With the decline in interest rates, mortgage refinances have become a popular topic. And given your mortgage may be your biggest budget expense, you owe it to yourself to consider refinancing.
Some compelling reasons to refinance include:
- an increase in your credit score or home value
- the availability of more favorable loan terms
Everyone’s situation is unique, and many factors must be considered before making the decision to refinance.
Items to consider include:
- Interest rate trends
- Current loan rates and terms
- Available alternatives
- Motivations for refinancing
- Cautions against refinancing
This flowchart can help guide you through the decision of refinancing your mortgage. Have you refinanced your mortgage?
Erik Garcia is a Certified Financial Planner™ that helps his clients not only manage their stock market investments but also advises them on making big financial decisions (like the decision to refinance a mortgage) that are consistent with their long-term plans. Are you ready to start planning with Erik?