Mortgages Made Simple

Home Loan Mortgage Refinancing

Your financial situation can change over the years, so why shouldn't your mortgage? If you have a mortgage that has had the same terms and rate for years, it could be time for a home loan mortgage refinance.

When completing a home loan refinance, you pay off your existing mortgage by creating a new one. There are many benefits to home loan refinancing which can save you money and create new opportunities.

  • Lower your interest rate
  • Change term of your mortgage
  • Switch to a Fixed-rate mortgage

Mortgage rates tie into a number of economic indicators, so they change often. It is beneficial to refinance your mortgage into a lower rate because it may be able to save you thousands over the life of your loan. If your credit score has improved since your original home loan, you may qualify for a lower interest rate than the one you have now!

Learn About the Refinancing Process
Gain the confidence to use changing interest rates to your advantage.

Change the term of your mortgage             

During a home loan refinance, you might have the option to increase or decrease the term of the loan, depending on your long-term goals. The term of a mortgage is the length of time it will take for your monthly payments to pay off the principle of the mortgage. Refinancing into a longer term would be beneficial to lower your monthly payments and give your budget some extra breathing room. But if you shorten the term of your mortgage you will be able to pay off the loan faster accruing less interest and saving money over the life of your loan. Even if a shorter term has higher monthly payments, you will likely save thousands over the course of the loan.

Switch from an ARM to an FRM

If your home loan started as an adjustable-rate mortgage, your monthly payments change as interest rates shift. This can leave you uncertain as to how much money you will have to spend and can potentially increase your monthly payments over time. 
If this prospect is discomforting, mortgage refinance loans can help you obtain a fixed-rate mortgage. With an FRM, your rate and your monthly payments will be consistent to prevent unexpected surprises.

The government is here to help     

Underwater homeowners also have a number of options to change the terms of their home loans. Through government mortgage refinance programs, such as the Home Affordable Refinance Program (HARP), your path to making lower monthly payments can be simple.  

Finding the Right Mortgage

Be certain you’re not limiting your options when it comes to a new, refinanced mortgage. Which Mortgage is Best for You?