Rate Refinance and Refinance Route: AMCAP Style
It may be time to reevaluate your home loan situation. The current interest rate on your mortgage might be more that what you need to pay. Right now could be the perfect time for you to consider a rate and term refinance on your home mortgage.
Welcome to the world of mortgage done the Gold Financial way. Our job is to make this easy for you!
Gold Financial Refinance 101
In the mortgage world, a “refinance” refers to the replacement of an existing mortgage with a new home loan. The refinance loan will come with a new interest rate, which, of course, is ideally lower, and the mortgage length will be adjusted to your advantage as well. The existing mortgage is paid off by the new refinance loan and the old balance is transferred to the new loan.
It’s really simple. Think of it this way – you are refinancing your mortgage, meaning you are obtaining new
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Of course, another reason to refinance is if mortgage rates have dropped significantly since you purchased your home.
Although there will be closing costs associated with the new refinance mortgage, the lower interest rate should eventually offset these costs and benefit the borrower in the long run. This is known as the “break-even point of the refinance.” Essentially, when the closing costs are offset by lower monthly mortgage payments, the subsequent payments save the homeowner money each month continuing forward.
Refinancing does require a hard look at all of the numbers involved, and it can be complicated if you go it alone. However, it doesn’t have to be if we help you. Every individual has a unique situation and our loan specialists at Gold Financial understand that and are ready to help you determine if your loan rate is right for you. It will be pain