Which Refinancing Program is Right for You?
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There are a huge number of refinancing programs available to borrowers. Contact us at (317)594-9800 and we will match you with the refinance program that fits you best. There are some general things to have in mind while you review the options.
Reducing Your Monthly Payments
Are achieving reduced monthly payments and an improved rate your main reasons for refinancing? Then the best option might be a low fixed-rate loan. Perhaps you now have a higher rate fixed rate mortgage, or maybe you have an ARM — adjustable rate mortgage — where the interest rate varies. Even as interest rates rise, a fixed-rate mortgage will remain at the same, low interest rate, unlike an ARM. If you expect to stay in your home for about five more years, a fixed rate mortgage may be a particularly good choice for you. But if you do plan to sell your home more quickly, you will want to consider an ARM with a low initial rate in order to achieve lower payments.
Refinancing to Cash Out
Are you refinancing primarily to pull out some of your home equity for an infusion of cash? Maybe you're dreaming of a cruise; you have to pay college tuition for your child; or you plan to renovate your home. With this in mind, you want to qualify for a loan higher than the balance remaining on your existing mortgage loan.Then you'll need If you've had your current mortgage loan for quite a while and/or have a high interest mortgage, you might\could be able to do this without making your mortgage payment higher.
Maybe you hope to cash out a portion of the equity (cash out) to put toward other debt. If you have the equity in your home to make it work, taking care of other high interest debt (such as car loans, credit cards, student loans, or home equity loans) means you can possible save hundreds of dollars monthly.
Switching to a Shorter Term Loan
Are you wanting to fatten your equity faster, and pay your mortgage loan off more quickly? You should consider refinancing to a shorterterm loan, such as a 15-year mortgage. The mortgage payments will likely be more than they were with the longer term mortgage, but in exchange, that you will pay quite a bit less interest and can build up equity more quickly. On the other hand, if your existing longer term mortgage has a small balance remaining, and was closed a while ago, you may be able to make the change without paying more each month. To help you determine your options and the many benefits in refinancing, please contact us at (317)594-9800. We are here for you.
Want to know more about refinancing your home? Call us at (317)594-9800.