Mortgage refinancing is an intimidating long-term prospect, but the potential benefits might outweigh the risk. People choose to refinance their mortgage for a variety of reasons, but it is a decision that should be made on a case-by-case basis. Refinancing can be a lifesaver for some people, and a mistake for others. Here are some of the most common reasons to talk with an expert about refinancing your loans:
You may be getting a better interest rate, but you will be significantly extending the terms of your loan; this may bring short-term relief but will change the tables for long-term considerations like moving. Think about how long you plan on living in the house before you consider refinancing.
Achieving a certain amount of equity on your home will qualify certain homeowners for mortgage insurance elimination. This is a huge incentive for refinancing, as it can eliminate a major source of financial stress. Just be sure to pay attention to closing costs when refinancing your mortgage, and compare them to the amount saved to make sure benefits outweigh the costs.
For more information call an expert at 803-765-1680 or toll–free at 800-854-9484.