Consolidating debt mortgage mortgage refinance
While this might not sound like a lot, remember that even a one percent reduction in interest can save a homeowner over a hundred dollars a month, depending on the amount that he or she has financed. If the interest rate is lowered, there will most likely be some savings every month.In addition, the term of the mortgage is often extended during a refinance.
Before starting the process, of course, a homeowner has to decide what his or her goals are with refinancing.Because of this, a lot of people have simply decided that they will not even explore these options for themselves.The truth is that these options can save a person or family thousands of dollars, but they have to be used correctly. Banks have been refinancing loans for centuries, yet only a small percentage of homeowners go through the process every year.Note: Be sure to only include the principal and interest portion of your monthly mortgage payment, i.e., do not include any escrow portions (property taxes, insurance, etc.).
For many Americans, a home mortgage is the biggest expense they have.
This calculator will help you to decide whether or not it would be advantageous for you to refinance either a single mortgage, or the consolidation of a first and second mortgage, into a single mortgage.