When to Refinance my Mortgage?
If the current interests are lower then what you are paying
Allow me to compare what you are currently paying to what a new mortgage at a reduced interest rate would cost. I will also take into consideration any costs, such as penalties charged by the current lender for early discharge of the mortgage to determine with you, if you should refinance your current mortgage to take advantage of lower interest rates.
Leverage Home Equity to Build Wealth
Use the equity in your home to make renovations, purchase a vacation home or invest in an income property. Using the equity in your primary residence is an option to help make these dreams a reality. You may also consider using the equity in your home to help offset education costs or other life-changing events.
Perhaps the most common reason we refinance our mortgage is to consolidation high interest consumer debt (e.g. Credit Card debt). In a recent survey 62% of respondents cited debt consolidation as the main reason for the refinancing of their mortgage. The tactic of refinancing high interest consumer debt into a much lower interest rate mortgage has proven to be a successful debt management strategy for many families. The pros and cons of this strategy should be thoroughly reviewed with your mortgage professional as part of your ongoing financial planning.