You’ve probably seen the headlines – home mortgage rates are historically low. Now could be a great time for buying a new home or refinancing if you’re already a homeowner. Either way, Origin’s mortgage lending team is ready to help.
If you’re in the market for a new home, Origin can help you get prequalified for a mortgage, which makes the process much simpler. It also offers an advantage over other buyers who are not prequalified. Whether you’re a current homeowner or first-time buyer, Origin Bank has several free resources, including financial calculators and a documents checklist.
For current homeowners, refinancing your home at a lower interest rate could be a great way to meet your financial goals. When you refinance your mortgage, you replace your current loan with a new one for the same amount, usually with a lower interest rate. This could result in lower monthly payments and free up money in your budget.
If your goal is to pay off your mortgage sooner, you also have the option of refinancing to a shorter loan term. If you are in need of cash, a cash out refinance may be the solution. A cash out refinance replaces your current loan with a new one that’s higher than your current balance. This option allows you to withdraw a portion of your home equity in a lump sum. The money can be used towards remodeling, consolidating debts, or other financial goals.
“With interest rates historically low,” explains John Herndon, Mortgage Loan Officer, “reasons to refinance are many. Whether you’re interested in eliminating your mortgage insurance, purchasing an investment property, or consolidating debt, refinancing may be a great option.”
There could be other advantages, depending on your mortgage. Refinancing might eliminate the need to pay extra for mortgage insurance or prevent a large balloon payment at the end of your loan. If you have an adjustable-rate mortgage, or ARM, you might be able to switch to a more stable, fixed-rate loan.
Keep a few things in mind with refinancing, starting with the fact that you’ll pay closing costs again. You may qualify to include these costs in the new loan, though it could affect your rate. Also, let your lender know if you might be moving soon. It takes a few payments before you break even on the new loan, so make sure the timing is in your favor.
Whether buying or refinancing, don’t miss your opportunity to take advantage of low mortgage rates. The Origin lending team helps guide you through the process and find a solution that works best for you.
Contact us today at (888) 292-4037 for more information or to set up an appointment with an Origin mortgage lender.