Which Refinancing Program is Right for You?
There aren't as many loan programs as there are borrowers, but it feels like it sometimes! We can help you select the refinance loan program that can fit your financial situation the best. Contact us at (317) 288-9434 to get started. In order to review your choices, you will need to list your goals for your refinance.
Making Your Payments Lower
Are getting lower payments and a better rate your main reasons for refinancing? Then a low, fixed rate loan may be the ideal choice for you. An ARM (Adjustable Rate Mortgage) or a high fixed rate mortgage are loans that you might want to refinance. Even if rates come up later, unlike with your ARM, when you close a mortgage with a fixed rate, you set the low rate for the term of your mortgage. This kind of loan is especially a good option if you don't plan to sell your home within the next five years or so. However, if you can see yourself selling your home in the near future, an ARM with a low initial rate might be the best way to bring down your monthly payments.
Getting Out some Cash
Are you planning to cash out some of your equity with your refinance? It could be you need to make home improvements, take care of your college kid's tuition, or go on a dream vacation. Then you will need to look for a loan for more than the balance remaining on your current mortgage loan.With this goal, you want to need to qualify for a loan program for a bigger number than the balance remaining on your present mortgage. You might not have an increase in your mortgage payemnt, though, if you've had your current loan for a number of years, and/or your loan interest rate is high.
Do you have other debt, maybe with a high interest rate, that you need to consolidate? If you have the home equity for it, taking care of other high interest debt (such as home equity loans, student loans, or credit cards) means you can save possibly hundreds of dollars in your budget each month.
Paying it off Faster
Are you wanting to fatten up your equity faster, and get your mortgage paid off more quickly? Then, you'll want to find out about refinancing to a short term mortgage loan - such as a fifteen-year mortgage loan. You will be paying less interest and growing your equity more quickly, although your monthly payments will likely be higher than you have been paying. But, you might be able to make the change without much increase in your monthly mortgage payment if your long term mortgage loan was closed a while ago, and the remaining balance is low. You could even make it lower! To help you determine your options and the many benefits in refinancing, please call us at (317) 288-9434. We are here for you.
Want to know more about refinancing? Give us a call: (317) 288-9434.