Refinancing Your Home

With interest rates low, and conforming mortgage amounts higher, now is a great time for home refinancing. If these two benefits don't convince you that a refinancing your home is a good idea, consider a few other benefits.

Refinancing Your Home Can Equate To Money Saving Benefits Such As…

• A mortgage of $350,000 at 6.75% gives you a monthly principle and interest payment of $2,270. If you refinance your mortgage for the same amount at 5.75%, your monthly payment drops to $2,047, a $227 monthly savings. When refinancing your home, think of the money saved over the lifetime of your mortgage.

• If you have an adjustable rate mortgage (ARM), or an Option ARM that is set to adjust in the next year or so, now is a great time for home refinancing into a more stable and secure mortgage.

• Need cash and have equity in your home? Homeowners who are refinancing and pulling out additional cash have the benefit of writing off the interest on the money they borrow. Credit card interest is not tax deductible. Use your cash out for home improvements or to pay off other non-tax deductible debt.

With interest rates so low, it is a good time for considering refinancing your home. But before you do, make sure you talk to a professional and reputable lender to get all the facts. Ask for referrals and make sure that before committing to your home refinancing you receive a Good Faith Estimate and a Truth in Lending Disclosure as well.