Monday, October 1, 2018
5 Questions: Is A Cash-Out Refinance Right For You
Home values have appreciated in most parts of the country and homeowners are sitting on over
$6,000,000,000,000 in available home equity. The decision to tap into your home's equity is not
one that should be taken casually and made without careful consideration.That being said, here
are 5 situations when it may make sense to tap into your increased equity.
Interest rates on credit cards are typically much higher that mortgage rates, often by as much
as 10% or higher. A cash-out refinance can allow you to pay off high interest-rate credit ard
debt and still save money every month.
Reinvesting your home equity back into your house by making home upgrades is a win-win.
Updating your kitchen, remodeling your bathroom or finishing your basement are all things that
your family will get to enjoy while at the same time can make your house more valuable without
taking out a second mortgage.
Uncertainty is a part of life. Taking some money out of your house and putting it in the bank
for a rainy day is something to consider. Too often, people find themselves out of a job and
unable to access the cash in their home when they need it most. Taking steps while you are
employed and can qualify for a new mortgage to set aside some of that equity for a rainy day
might be a smart move for you.
Pay off your existing home equity line of credit (HELOC) with a Cash-Out Refinance . As
interest rates climbs, so too do the rates on HELOCs, by consolidating with your first mortgage
today you fix the rate in for the life of the loan. No more worry about increases in the prime rate.
Is a lack of cash keeping you from finding your passion or purpose in life? Do you dream of
continuing your education or starting a business? Maybe there's a bucket list family vacation
you want to take.If you have a need for some cash and have access to equity due to improving
home values, you can take that cash for any purpose, with a low fixed rate.
If you answered yes to any of these questions and would like to learn more about your options,
please Contact Us. We're happy to answer any and all of your questions.