Choosing a Refinancing Program
There are an enormous number of refinancing programs available to borrowers. We can help you choose the refinance program that will fit your needs the best. Contact us at 701.222.0100 to get things started. There are some general questions to ask yourself while you look at the options.
Making Your Payments Lower
Are you refinancing primarily to lower your rate and monthly payments? In that case, applying for a low, fixed-rate loan could be a good choice for you. Perhaps you currently hold a fixed-rate mortgage with a higher rate, or perhaps you have an ARM — adjustable rate mortgage — with which the rate of interest varies. Different that the ARM, your low fixed-rate mortgage stays at a certain low rate for the term of the mortgage loan, even if interest rates rise. If you are expecting to stay in your home for about five more years, a fixed rate mortgage may be a particulary good option for you. But if you do plan to move more quickly, you will need to consider an ARM with a low initial rate to get lower monthly payments.
Refinancing to Cash Out
Is "cashing out" your main reason for refinancing? Your home needs updating; your son has gone to University and needs tuition money; or you have a special family vacation planned. In this case, you will want to get a loan above the balance remaining on your current mortgage.Then you want If you've had your current mortgage for a long time and/or have a mortgage with a high interest rate, you might\could be able to do this without making your mortgage payment higher.
Perhaps you'd like to cash out a portion of the equity (cash out) to put toward other debt. If you own some debt with high interest (such as credit cards or car loans), you might be able to pay that debt off with a lower rate loan through your refinance, if you have the right amount of home equity.
Building up Equity Faster
Are you dreaming of paying your loan off more quickly, while building up your equity more quickly? If this is your plan, your refinance mortgage can change you to a loan program with a short, for example: a 15 year loan. You will be paying less interest and increasing your equity more quickly, even though your mortgage payments will likely be higher than they were. However, if you have held your existing thirty-year mortgage loan for a long time and the loan balance is somewhat low, you might be do this without raising your mortgage payment — you might even be able to save! To help you understand your options and the multiple benefits in refinancing, please call us at 701.222.0100. We are here for you.
Want to know more about refinancing? Call us at 701.222.0100.