Refinance to Lower Your Monthly Payment
What would you do with a little extra cash each month? Our home loan experts can help you slash your monthly payment by refinancing your mortgage with zero closing costs.
How Refinancing Saves You Money Every Month
Are you ready to give your wallet a break? Here are three ways refinancing can save on your monthly mortgage payment.
- Lower Your Interest Rate—If it’s been a w hile since you purchased your home, chances are good that interest rates have dropped. Interest rates are lower now than they have been in decades, and you can cash in on those low rates with a new loan. You could save $100 or more on your monthly payment by refinancing at a lower rate.
- Get Rid of PMI—If your down payment was less than 20%, you pay private mortgage insurance (PMI) each month. When your mortgage balance reaches 78% of the home’s appraised value, your lender will cancel PMI automatically. If your home has increased in value since you purchased it, you can have it appraised and refinance based on the new home value. In many cases, this is enough to bring you below the 78% mark in order to cancel PMI payments.
- Switch from FHA to Convention Loan—FHA loans allow borrowers to finance a home with a very small down payment and looser credit requirements. However, they require higher mortgage insurance than conventional loans, which can inflate your payment. In order to eliminate FHA mortgage insurance payments, you must refinance to a conventional loan. Even regular PMI payments will usually be lower than FHA mortgage insurance, but you’ll be doing really well if you have reached the 20% threshold and can refinance without PMI.
There are also other ways to lower your monthly payment, including re-amortizing your loan or refinancing for a longer term. Our home loan experts will help you assess your options to determine which refinancing approach will be the best for you.
Refinance With Zero Closing Costs
Money Street Mortgage will refinance your loan with lower interest rates than the big banks and we will pay your closing costs! You get a brand new mortgage, a lower monthly payment, and no extra money added into your loan at the closing.
Sound too good to be true? Let’s talk. Call us today at 1-888-353-8679 to find out how we can save you money every month.