Call or text us at 857-297-4830!

Refinancing Your Mortgage

Should you refinance your mortgage and when?

Refinancing a mortgage means paying off an existing debt and replacing it with a new one.

When refinancing, you can consolidate debt, adjust loan terms, lower your monthly payment, or even take some cash out of the equity in your house to pay bills or make improvements.

Outdoor Space

Secure a Lower Interest Rate

Lowering the interest rate on your current loan is among the best reasons for refinancing.

Typically, refinancing makes sense if you can lower your interest rate by at least 2%. However, many lenders assert that 1% savings is a sufficient inducement to refinance.

A mortgage calculator can be a useful tool for planning some of the expenses.

Convert an ARM to a Fixed-Rate Mortgage

Borrowers typically receive a lower interest rate at the beginning of an adjustable rate mortgage (ARM).

However, the interest rate may change after a predetermined period (often 5, 7, or 10 years), and not necessarily in the borrower’s advantage.

Because of this, some homeowners choose to convert their adjustable-rate mortgage (ARM) into a fixed-rate loan, which eliminates this fluctuation in interest rate.

Shorten the Loan's Term

Homeowners occasionally have the option to refinance an existing loan for a new loan.

The refinancing happens with a much shorter term without much changing of the monthly payment, when interest rates fall.

Get Rid of PMI

Refinancing is not always necessary to remove private mortgage insurance from a traditional loan.

You can get rid of PMI without paying off your loan, unlike FHA MIPs. As soon as you have enough equity—typically 20%—you can ask for cancellation.

The bottom line

Refinancing can be a great financial move if it reduces your mortgage payment, shortens the term of your loan, or helps you build equity more quickly. When used carefully, it can also be a valuable tool for bringing debt under control.

Real estate updates

Maynard 3-Bedroom JUST SOLD!!

JUST SOLD! Situated on a dead-end street just moments to downtown, schools, Assabet rail-trail and Maynard Crossing, this terrific 3 bed, 1.5 bath home is one you can move right into.

Read More +
Smart Home Must-Haves | NFC Tags and RFIDs

Smart Home Must-Haves – The Ultimate Guide to Smart Home Tech

In a world where technology shapes our everyday lives, our homes are becoming smarter and more connected than ever before. Smart home accessories offer a blend of convenience, efficiency, and luxury, transforming the way we interact with our living spaces. Let’s explore a range of cutting-edge accessories that can elevate your home experience, including doorbell cameras, robot vacuums, personalized lighting, NFCs and RFIDs, as well as the central control offered by smart home hubs.

Read More +
Maynard

Maynard 3-Bedroom JUST SOLD!!

JUST SOLD! Situated on a dead-end street just moments to downtown, schools, Assabet rail-trail and Maynard Crossing, this terrific 3 bed, 1.5 bath home is one you can move right into.

Read More +
Smart Home Must-Haves | NFC Tags and RFIDs

Smart Home Must-Haves – The Ultimate Guide to Smart Home Tech

In a world where technology shapes our everyday lives, our homes are becoming smarter and more connected than ever before. Smart home accessories offer a blend of convenience, efficiency, and luxury, transforming the way we interact with our living spaces. Let’s explore a range of cutting-edge accessories that can elevate your home experience, including doorbell cameras, robot vacuums, personalized lighting, NFCs and RFIDs, as well as the central control offered by smart home hubs.

Read More +

Spread the word!

Facebook
Twitter
LinkedIn
Email
Book an appointment with us. Reach out now for more info! Call or text Elaine Goldman at 857-297-4830
The Beacon Group is a client-driven real estate team working in Greater Boston to help clients buy, sell, and invest in real estate. We provide straightforward, analytical advice, empowering clients to make successful and informed decisions. We provide our buying clients with constructive insights, allowing them to identify the right property and enabling them to make purchase decisions with confidence. Our recommendations to both buyers and sellers are specifically crafted to meet clients’ short and long-term housing and financial goals.
Book an appointment with us. Reach out now for more info! Call or text Elaine Goldman at 857-297-4830

The Beacon Group is a client-driven real estate team working in Greater Boston to help clients buy, sell, and invest in real estate. We provide straightforward, analytical advice, empowering clients to make successful and informed decisions. We provide our buying clients with constructive insights, allowing them to identify the right property and enabling them to make purchase decisions with confidence. Our recommendations to both buyers and sellers are specifically crafted to meet clients’ short and long-term housing and financial goals.

Home
Events
Contact us
More

SUBSCRIBE
TO OUR
NEWSLETTER!

Get updates about events, restaurants, real estate, and everything Boston!