Our fiduciary is to assist our clients, we would only refinance your property if there is a net tangible benefit to be had. How do you determine if it’s worth it? Here are some items that we keep in mind when helping our clients set up a potential refinance, hopefully it helps you too:
- Are you lowering your rate by at least 0.25% at zero cost or close to it? In those circumstances, even saving $875 (0.25% x $350,000 average loan size) a year is better than not doing so. Plus, at Empire we make it easy and quick to do so.
- Are you taking years off your mortgage? Going from 30 year fixed to 15 year fixed is an excellent move, if you don’t mind the higher payment. You will likely be saving $$ on interest expense and your mortgage will be paid off before you know it.
- Cash-out? Then it might be worth it to you regardless of the rate! You may need cash for a major life event or perhaps to pay off a home equity line of credit (essentially a credit card on your home) or other expensive liabilities like car payments, personal loans, or credit cards.
We like to see our clients winning, saving monthly on their mortgage, seeing it paid off sooner than they expected, or improving their monthly cash-flow by getting rid of expensive credit card payments.
The truth is, your mortgage on your residence is likely the least expensive capital you can achieve (and for most, their largest debt), we help you capitalize on that by improving your rate, or utilizing the mortgage to pay off other more costly debts.
Whether you consider this refinance worth it or not, we are happy to help, whichever way it goes. We know that client relationships matter, and we are here to help you make sound financial decisions that will help your family and future generations to come.
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