8 Ways Your Mortgage Can Supercharge Your New Year’s Resolution
Are you hoping to cut costs in 2014? Homeowners across Puget Sound have been taking advantage of historically low interest rates (to the tune of 1311 refinances completed in October in King County alone according to MarkeTrac). If your New Year’s resolution this year is to get your finances under control here are 8 ways to leverage your mortgage.
Lower your interest rate
You may have refinanced in 2011 and are wondering should I really refinance again? The answer in many cases is yes. Even a slight drop in rate can save you thousands over the course of your loan.
If you’ve been holding out for rates to ‘hit the bottom’… you’ve missed it. Rates are ticking up and several sources lead us to believe they will continue to rise. The upside is equity is also rising. You may be able to drop your mortgage insurance. Act now. A couple of hundred dollars per month savings can really go a long way toward a Roth IRA or a child’s college fund.
Increase cash flow and consolidate those high interest credit card balances into your mortgage.
Lock in on a fixed-rate mortgage
Do you have an adjustable-rate mortgage that has a low interest rate…for now? Are you starting to worry about rising interest rates? Now might be the perfect time to lock-in a low interest rate that can’t change for the life of your loan.
Shorten your term
Now more than ever homeowners are taking advantage of low 15 year mortgage rates! If you are wondering what your mortgage payment might be on a 15 year term, use our basic mortgage calculator.
Pay off your mortgage faster with this trick
“We can make our mortgage payment just fine, why should I go through the hassle of refinancing?” If you’re comfortable with the payment you have you can lower your rate and keep making the same payment and shave years off your term.
Increase net worth overtime by purchasing an investment home
Put those monthly rent checks toward building equity for yourself.
Diversify your investment portfolio
Purchase a property investment purposes.
Whatever your financial goals are we know that your home and home loan are a large part of your overall financial health. Absolute Mortgage is here for you whether you are an existing client, a first time home buyer or a real estate veteran. May you have a prosperous new year.