A refinance mortgage for your home is a big decision and you need to know all the reasons why you might want to refinance your home. An Indiana mortgage refinance can be used to consolidate debt, make your life easier, or save money.
What is a good reason to refinance your home? Any reason that will save you money or make your life easier is a reason to refinance your home. There are some things you need to watch out for, especially in the state of Indiana.
There are a lot of bad deals in Indiana that you have to be careful of. This is because there are a large number of banks, mortgage brokers, and lending companies in Indiana. You probably already know this because they like to send a lot of great junk mail.
There are a lot of choices out there and here are a few tips to remember while shopping for the right refinance mortgage.
1) Every company that you talk to can always give you a better deal. Whether you are working with a broker, a bank, or a direct lender, there is always a better deal. Tell them that you have another company that is willing to offer you a better rate, lower fees, or a larger loan. They will find you a better deal when you do this.
2) All mortgage account executives earn commissions and bonuses. You need to allow them to earn their money, but also don’t settle for a deal that is not good for you. They will cut into their commissions a little bit to keep you happy and secure the loan closings.
3) Points are used to buy your rate down and save you money in the long run, remember this. You should be willing to pay a little extra in points if it will get you a lower rate. Ask your Loan Specialist to show you the savings each way for you.
4) Don’t get points confused with the broker fee. This is important if you are working with a mortgage broker because they charge a fee for their services. Brokers are not bad because they can shop through a bunch of different companies and programs, but they do charge a fee. Make sure your Loan Specialist shows you all the fees and explains then thoroughly
These are some great tips to remember when making the decision to refinance your home. You will want to weigh all the benefits against the cost of the mortgage. Remember, getting your high interest credit cards and loans paid off with your refinance mortgage is the most important thing and will save you more money than you could ever imagine.