Compare Listings

Dispelling Refinancing Myths

“Refinancing” is a scary word for many people, but that shouldn’t be the case for you. For many homeowners, refinancing can not only lower your monthly payments, and help with your monthly budget, but it can save you thousands of dollars in the long run.

You’re not too late!

For years now, we have been hearing that interest rates will be on the rise, and although there have been some small increases, you’re still in a great position to drastically lower your interest rate. The general rule is if your mortgage interest rate is more than one percent above current market rate, you should consider refinancing.

It’s not too time consuming

Do not brush off refinancing just because it seems like a long and daunting process. An informational call with a lender to see how rates compare will only take a few minutes. There are also some programs for streamlining the application process.

ARM’s can be refinanced too

Seeing your adjustable rate mortgage (ARM) increase after the introductory period can be incredibly stressful and place a squeeze on your budget. Many people assume they’re stuck but ARMs can be refinanced just like fixed rate mortgages. You can even switch to a shorter term fixed rate mortgage such as 15 or 23 years. The longer you’re planning to stay in the home, the more sense it makes to look into refinancing.

img

Jamie Lou

Related posts

Difference Between Short Sale and Foreclosure

As unfortunate as it can be when homeowners fall behind on mortgage payments and must face the...

Continue reading
by Jamie Lou

PITI?

Have you been looking at homes on the market and have come across the acronym PITI? What does this...

Continue reading
by Jamie Lou

Join The Discussion