There’s a reason why home is called “Home Sweet Home”. Home is where our heart lies, and home is the place where we hang our hat at the end of the day. Not only humans, but animals also have a great affinity towards their cave. Our home holds a big place in our heart, souls and mind and no matter what happens, home is where we want to be for the rest of our life.
Yet, if we see from an ulterior perspective, home is also something, in which we invest a hell lot of money. Besides the practical and the sentimental value of our home, which we have in our heart, a house is also a living personification of a significant investment for each and every homeowner. Not only there are down payments associated with a house, but there are also the monthly payments or the Easy Monthly Installments(EMI). No matter the size or the value of the home, it wasn’t cheap.
Most of us have mortgages associated with our home. Now, maybe you have been able to pay your mortgages for a number of months or years, but, then something has happened with your life, which is not allowing you to pay up your mortgages. Or maybe, you are able to pay up your mortgages, but doing that is making you sacrifice something other, which is important as well. Or, maybe you have been paying your mortgages, but you are always late in paying them, thereby risking default. If these are the cases that you have been experiencing, then it is advisable to do a mortgage refinancing.
When to Consider Mortgage Refinancing?
No matter if you are having trouble in paying your mortgages, or you want to save some of the money from your monthly income, a mortgage refinancing is a good option. Mortgage refinancing is an excellent way that you can adopt to save some money from your cash expenditure. Now, the question stands, when can you consider about refinancing your mortgage. While there are no magical methods to know about when to refinance, but there are some general thumb rules.
· If the mortgage rate has gone down, from the time you have actually got your current mortgage. If the mortgage rate has gone down by 0.5% to 1%, then you might consider a refinancing.
· Improvement of your credit score. If your credit or CIBIL score has improved from the last time you refinanced, then you might consider a refinancing.
· If you would like to extend the term of your mortgage from 10 or 20 years to 30 years, then you might consider a refinancing.
· You have shares of your home, that you would like to exchange in to cash.
Some Tips to Refinance Your Mortgage
Now, if you are steadfast on your decision of refinancing your mortgage, then below are three tips that can help you get the best deal.
· Research for mortgage refinance lenders in your area. Shortlist 5 to 6 of them based on the reviews on the internet.
· Figure out for how many years you want to refinance. Mortgage term is important, and therefore use a mortgage calculator and find out how much you have to spend monthly.
· Apply to all the lenders you have shortlisted in your area. More lenders mean you are open to more choices. Choose the best deal that you will get from all these lenders.
Considering refinancing? Reach out to Expert Mortgage for an expert consultation, and to know about all the available options. Expert Mortgage, a mortgage provider in Toronto, has been in the forefront in Mortgage solutions. Call them to book an appointment.