REFINANCING YOUR HOME
You owe it yourself to at least ‘look into’ refinancing your home. Refinancing will make sense if you are thinking about it for the right reasons and at the right time.
Reliable Mortgage can help you decide if refinancing is the best option for you right now. If it is, we will find the best program and rate for you. If not, you'll get the straight truth.
Key Reasons to Refinance...........
- Save more money - Interest rates are still low. Your monthly payments will be reduced if you get a low rate or when your loan term is extended.
- Convert an ARM to a fixed rate mortgage - Lock in a low rate. Repay the loan with stable payments.
- Eliminate PMI - If your current loan balance is below 80%, refinance and eliminate private mortgage insurance.
- Pay down your mortgage quickly - Shorten the length of your mortgage by reducing the loan term. Monthly payments will go up, but you can save more in the overall interest payment. And, you'll be debt free in a shorter time.
- Extra cash now - If you have enough home equity, borrow more than the current loan balance and pay off credit card balances with the extra cash. Mortgage interest is deductible. Credit card interest is not.
- Consolidate two loans - You can consolidate first and second mortgages if there's enough equity (due to high appreciation) and refinance into a single first mortgage. You'll most likely have a lower monthly payment.
- Renovate your home with a renovation refinance.
RELIABLE MORTGAGE REFINANCE LOAN PROGRAMS
For loan amounts less than conforming loan limits, conventional loans are the most utilized refinance loans. Jumbo refinances are used for higher loan amount over the conventional loan limits. Additionally, renovation loans like the Fannie Mae Homestyle loans are good options for those who would like to finance new renovations in their homes.
If you have an FHA,VA, or USDA loan and are current on mortgage payments, a streamline loan may be right for you. The primary advantage of this program is one can refinance without an appraisal, so it does not matter if the home is currently “underwater” or is worth less than what is owed on the property.
This refinancing option is considered ‘streamlined’ because it allows you to reduce the interest rate on your current home loan quickly and WITHOUT AN APPRAISAL.
Streamlined Refinances also cuts down on the amount of paperwork that must be completed by your lender saving you valuable time and money.
In order to qualify for a Streamlined Refinance your original (CURRENT) home loan must be an FHA, VA, or USDA loan in good standing and the refinance must lower your monthly interest payments. This type of refinancing option reduces your monthly expenses by lowering your payments, but there is no option to receive cash back. This works well for people who are in good financial standing with no significant debt because it allows you a little extra money each month that can be put to good use elsewhere.
Call us to see if a Streamlined Refinance is in your best interest. (612-372-5000)