If you want to reduce your monthly mortgage payment and save more money, it could be worthwhile to look into refinancing your home. No matter how old your mortgage is, it’s possible to refinance it! However, you should have the right reason for doing so. Today, The Home Loan Expert will share four signs that it’s time to consider refinancing your mortgage.
You Have a Higher Credit Score
Your credit score makes all the difference when it comes to your mortgage. If it was low when you secured your loan, you may have gotten stuck with a higher interest rate and monthly payment. But if you’ve raised your credit score since then, you could be eligible for better rates and increased savings. Speak with a mortgage lender to find out your options.
You’re Staying in Your Home for a While
It doesn’t always make sense to refinance your home if you’re planning on selling it or moving away anytime soon. However, if you’re establishing it as your permanent family residence for a long time, it never hurts to consider refinancing. Over time, doing so will save you an incredible amount of money.
A Better Interest Rate Is Available
Interest rates are always rising and dropping. If you bought your home when the economy was weak, for example, you may have gotten locked into a high interest rate. It’s wise to check whether a better rate is available, and if so, refinance your mortgage to obtain it.
You Have a Big Expense Upcoming
Do you have a big expense, like home renovations or your child’s college tuition, coming up? If so, a cash-out refinance could help. It allows you to access money that has already been paid into your home loan. Cash-out refinancing is beneficial because you won’t have to open an additional line of credit.
Knowing when to refinance can be tricky, but The Home Loan Expert can help. Let’s get you approved today!