Right now interest rates are at all time lows and a lot of homeowners stand to save thousands of dollars through a mortgage refinance. Here are some reasons you should at least consider refinancing your mortgage. Generally, homeowners refinance for some kind of financial benefit. This can mean lower interest rates, extra monthly cash, and lower monthly mortgage payments, or to free up money to do whatever you want with. It is suggested that if any money is received back from a refinance, that a good amount of it go back into improving your house. You should evaluate the the potential financial benefits and possible pitfalls in order to decide if a mortgage refinance is the right thing to do.

Mortgage refinance rates have fallen drastically across the country in the past 20 months or so. With such low interest rates, refinancing today is easier than usual. Most beneficial to you would be to refinance the equity in your home. You should have a plan on what to do financially after the refinance too. There should be specific financial goals set to try to keep you on the right path. Refinancing a home mortgage makes good sense if it is for the appropriate reasons, as the timing is perfect right now to do so. Your current financial needs will dictate whether or not you need to simply refinance into a new mortgage with better rates, terms, or conditions or if you need a cash out refinance.

Rates are low enough right now that a refinance may give you the chance to both get cash back and lower your monthly payments at the same time. For most people, a home is the most expensive thing they will ever own, and therefore the most expensive bill every month. Refinancing even into a loan just 2% or more lower than your current rate, will save you hundreds every month. Also, if you are in an ARM ( Adjustable rate mortgage ) now is the time to get a more stable, fixed rate, 30 year loan.

-M Petrone


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