We are Refinance Experts and a Top Choice with our Clients in Texas
What is Refinancing?
Refinancing is when homeowners take out a new home loan to replace their existing mortgage. The new loan then pays off the initial mortgage loan with a specific goal in mind. Depending on your goals, refinancing your home loan can reduce your monthly payments and help you realize significant, long-term savings as compared to keeping the current loan. Other benefits might include eliminating PMI – Private Mortgage Insurance.
Looking into a home refinance mortgage loan?
The most common type of refinance is with a conventional loan. These loans offer a variety of options and have several advantages to them.
Different Residence: Primary residence, Second home, or Investment property
Variety of Options: Fixed and adjustable, 30, 25, 20, 15, and 10 year loan options
Money: Refinancing is generally less than purchasing and the costs can be rolled into the loan
Benefits of Refinancing a Home Loan
Refinancing is a great opportunity to get a new mortgage that’s better suited to your current lifestyle and financial position. Other benefits of refinancing include:
- Reducing loan terms
Refinancing will also update your loan terms allowing you to take a lower term. This can mean moving from a 30 year loan to a 15 year loan so that you can pay off the loan, build equity, and payoff your home quicker. By reducing your loan terms, you are also lowering the amount of interest you must pay your lender thus saving thousands over the life of the loan.
- Lowering monthly payments
The first item we look for is to save you money by reducing your monthly payment if that is your goal. When you closed on your last home loan, you agreed on a specific interest rate locked to the loan balance. Refinancing involves lowering that interest rate, thereby reducing the amount of money you owe on the principal. If your goal is to lower the term that often means your payment could go up as well. We’ll help identify your goals and present options that best fit your objectives.
- Saving for the future
The goal of refinancing might be to save money. With this extra money your monthly and year savings could be substantial. Whether its lowering the rate, term, or eliminating private mortgage insurance we will review all options for a maximum benefit.
For more information about speaking with a refinance expert on your next home loan, the benefits and loan options and how it may apply to you, please contact us direct at 281-627-4222 or submit the quick quote form on this page.