REFINANCE

REFINANCE

 Refinancing is often used to lower your interest rate. If rates  have dropped since you last financed your home, you may want to consider  refinancing. Other common reasons to refinance include paying off a  balloon payment, converting an adjustable rate loan to a fixed rate loan  or to extract cash equity in your home (cash out). A few reasons for  cashing out include: home improvement, an education fund, and  consolidating debt. 

Another way to convert equity in your home to cash is a "home  equity" loan. A "home equity" loan is an alternative to refinancing if  your home loan has a very low rate compared to current interest rates or  if you have a prepayment penalty on your loan. 


Benefits:

  • Reduce Your Interest Rate 
  • Cash Out Equity for Home Improvements
  • Consolidate Debt
  • Lower Monthly Payments


To Refinance All You Need: 

  • Current Appraisal and Analysis 
  • Verification of Assets and Income


  


CASH OUT REFINANCE

Cashing out refers to the refinancing of a loan where the borrowers will borrow money on their own home. If a home is appraised at $100,000 and the borrower's outstanding mortgage loan is $60,000, it is possible to enter into an 80% cash-out refinance transaction for a loan of $80,000 (80% of $100,000). The new mortgage of $80,000 will pay off the $60,000 loan and leave $20,000 cash-out to the borrowers. 

 

What Are The Benefits?

By cashing out on your home, you can obtain cash on the value of your own home to pay off debts or upcoming expenses. The refinance transaction can also provide you with a better mortgage loan interest rate that will save on your monthly mortgage payments during the loan. And it's tax-deductible. 

 

How Can We Help?

If you are looking for this type of refinancing, Helping Hand Lending, Inc. can find a program suited to your financial needs. We offer cash-out programs for Owner-occupied homes and Non-owner occupied homes, with low, affordable rates.