5 Benefits of Refinancing
If you’re looking to lower your monthly payments and/or change from an adjustable rate to a fixed rate mortgage, there’s no better time to refinance than now. Interest rates are presently at their lowest numbers in decades, providing a cost-effective opportunity for homeowners nationwide. Before rates potentially increase, here are five reasons why you should refinance today:
1. A Lower Monthly Payment
If you have a burdensome mortgage payment that is no longer working for you financially, refinancing could help relieve your stress. Refinancing can allow you to lower your monthly payment so that it better fits your current financial situation. With mortgage rates remaining historically low, you can increase your monthly cash on hand and use the newly available funds to cover living expenses or to invest in a higher yielding opportunity.
2. Consolidated Debt
Consolidating your debt into one loan with a single payment can help improve your life tenfold. By eliminating high credit card interest rates, you can lower your monthly expenses and eliminate the stress of keeping track of multiple monthly payments. With consolidation and a lower interest rate, you can pay off outstanding balances and start saving more money in the bank.
3. Pay Your Mortgage Faster
You can pay your mortgage faster by simply refinancing with a shorter-term mortgage. If you want your mortgage paid in 15 years, you can refinance your existing 30-year fixed-rate mortgage to a 15-year mortgage with a lower interest rate. This significantly cuts down the amount of interest you already pay, helps you build equity faster and gets you out of debt sooner rather than later.
4. Reduce Total Interest Payments
Refinancing offers a great opportunity for lowering your interest rate. The goal is to find you the lowest interest rate possible, and with a shortened mortgage term, you can save on interest payments throughout the length of your loan. Even if you prefer a long-term fixed-rate mortgage, you still have the opportunity for a lower interest rate if you compare interest rates and fees with your broker.
5. Take Out Cash
One of the greatest benefits of refinancing is being able to take cash out. Cash-out refinancing is when you take out a new mortgage for more than you owed. Cash-out refinances are generally used to pay down existing debt. However, you can take the difference in cash to finance home improvements, college education or other important expenses that have become a financial burden on you.
New York Mortgage Refinancing
Take advantage of today’s historically low interest rates and refinance with GuardHill Financial today. If you are looking to consolidate debt from other loans or want to lower your mortgage payment, we are prepared to help you take advantage of this cost-effective opportunity. We work relentlessly to find a plan that works for you. Contact us today to lock in your refinanced loan or check out our refinance savings calculator to see how much money you could be saving. We look forward to hearing from you!