Mortgage Refinancing: What Should I Know?

What is Mortgage Refinancing?

As a mortgage broker and consultant in Vancouver Lending Experts offers services and advice across a whole range of areas. Some of the most common queries we receive are about mortgage refinancing.

Mortgage refinancing is when you pay off your current mortgage and create a new mortgage. This may or may not involve consolidating two mortgages into a single loan.

Why Should I Seek Mortgage Refinancing?

There are all kinds of reasons. Perhaps interest rates have decreased. Perhaps your credit situation has improved and you feel you may qualify for a lower-rate mortgage. Perhaps you want to switch to an entirely different type of mortgage.

You may want to increase the length of your mortgage in order to decrease the amounts you have to pay every month. You may want to decrease the length of your mortgage to avail of lower interest rates. You may want to change from a variable rate mortgage to a fixed term mortgage or vice versa. You may want to keep the type of mortgage you already have but adjust the terms. Sometimes people refinance their home for a sum larger than they owe. This allows them to claim the difference as a cash sum.

Where Should I Go For Mortgage Refinancing? 

Before you try to negotiate with your bank and definitely before you consider cash-out refinancing, you should seek advice from your mortgage broker and consultant in Vancouver. You will need to determine your eligibility before you seek refinancing. Many things will be taken into consideration, including your assets, your income, your credit score and any other outstanding depts. The current value of your house and the amount you want to borrow will also affect the terms you receive.

Lending Experts is a mortgage broker and consultant in Vancouver with your best interests at heart.