your situation the best. Contact us at (337) 453-0012 to get started. What are your goals for your refinance loan? Keeping in mind the following will help you begin your decision process.
Lowering Your Payments
Is your refinance primarily to lower your rate and monthly payments? In that case, getting a low, fixed-rate loan may be a good choice for you. Perhaps you are presently in a loan with a high, fixed interest rate, or a loan with which the rate of interest varies : an adjustable rate mortgage (ARM). Different that the ARM, your low fixed-rate mortgage will stay at a certain low rate for the term of your mortgage loan, even when interest rates rise. A fixed-rate mortgage can be particularly a wise choice if you aren't planning a move within the next 5 years or so. However, an ARM with a low intitial payment could be a wiser way to lower your payments if you plan on moving in the next few years.
Is "cashing out" your main reason for refinancing? It could be you need to update your kitchen, take care of your college kid's tuition, or go on a dream vacation. So you will need to get a loan higher than the remaining balance on your existing mortgage.Then you'll want to find a loan for a bigger amount than the balance remaining on your existing mortgage loan. If you've had your existing mortgage for quite a while and/or have a loan with a high interest rate, you might\could be able to do this without increasing your monthly payment.
Consolidating Your Debt
Do you want to pull out some home equity to consolidate other debt? Great plan! If you have the home equity to make it work, taking care of other high interest debt (such as home equity loans, student loans, or credit cards) means you may be able to save hundreds of dollars per month.
Switching to a Shorter Term Loan
Are you planning to fatten up your equity faster, and get your mortgage paid off more quickly? Then, you'll need to find out about refinancing to a short term mortgage - like a fifteen-year loan. Even though your mortgage payment amount will likely be more, you will be paying less interest; so your equity amount will rise up faster. Conversely, if your existing longer term mortgage loan has a low remaining balance, and was closed a while ago, you might be able to make the switch without paying more each month. To help you figure out your options and the multiple benefits in refinancing, please call us at (337) 453-0012. We are here to help you reach your goals!
Want to know more about refinancing? Call us at (337) 453-0012.