After becoming a homeowner, there are several reasons why one would opt to refinance. Changes in interest rates, the economy, financial goals and even life events all might create a need. Many times your home can help you meet your goals today and well into the future. Because of our expertise and local roots, McLean Mortgage is in the ideal position to provide you with a variety of choices by advising you regarding the best direction to take when making this all-important financial decision.
Should You Refinance Your Mortgage?
Making a decision to refinance calls for the consideration of many variables. The term, loan amount, closing costs, rate and the type of mortgage can all be a factor in making the right decision.
What Are Some Common Reasons For Refinancing?
Lower Monthly Payment
When market rates are lower than the current rate on your mortgage, refinancing may translate into larger monthly savings.
Build Up Equity
McLean can present options that will allow you to payoff a mortgage in 20, 15 or even 10 years and these options are typically offered at lower rates than the 30 year mortgage.
End Costly Mortgage Insurance
A combination of home appreciation & paying down your mortgage over time can put you in position to eliminate your monthly mortgage insurance payment.
Safety From Adjustables
With an adjustable rate mortgage (ARM) there is a risk of rising payments after rates adjust. Refinancing at the end of this period allows you to benefit from the adjustable and return to the safety of a fixed rate.
With sufficient equity in your home it may be possible to consolidate debts and significantly lower your total payments. Sometimes portions of these savings may be applied to shorten the term of the new mortgage.
The equity in your home can also be used for purposes other than consolidating debts. You might use the equity to fund a retirement plan, purchase an investment property, or pay for a wedding or college.
Is It Time for a Home Checkup?
You know that having regular medical checkups is important for your long-term health BUT did you know that a regular mortgage checkup can help you achieve your long-term financial fitness goals as well?
Take advantage of low interest rates to increase your cash flow - before rates move up and the opportunity is gone.
Convert an adjustable-rate mortgage to a safe fixed-rate loan.
Use today’s low rates to build-up equity in your home more quickly with terms ranging from 10-20 years.
Use equity in your home to increase cash flow by consolidating debts or undertaking renovation projects that will enhance your home’s value.
Consolidate a first and second lien to save money and simplify your home financing.
Use the value of your home to reduce the costly mortgage insurance payments.
Contact Us for a Mortgage Analysis
At McLean Mortgage we are dedicated to providing guidance so that you can make the right decision with regard to refinancing your mortgage. That is why we offer a FREE Mortgage Analysis from an expert advisors which will help determine whether you would benefit from refinancing and what options can help you achieve the maximum benefits. If you have a financial advisor, we will work with them to make sure this new mortgage fits into your overall financial plan so that you can achieve your long-term financial goals more efficiently.