Mortgage Refinance | Life Changes – Your Loans Should, Too | Nathan Mortgage
Refinancing your home can save you thousands of dollars over the life of your loan and put that money to better use elsewhere.
What is Refinancing?
Refinancing your mortgage loan means that you’re trading in your old home mortgage loan for a new one with different loan options. Your lender will pay off your original mortgage with the new loan amount. You will have a closing appointment to sign the new loan paperwork. Often homeowners will sign their paperwork conveniently at home with a notary present.
Benefits of Refinancing Your Home Mortgage
- Eliminate mortgage insurance
- Decrease monthly payment
- Save thousands by shortening the loan term
- Consolidate debt
- Get cash out
- Tap into a home equity line for renovations
Cash Out Refinance
The reasons for taking a cash-out home refinance are diverse. You get access to additional funds obtained through your home equity. A cash-out mortgage refinance may involve a higher loan amount, a higher or lower interest rate, or a different term than your prior home loan in order to access that equity.
Contact Nathan Mortgage to learn more about mortgage refinance loans and for what loan amount you can be approved.
Lowering Your Interest Rate
Interest rates are subject to change. Historically, rates are low when looking back 30-40 years. Even lower rates are available through discount points.
Lower rates for the life of the loan translates to lower mortgage payments. A Nathan Mortgage home loan officer can advise on today’s rates (as well as annual percentage rate apr), discount points available, and when to refinance your mortgage to capture the most savings.
Eliminate Mortgage Insurance
Mortgage insurance protects the lender in case a borrower defaults on their loan. Insurance is required for home loans with a down payment of less than 20%, also known as PMI or private mortgage insurance. This is different from property insurance. Property insurance benefits the homeowner.
In a hot real estate market, homes appreciate quickly and provide access to equity needed to refinance and eliminate the existing mortgage insurance. This provides instant savings by reducing your monthly mortgage payments. Contact Nathan Mortgage to learn more about refinance loans.
Shorten the Term of The Loan
Reducing the life of the loan or the monthly payments schedule can occur while getting a mortgage refinance for a lower interest rate. Shorter-term home loans typically have lower interest rates. This adds up to significant interest savings.
Contact a Nathan Mortgage loan officer to learn more about mortgage refinance loans to shorten the life of the loan, reduce monthly principal and interest payments, and the loan process.
Convert to a Fixed Rate Loan
Mortgage refinancing can replace an adjustable rate mortgage ARM, with a fixed rate mortgage. An adjustable rate mortgage starts with an initial fixed rate period with a relatively low rate, subject to change at set fixed rate periods. The rate offered in the initial fixed rate period is intended to entice borrowers. The rate changes with market conditions, often likely to increase due to low introductory rate, leading to monthly payments that are higher. Replacing the adjustable rate mortgage with a fixed rate mortgage refinance often provides significant savings.
Contact Nathan Mortgage to learn more about refinance loans and loan options for adjustable rate home loans that have passed their initial fixed rate period.
Home Equity Line of Credit (HELOC)
A line of credit opened against your home’s equity. This is not mortgage refinancing of your existing home loan and is subject to credit approval. Like a credit card, it’s an account with a set credit limit. A home equity line of credit provides access to funds without paying the ultra-high annual percentage rate apr of a personal loan or personal credit card.
A home equity line of credit is often used for cash shortfalls, larger purchases, unexpected bills, college costs, or paying off credit cards. It’s helpful for the unexpected situations life throws. It is repaid via monthly payments. This does not affect your principal and interest in your existing home loan.
Debt consolidation refers to combining all your debts into one low-interest rate debt so that you can save money on high-interest credit card balances. A refinanced mortgage provides an opportunity for homeowners who are underwater with high-interest rate credit lines to save significantly on monthly interest fees. Contact Nathan Mortgage to learn what home loan amount for which you can be approved.
Costs associated with refinancing a mortgage include but are not limited to:
- Appraisal fee
- Title fees
- Loan origination fee
- Document preparation fee
Considering a Refinance
For many homeowners, there are immediate savings or access to cash. There are different options you can choose from, including lowering your interest rate or cashing out and investing the money elsewhere.
You will have a closing appointment to sign the new loan paperwork. Often homeowners will sign their paperwork conveniently at home with a notary present.
Nathan Mortgage, a mortgage broker in Lakewood provides mortgage loans and mortgage refinancing in Colorado, Illinois, Florida, Tennesse, and Texas.
Refinance With an Independent Lender
Our sole focus is finding you the best loan at the best price. We look across our investor partners, find the ideal loan for your unique circumstance, and provide the best loan for you – not the one that pays the highest commission.
- Reduce your monthly payments
- Eliminate mortgage insurance
- Access cash or HELOC (subject to credit approval)
Skip the Big Bank Dinosaurs
Here at Nathan Mortgage, we work with 40+ end investors. We shop for your refinance loan on our wholesale market, making lenders compete for your loan. This means better pricing for your loan. With less overhead, we pass those savings onto you via reduced closing costs and lower APRs.
- Enjoy Lower Fees
- More Loan Options
- Backed by Large Lenders
- Unbiased Advice (Not Commission-Driven)
- Relationship Focused, No Pushy Sales Tactics
Don’t let our lower fees fool you. Our lenders have access to the same resources as banks, just with less overhead. That means we can offer better rates and more options than banks – at a fraction of the cost. Save thousands of dollars, get the best pricing, and have a loan officer who is your strongest advocate and guide.