The majority consensus seems to be that rates will trickle down this year and it makes sense that most borrowers would want to wait for a lower interest rate. Refinancing isn’t always about lowering your interest rate though. Some borrowers can benefit from utilizing the equity to reduce overall monthly debt, pay college tuition or make home improvements. It can also help in other ways like removing private mortgage insurance aka PMI.

Consolidating debt is an opportunity to minimize overall monthly debt payments. It may sound counter intuitive, however if can make sense to give up a 3-4% existing rate and consolidate consumer debt with high monthly payments into a new mortgage. It’s a good idea to compare your options.

Private Mortgage Insurance payments can add up to an extra $200 per month additional to your existing mortgage payment. If you have over 20% equity in your home, one way to eliminate the additional amount is to refinance.

Use existing equity to pay for a large expense or emergency cost. For instance, you may be wondering how to afford a home improvement project or education costs for a child.

Barrett Financial is ready to help you work through the numbers and find out if refinancing is a viable option for your current financial situation. Give me a call at 704-608-0916 or click on the Apply Now link at the top of this page to get started!