Two Reasons To Refinance

The interest rates are at a low right now and a lot of home owners are wondering, should we be looking into refinancing? If this is you and you are wondering why should I refinance, here are two reasons why refinancing could pay off for you. 

1. Shorten the term of your loan

Many people think that with refinancing the payments to shorten your loan will be way to overwhelming and expensive. Actually though, with the interest rates so low right now shortening your loan might not be as expensive as you thought. Say you had a 30 year mortgage and want to cut it in half to a 15 year mortgage. Many people can do that without the payment every month sky rocketing. By cutting your mortgage in half will give you 15 years of mortgage payments to spend elsewhere. What would you do with that money?? 

2. Lower Interest Rate: 

Like I said before, rates are low right now. Before when you originally set your mortgage up rates could've been more than double than what they are now. By taking the time to look into rates right now you could save yourself thousands of dollars in the long run. Lower rate= less money you are owing. Yes, the paper work and process is tedious and takes some time but, in the end you save money. 


Ultimately you are the only person who knows if refinancing is for you. Set goals before even looking into refinancing. Do you want low low payments, do you want to cut your time more than half, or do you want a mix of both? Also if moving is in your near future maybe refinancing is not the smartest move. Take your time to research about refinancing and browse around different providers. 


Just think... what would you want to do with thousands you save?