The most common reason to refinance is to take advantage of lower interest rates and to use your home equity to borrow more.

There are other reasons why you might want to refinance. If you are unsure about your needs, take a look at these other reasons and see if any apply to you.

1. Reduce overall interest costs.

2. Reduce monthly payments.

3. Going from an adjustable rate to a fixed rate.

4. Pay off your loan faster.

You should be certain about your refinancing needs, because refinancing can change a number of things about your mortgage.  It is important to know your reason(s) to refinance so that you can decide if the changes help you achieve your goal.

For example, if you want to reduce your monthly payments, there are a number of options for this.  Some ways, such as extending your repayment period with a new mortgage, may actually increase your total interest costs, even though they reduce your monthly payments.

As another example, you can often reduce your overall interest costs by taking a shorter term loan (like a 15 year mortgage). But, an important thing to know is that a 15 year mortgage has higher monthly payments than a 30 year mortgage, so there is again another tradeoff.

We can help you, but you need to take the first step.  To receive FREE, no-obligation mortgage analysis, simply apply on-line, or call us at (508) 587-1010.