Which Refinancing Program is Best for You?

There are not as many loan options as there are applicants, but sometimes it feels like it! Contact us at (214) 317-4272 and we can work with you to qualify you for the perfect refinance loan to fit your financial needs. surveying your options, you'll need to determine your goals for the refinance.

Making Your Payments Lower

Are getting better mortgage payments and a lower rate your main reasons for refinancing? In that case, getting a low, fixed-rate loan might be a wise option for you. An ARM (Adjustable Rate Mortgage) or a fixed mortgage with a high rate are loans that you might want to refinance. Different that the ARM, your low fixed-rate mortgage will stay at a certain low rate for the term of the mortgage loan, even as interest rates rise. If you are not expecting to move in the near future (about 5 years), a fixed-rate mortgage can particularly be a great option. However, an ARM with a initial low payment could be a wiser way to reduce your monthly payments if you expect to move in the next few years.

Refinancing to Cash Out

Are you refinancing mainly to "cash out" some home equity? Maybe you're planning a special vacation; you have to pay tuition for your college-bound child; or you are planning some home improvements. Then you will want to get a loan for more than the remaining balance on your current mortgage loan.With this goal, you'll want However, if your mortgage rate is high now and you have held it for a long time, you may be able to reach your goals without an increase in your mortgage payment.

Consolidating Your Debt

Maybe you'd like to pull out a portion of the equity in your home (cash out) to put toward other debt. If you own any debt with higher interest (such as credit cards or car loans), you might be able to take care of that debt with a lower rate loan with your refinance, if you have the equity built up to make it work.

Building up Equity Faster

Do you plan to build up home equity quicker, and have your mortgage paid off faster? Consider refinancing to a short-term loan, like a 15-year mortgage. You will be paying less interest and increasing your home equity faster, although your mortgage payments will usually be higher than they were. On the other hand, if your existing long-term mortgage has a small remaining balance, and was closed a number of years ago, you might be able to make the move without paying more each month. To help you understand your options and the many benefits in refinancing, please call us at (214) 317-4272. We are here for you.