Refinancing a home mortgage can be a great way to save money and achieve your financial goals.  Here are clear, useful answers to help get you started. 

When it´s WORTH IT to refinance!

There are definitely situations where refinancing can be worthwhile when it comes to enhancing your life.

The best time to refinance depends on many factors, including the difference between your current rate and the new mortgage rates, the cost of the loan and how long you plan to stay in your home.

The decision to refinance also depends on your unique circumstances and financial goals.  And, no, refinancing doesn´t make good financial sense for everyone. 

For example, it's generally accepted that you don't refinance if you're planning to move out next year.  To recoup the costs, you need to stay in your home for two years or more.
 

Here are FIVE REASONS to refinance:

1.  You have an Adjustable Rate Mortgage (ARM) that is about ready to adjust or you simply want the certainty of a fixed-rate for the life of the loan.

2.      You want to get out of a high-interest rate loan and take advantage of today´s historically low interest rates.

3.      You want to convert your ARM into another ARM with more protection features than you currently have, such as a better rate or payment caps.

4.      You want to build up equity and pay off your mortgage sooner by converting your long-term mortgage into a shorter-term mortgage, and save tens of thousands of dollars in interest payments.

5.      You want to draw on the equity built up in your home to cash out for major purchases (ie. Home remodel, roof repair, etc.), major expenses (ie. Medical bills, college tuition, etc.), or to make investments (ie. Second home, rental property, financial vehicles, expanding your business, etc.).