Is Refinancing Right For You?
Your mortgage is a wealth-building tool that can help you reach your financial goals. Whether you want to use your equity to tackle debt, pay for a major expense, or buy another property, refinancing may be the answer.
Is Refinancing Right For You?
Your mortgage is a wealth-building tool that can help you reach your financial goals. Whether you want to use your equity to tackle debt, pay for a major expense, or buy another property, refinancing may be the answer.
Common Uses
Home Improvements
Debt Consolidation
Life Events
4 Reasons to Refinance
We make refinancing easier and less expensive
- Save time by researching and presenting affordable lender options
- Step-by-step guidance to help you maximize on your mortgage
- Expert advice to get approved quicker, avoid mistakes, and cut costly fees
- Navigate the refinanacing process confidentally and calmly
Mortgage Options FAQs
When you refinance, you replace your existing mortgage loan with a new one, typically at better terms. Refinancing could possibly help you save money, lower your monthly payments, or achieve other financial goals.
To determine if refinancing is right for you, you should weigh a number of factors, such as the reason you want to change your mortgage terms, your current interest rate, the new interest rate you could get and the costs of refinancing. A HomeFree-USA Homeownership Advisor can help you make an informed decision.
It depends on your personal situation. You might refinance a mortgage when interest rates are lower than your current rate, and you plan to stay in your home for a while. Or you may find that it’s advantageous to you to refinance if you have equity in your home and you want to consolidate debt or use your house to finance a major purchase. Individual circumstances, such as your credit score and financial situation, should play a role in your decision.
Refinancing can potentially save you money by lowering your interest rate, reducing your monthly payments, and maybe even shortening the loan term. These changes can result in substantial interest savings over the life of the loan. Refinancing can also help you consolidate debt or access cash through a cash-out refinance for home improvements, education expenses or other major costs. Finally, refinancing can be used to shorten your loan term to build home equity faster or as a strategy to switch from an adjustable-rate mortgage to a fixed-rate mortgage.
Yes, there are costs associated with refinancing. Common costs include loan origination fees, appraisal fees, title search fees, and closing costs. Before refinancing, make sure you calculate and understand these fees and factor them into your decision-making process. A Homeownership Advisor can help you to do that.
Yes, you can refinance multiple times as long as you meet the lender’s criteria. However, you should always make sure it’s the best move for you in the long run. Speaking with a Homeownership Advisor about your situation could help you determine if it’s the best move for you.
Yes. When you refinance, you replace your existing mortgage with a new one. However, a Home Equity Line of Credit (HELOC) and a home equity loan are ways to borrow money from your existing mortgage. A HELOC is a revolving line of credit secured by your home’s equity, while a home equity loan – sometimes referred to as a second mortgage — is a lump-sum loan that you borrow against your home’s equity. To help you determine which of these options might work for you, contact a Homeownership Advisor.
Calculate Your Monthly Payment
Use our free mortgage calculator to estimate your monthly mortgage payments.
Account for interest rates and break down payments.
It's easy to use!
CalculateSuccess Stories
