 |
Debt Consolidation Refi Loans – Eliminate Debt With A Mortgage Refinancing |
|
|
Submitted by Cheryl Adams
| RSS Feed
| Add Comment
| Bookmark Me!
Refinancing your home loan can be worthwhile for several reasons. If you purchased your current home when rates were high, refinancing for a lesser rate may actually lower your monthly payment. Moreover, refinancing your home and receiving cash at closing is another attractive feature. With this option, homeowners also have the opportunity to eliminate debt.
What are Refinance Mortgage Loans?
By choosing to refinance your existing mortgage loan, you will create a new loan to replace the old. Aside from getting a lower interest rate, some choose refinancing to convert their adjustable rate mortgage into a fixed rate. Obtaining a shorter loan term is another reason for refinancing. Refinancing your home loan may take several weeks. Moreover, homeowners must have the disposable income to pay closing costs and other mortgage fees.
How to Consolidate Debt with a Mortgage Refinance?
A cash-out mortgage refinance will allow you to obtain a lump sum of money when you close on the new loan. When you refinance, you create a new mortgage and borrow money from your home's equity. The borrowed money can be used for any purpose. Debt consolidation is a top reason why many homeowners choose this option.
Once the funds are received, you can use the money to payoff the balance on credit cards, automobile loans, student loans, personal loans, etc. In most cases, the amount borrowed from your home's equity can be included in the new mortgage amount; thus you will not acquire a second loan.
Choosing a Good Debt Consolidation Refinance Lender
Several lenders are willing to offer mortgage refinancing. However, homeowners should not make a hasty decision. Instead, you should carefully review lender sites and request quotes before making a final decision.
The key to refinancing is getting a good, low rate. Moreover, homeowners should attempt to get some fees waived. For this matter, contact the lender of your current mortgage. If you were a loyal customer and developed a good relationship, your lenders may not charge fees such as title search, application, etc. In this instance, you can save hundred on your closing cost.
Working with an online mortgage broker is another great way to locate a good lender. Brokers will contact several lenders on your behalf. In turn, lenders will make you an offer. The offer will include rates and mortgage terms. You choose the lender with the best quote.
|
|
|
|
|
LinkedIn Recommendation:
 Jonah William - Owner at Tessier Marketing - I thought I was well versed in social media before I found Teo. He has helped me round my skill set with great information only he seems to teach. I went on the web and looked for it later, but it's just not there. The ShareThis.com counters for instance, which definitely don't work right... can't find that anywhere, but it's easy to prove once you know what to test for! Teo really has a way of getting to what works and what works best! - March 17, 2012, Jonah was Teo's client |
|
Featured [Debt Consolidation] Articles:
|
|
