When you’re thinking of saving money, a mortgage refinance is one way to do that. This type of loan allows you the option to pay off higher interest rate debts like credit cards and car loans while giving yourself a new low fixed-rate mortgage with an easier monthly payment.
If there’s anything we know for sure in this day and age it’s how expensive things are becoming: rent, groceries, taxes–you name it! But did you also know about what many people call “refi” or refinancing your home? Refinancing your mortgage often means lower monthly payments if done right because instead of paying off high rates on other types of debt such as credit card bills or auto loans at 18% APR (annual percentage rate), you can instead refinance your home mortgage for a lower fixed-rate loan.
Refinancing doesn’t mean that the full amount must be paid off with this type of loan; it’s possible to do just part of it as well if, for instance, there is an outstanding first and second lien on the property. If you’re not sure how much money you might need, refinancing may help determine whether or not enough equity could exist in your current house–or another one–to support borrowing more money from a lender so that maybe debt payments are easier than they were before.
Should you get a Mortgage Refinance?
Getting a Mortgage Refinance is a smart choice if you have been saving money, and the interest rate is more favorable than your current Mortgage. Refinancing can be difficult due to other debts that need to be taken care of before or at the time of closing–this may include paying off some debt, gaining equity in an insurance policy on your life, selling investments outside retirement accounts (IRAs), transferring ownership in the property to another person or entity such as a family member or business partner who will take over payments after you die, getting rid of mortgage obligations by refinancing into a 30-year fixed loan instead–if possible–or taking out income from other sources like Social Security benefits early.
How Can We Help?
Mortgage Refinance Benefits
There are many benefits to refinancing your mortgage, including the ability to:
- Get a lower interest rate on your loan
- Exchange high monthly payments for more manageable ones over time through extending the term of your loan and lowering its principal amount. This can be done by adding extra funds or taking out equity in other ways
- Lower future taxes because you are paying less per month now than before refinancing. This is helpful if you’ll have a higher income tax bracket after retirement or when receiving Social Security benefits.
Contact Legacy Mortgage Today!
Legacy Mortgage is a nationally recognized residential mortgage brokerage company specializing in both refinance and new home loans. We can help you turn your dream of a gorgeous, custom-built house into reality by providing the most competitive rates on mortgages available anywhere today!
Come see why we have so many happy customers!