To refinance is to cancel your current mortgages/debts, and join them into one large loan which is worth up to 80% of the value of your property. Because you will have to break some of your loan contracts you will likely incur penalty charges. Typically these penalty charges are based on the interest rates, a typical penalty fee would be three months of interest for the loan.
Refinancing essentially takes your debt with high interest rates, such as car loans, lines of credit, credit cards, and combines it into a single low rate mortgage. We can consolidate all of your debt into a secure loan, which is backed up by the equity in your home. You can use this money for any of your needs, including: home renovation, education, or personal matters.
Many people with loans choose to refinance all of their debts into a single consolidated debt. This allows homeowners to pay smaller monthly payments and save money in the long run. This allow simplifies the process of making payments, since a single payment is easier to manage than many payments. There is also more flexibility with a consolidated mortgage, you can renegotiate the terms of the mortgage to best suit your needs.
Since mortgages are secured by the equity in your property, we are able to offer a lower interest rate that other forms of loans.
With a lower monthly payment and fewer individual payments to track, we are confident that you will be able to fully pay your fees each month. This will have beneficial effects on your credit score, which will allow you to get better interest rates with banks and other lending institutions in the future.
Calculating your home equity is an easy process. Essentially, your equity is equal to the value of your property subtracted by your mortgage’s balance. So if your equity is $15,000 and you still have to pay $85,000, the mortgage holder owns 85% of the equity in your home. The network of lenders we deal with will typically only lend on a property where the bank has 85% equity or less.
Our team of mortgage professionals will be more than happy to go thorough your options with you. We will get your the best rate possible and negotiate the terms for your refinancing. The lenders we work with can overlook issues such as poor credit.
If you need help with refinancing your debts, or would like some advice, don’t hesitate to call or email us right away.