Selecting a Refinancing Program
There are a huge number of refinancing programs available to borrowers. Call us at 701.222.0100 and we'll help you qualify for the perfect loan program to fit your needs. There are several things to bear in mind while you review the choices.
Reducing Your Monthly Payments
Are getting lower mortgage payments and an improved rate your main refinance goals? In that case, getting a low, fixed-rate loan could be a wise choice for you. Maybe you are currently in a loan with a high, fixed interest rate, or a mortgage in which the interest rate varies - an adjustable rate mortgage (ARM). Different that the ARM, your low fixed rate mortgage stays at a certain low rate for the life of your mortgage, even if interest rates rise. If you aren't expecting to move in the near future (about five years), a fixed-rate mortgage can particularly be a good choice. But if you do plan to move more quickly, you will need to consider an ARM with a low initial rate to get reduced payments.
Refinancing to Cash Out
Are you planning to cash out some of your equity with your refinance? It could be you want to pay for home improvements, pay your child's college tuition bill, or take a cruise. Then you will need to find a loan for more than the remaining balance of your current mortgage loan.So you You will want to get a loan for more than the current balance of your current mortgage in that case. You might not have an increase in your mortgage payemnt, however, if you've had your existing mortgage loan for a while, and/or your interest rate is high.
Consolidating Your Debt
Perhaps you'd like to cash out some equity (cash out) to put toward other debt. If you have enough home equity, paying off other debt with higher interest that your home loan (credit cards or home equity loans, for example) may help save you a lot of cash every month.
Building up Equity More Quickly
Do you hope to build up equity more quickly, and have your mortgage paid off more quickly? If this is your goal, 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 growing your home equity more quickly, even though your payments will usually be higher than they were. Conversely, if your current longer term loan has a small remaining balance, and was closed a number of years ago, you could be able to make the change without paying more each month. To help you understand your options and the multiple benefits in refinancing, please contact us at 701.222.0100. We can help you reach your goals!
Curious about refinancing your home? Give us a call at 701.222.0100.