Now is the perfect time to shorten your loan
term, pay off existing high credit card debt, pay off education loans or make
improvements to your home. These are all great reasons to refinance your home
with The Manchester Company of New York.
In the 80s, the rule of thumb was that if
you could lower your mortgage rate by two points, you should refinance. Today
that advice is considered quick, convenient and often wrong. Refinancing could
represent a golden opportunity to put money back on your pocket every month,
making that old rule of thumb no longer valid.
First, because interest rates are lower than
they were in the 80s, refinancing from 7% to 6% gives you the same
proportionate savings as refinancing from 14% to 12%. Also, the cost of originating
a loan has fallen. If you are charged very little in points or origination
fees, then even a tine reduction in interest rates warrants refinancing.
One option is to refinance your 30 year
mortgage with a 15 year mortgage. It's true that the monthly payment on a 15
year loan is higher than a 30 year loan. Of course, you can also cut your
payments by refinancing with a new 30 year loan! Or if you have an ARM loan
(adjustable rate mortgage) you can lock in at today's low interest rate and
avoid the risk of rising rates down the road.
Do you want to make improvement to your
property? Do you have credit card debt to pay off? Are you buying a business?
Do you need to underwrite your child's college education? Cash out financing is
the answer! If you bought your home with a high percentage of cash, you can
refinance with a larger loan and walk away from the closing table with a fat
check!
Remember The Manchester Company of New York can refinance your mortgage through one of many
investors that accept assignment, so you will not have to pay mortgage tax and
your closing costs will be lowered.
Don't pay more than you have to, if you can
save thousands and thousands of dollars. You should refinance immediately and
take advantage of today's rates, they won't last forever.
Find out now, try our refinancing
calculator to see if The Manchester Company of NY can help save you money.
