Five reasons to refinance

5 Reasons to Refinance

Refinancing is the process of getting a new mortgage to replace your old one, and it’s more common than you think. Although saving money is generally the primary motivation for refinancing your home, there are many other good reasons to refinance as well. If you’re wondering if refinancing your mortgage is right for you, consider these 5 benefits:

  1. You could consolidate your debt. If you have high-interest credit cards or other debts you’ve been hoping to pay off, tapping into your home’s equity via refinancing is an easy way to consolidate your debt.
  2. You could increase your monthly cash flow. Are you looking for more cash each month? With a cash-out refinance, you could pay off your HELOC, refinance your mortgage to a longer term, or eliminate Private Mortgage Insurance to lower your monthly bills.
  3. You could remodel your home. If you’ve always wanted to renovate your home, a cash-out refinance could be a great opportunity. When you replace your current mortgage with a new home loan, you can feel confident taking on renovation projects with the funds you receive.
  4. You could fund an education. Although financial aid and scholarships are available to fund an education, they’re often not enough, and private student loans have high interest rates that make them difficult to pay off after graduation. Through refinancing your home, you could fund your education or the education of a loved one.
  5. Pay off your second mortgage. If you have a second mortgage, it might be the perfect time to refinance your home and consolidate your mortgages into one easy payment.

Even if you’ve been satisfied with your current mortgage, don’t rule out refinancing. There are plenty of reasons to refinance, and doing so is a great way to help you reach your financial goals – regardless of what they are.

To learn more about what refinancing option is right for you, contact one of our Loan Officers today.