Here’s why you should consider refinancing your home mortgage.
As mortgage interest rates are still at a historic low, now is the perfect time to think about refinancing your home mortgage. Not sure if you want to take this financial step? Here are some of the reasons why a mortgage refinance might make sense for you.
Lowering Your Payment
If you are currently having trouble paying your monthly mortgage rate, refinancing can help you secure a lower rate. However, keep in mind that refinancing to secure a lower rate doesn’t make sense for all homeowners. If you are planning to sell your home in the near future, it’s not worth it to refinance.
Improving Your Qualifications
When you purchased your home, you might not have had the best credit. If your credit score has significantly improved since you first got your mortgage, you may want to consider refinancing. Because you have shown financial responsibility, your mortgage lender might recognize that you are now lower risk. This low risk will give you access to lower interest rates if you choose to refinance.
Changing to a Fixed Rate
Finally, if you have an adjustable-rate mortgage, consider refinancing to secure a fixed-rate mortgage. While your rates may be lower than the current fixed-rate, your payments could increase significantly during an adjustment period. To prevent getting hit by a sudden increase, consider refinancing and switching over to a fixed-rate mortgage. Making this safe change could potentially save you thousands over the lifetime of your home loan.
These are some of the reasons why you should consider refinancing your home mortgage. Are you looking to buy or sell in the Hermosa Beach area? If so, contact the experienced real estate professionals at Brighton Escrow. Our team is ready to offer you top-tier escrow service in the Hermosa Beach area today.