Ready to Refinance? Let us help you achieve your goals!
You made it through one of the toughest challenges: buying a home. Now it has been a few years, and you are looking to upgrade your home loan by refinancing.
But, what is mortgage refinancing?
There are many reasons people refinance their mortgage but the most common ones are to save money on their monthly bill or over the life of their loan. However, some people also take advantage of refinancing to shorten the length of their mortgage or get some of their equity out of their homes to cover other expenses.
Regardless of why you’re thinking about refinancing, it’s important to weigh all your options and come up with a strategy that makes sense for your personal financial goals.
A refinance allows you to switch into a new loan that could help you achieve one or more of those goals. By comparing rates and terms from multiple lenders, Park Mortgage can help you save thousands of dollars in interest over the life of the loan—perhaps pay off your mortgage sooner—or, reduce your monthly payment.
Common Refinancing Goals:
Lower your monthly payment
Reduce your interest rate
Pay off your mortgage earlier
Remove mortgage insurance
Convert to a fixed-rate mortgage
Pay off debt
Is it the right time for you to consider mortgage refinancing? Below are three of the most popular types of refinances.
If you want to make your payments more comfortable and your home value is steady or has increased, you may be able to refinance your mortgage with a traditional refinance loan. You’ll go through an application, approval and closing process, similar to when you got your original mortgage.
Traditional loans are backed by Fannie Mae or Freddie Mac, and they are generally the lowest-cost refinance loans.
Home Affordable Refinance Program (HARP)
The government’s Home Affordable Refinance Program (HARP) has been expanded to help more homeowners qualify for refinancing their mortgage. Even those with little or no equity available may take advantage of low interest rates, and other refinancing benefits. For more information on this program, contact us to see if you qualify.
A cash-out refinance pays off your current mortgage and uses your home equity to provide additional money for other uses. To decide if cash-out refinancing is right for you, first weigh the benefit of how you’ll use the money against the amount of time it takes to pay off the loan.