Why is right now a good time to refinance? Did you know thats interest rates just plummeted again? Rates on mortgages are in the low 4’s . So this means that if you have a rate higher than 4.5% that you could possibly save money on your mortgage or potentially pull out money to pay off your debt.
One of the things I like to recommend is that if you do this, snowball any remaining money that you usually would spend on minimum payments into the principle of your home, that way you pay off that debt faster. So let’s just say your credit card minimums are $250 per month, and we were able to save you $100 a month on your mortgage (or consolidate your debt into that $100 per month), you would then pay the extra $150 per month as a principle payment on your mortgage. The debt portion of your loan would be paid in no time, because you would be paying your debt down by $1800 per month. This means that in 5 years you would have that $10,000 in debt gone, which could not be done by only paying the minimum on your credit cards. Watch the below video to find out more about consolodiating your debt into your mortgage.
Why would you do that though? Well because if you are paying upwards of 10-25% on the interest rate on your credit cards, then paying 4% would actually reduce your monthly expenses. For example, if you have $10,000 in debt you are surly spending over $100 a month in minimums. But if I can save you more than that, then you are in the positive. Watch the video to learn more about consolidating your debt by refinances or Apply now.