2020 has started off well with mortgage interest rates with levels not seen since 2016. For this reason, it may be the right time to review your current mortgage interest rate and/or loan term and explore options to refinance. Many mortgage lenders recommend a minimum interest rate savings, but at Priority Mortgage, we say “that depends”. It depends on several factors, including your goals for the refinance, your current loan amount, the type of mortgage you currently have and the term of your current loan.
Consider these reasons to refinance this year:
- Lower your monthly mortgage payment
- Reduce your loan term to achieve financial freedom quicker
- Obtain cashout for various reasons, such as debt consolidation, home improvement, vacation, college tuition, etc.
- Remove a borrower due to divorce, separation or other factors
- Change your mortgage loan to remove private mortgage insurance
If these reasons to refinance are interesting, but you’re unsure if a mortgage refinance is the right financial action for you, contact our team of mortgage professionals to evaluate your current plan and long-term goals.