Eric Cook

With rates continuing to be at historic lows, there’s absolutely no reason NOT to refinance. Take advantage of these incredible rates—we may not see them again anytime soon!

We created a quick list of five good reasons why you should refinance your mortgage:

1. Decrease your monthly payment. More money in your pocket each month is vital during this aggressive recession. The easiest way to pay yourself more money is to lower your monthly payment by refinancing at a lower rate.
2. “Fix” your mortgage rate. Still on the adjustable bandwagon from years ago? You may want to consider locking in at one of the lowest rates ever right now, before rates begin to rise. Talk to one of our loan officers about changing your adjustable rate to a fixed rate today.
3. Don’t be a “balloon boy.” Just like the balloon boy’s father, Richard Heene, you don’t want to get into trouble because of a balloon. Balloon programs on your mortgage work well when you want to artificially lower your rate (and payments), however if you still own the property by the end of the term the entire balance of the loan is still due to the lender.
4. Kick PMI to the curb. Although PMI may sound like the latest text message code the kids are using to throw off parents, PMI is actually Private Mortgage Insurance. PMI is something homeowners have to obtain if their cash down payment is less than the standard 20%. This insurance protects the lender in case of loan default. However, as your loan balance lowers and your home value increases, you may be able to remove the insurance by refinancing, which can save you money every month.
5. Increase your home’s value using its equity. If you want to increase your home’s appeal for a future sale or if you’ve had it with the mossy green carpet in the rec room, cash in on your home’s equity and make changes. Ask about a tax deductable cash-out mortgage refinance transaction to get started!

We make refinancing simple at AmeriFirst! Click here to begin the mortgage application process or contact one of our loan professionals who can answer your refinance questions at 800-466-5626 today!

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