Refinance

A refinance loan replaces your current mortgage with a new one, often with better terms. The primary goals of refinancing are to lower your interest rate, change your loan term, or access your home’s equity for cash. It’s essentially a fresh start for your mortgage, tailored to your current financial situation and goals.

• Lower Interest Rates: If rates have dropped since you got your original mortgage, refinancing could save you thousands over the life of your loan.
• Lower Monthly Payments: By extending your loan term or securing a better rate, you can reduce your monthly mortgage payment.
• Shorter Loan Term: Switching from a 30-year to a 15-year mortgage helps you pay off your home faster and save on interest.
• Access Equity: Use a cash-out refinance to fund big expenses or consolidate high-interest debt.
• Switch Loan Types: Move from an adjustable-rate mortgage (ARM) to a fixed-rate mortgage for more stability.

Refinancing might be a good idea if:

• Interest Rates Have Dropped: If rates are at least 1% lower than your current rate, refinancing may be worth exploring.
• You Need to Reduce Monthly Payments: Whether your budget has changed or you want more financial flexibility, a refinance can help lower payments.
• You Have High-Interest Debt: Consolidating debt through a cash-out refinance could save you money.
• You Want to Pay Off Your Loan Faster: Switching to a shorter loan term can help you build equity faster and reduce total interest paid.
• Your Credit Has Improved: If your credit score is higher now than when you got your mortgage, you might qualify for better rates.