Egberto D'Ipoteca of Refinance Gate, invites you to reprint this
article in your publication, ezine, or on your website.
This is a Free-Reprint article. The only requirements for publishing this article
are:
You must leave the article and resource box unedited.
You are not allowed to change our recommendations, nor are
you allowed to change the context of the article.
You may not use this article in UCE (Unsolicited Commercial Email).
Email distribution of this article MUST be opt-in email only.
You must forward a copy of the ezine or newsletter that contains the
article inside to the author at:
egbertodipoteca@yahoo.com.
If you post this article on a website, you MUST set any URL's
in the body of the article and most especially in the Author's
Resource Box as hyperlinks. You must also send us a copy of
the URL where you have posted this article.
If you find any of the rules to be unsavory or unacceptable, please
do not publish this article. While we are happy to make the content
available to you for your own use, we must insist on having our rules
and *Terms of Reprint* honored in full.
Thank you for adhering to these four very simple rules.
How To Refinance
Copyright © 2005, Egberto D'Ipoteca
|
When you refinance a home loan, it means you take out a
new loan and use the proceeds from that new loan to "close
out" an existing home loan. The reason a homeowner would
refinance is that oftentimes, the new home loan will have
a better interest rate than the current home loan. This
lowers the monthly payments allowing you to pay off your
loan sooner by lowering the payments each and every month.
Before you decide on whether to refinance your home loan
or not, you must consider four key factors:
- the current interest rate on your existing home loan,
- the market rates for different refinancing loans,
- how many years you plan to stay at your existing
residence, and
- your current needs for cash (i.e. whether you would
like to take additional cash from the refinance).
If you are going to take additional cash from the equity
of your home when you refinance, you can use this cash for
buying a new car, home improvements, wiping out credit card
balances, or more. You can even use this added cash for
investing in stocks, bonds, or mutual funds.
The good thing about refinance applications is that they
are processed fairly quickly, especially if you apply for a
refinance loan over the Internet. If the loan originator
needs some more information from you, they will request it
via email or telephone. Most likely, you will be able to
use much of the same documentation you used to secure your
existing home loan for the refinance. Some additional info
required might be proof of consistent payments on your
existing home loan, and information on the reasons you are
refinancing (i.e. to lower payments or get cash). Be
careful - you will incur many of the same charges you paid
when you secured your initial home loan - appraisal fees,
lender fees, title insurance, etc. But, if the terms are
good, it will be worth it to refinance and pay these same
expenses again because you will save so much money in the
long term.
In many instances, refinancing a home loan is a great way
to lower your monthly mortgage payment due to a lower
interest reate. And this is the most common reason that
people refinance - to lower their payments. A good litmus
test for any refinancing consideration is to see if the new
interest rate is two points lower than your existing rate.
Generally, this will lower your monthly payments as long
as you don't take any cash out and increase the principal.
All in all, refinancing can save you money and increase
your current assets. So talk to your financial advisor or
banker today!
|
Writer's Resource Box:
|
The article on this page is Copyright © 2005, Egberto D'Ipoteca
You are not required to show the creative commons license
notice when you reprint this work.
This work is licensed under a
Creative Commons License.
|
|
Article Marketing Tips:
| |
|
- Stand out from the crowds. Educate your prospects and they will turn to you for more knowledge. When they turn to you for more, they will visit your website. It is up to your website copy to sell your products, NOT your article. Provide great information and at your website, address how the prospect will benefit from what you are offering. Using these things in conjuction will help your cash register to ring.
|
|
