“Refinancing” your home mortgage means that you take out a loan on your home and use it to pay off an existing mortgage. Essentially, you are replacing your home’s old financing with new financing.
Homeowners typically choose to refinance when they can do so under better terms, thereby lowering their interest rate, monthly payment, or the payback period. For instance, if interest rates have gone down significantly since you obtained your original mortgage, or if your credit has improved, refinancing might save you thousands of dollars over the term of your mortgage. That said, there are fees associated with refinancing, so it’s not always worth doing.
Here are some of the reasons that refinancing might be a good option:
Anyone with a mortgage should consider refinancing. Changes in your income, career, goals, or in the housing market might suggest opportunities that you can take advantage of. There are fees associated with refinancing, so it’s not right for everyone, such as those who expect to sell their home in 2-5 years.
Use our Online Mortgage Calculator to see how much your monthly payments would be at today’s interest rates. Whether you’d like to reduce your monthly payments, shorten the length of your loan, or cash out part of your equity, our calculator can help you decide if refinancing fits with your goals.
It’s easy! You can apply online now through our Way Better Mortgage ApplicationTM or contact us to speak with one of our Home Renovation Specialists.
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