What is a mortgage refinance?
A mortgage refinance is simply a transaction where you get a new mortgage to pay off your old mortgage. As a homeowner, you will have the opportunity to choose among all the types of mortgages available to home buyers. Understanding your options will help you choose the best loan for buying your house for a second time.
Why should I refinance?
- Need to change loan term
- You need cash to pay off debts
- Home improvement or renovations
- To invest
- To convert ARM to a fixed rate
Best times to refinance
- When your credit score increases
- When interest rates are lower