-Home renovations – Many people are deciding to stay in their homes and renovate instead of moving. Rather than selling high and buying high, some homeowners are taking advantage of the increase in equity in their own property and making the home work better for them with a renovation.
-Investments – Purchasing an investment property or a retirement property. An equity take out can allow you to take some of the equity in your current property to use as down payment or to fully purchase an investment property.
-Debt consolidation – Consolidating consumer debt with your mortgage can free up monthly cash flow with one lower monthly payment and save you from paying high interest rates to the credit card companies.
-Lower interest rate – If the interest rate offered today is lower than what you are currently paying, it may be worth re-doing your mortgage. If you had credit issues and have now improved your credit since you got your mortgage there may be better interest rates available to you.
-Lower your monthly payment – Maybe you just need to lower your monthly payment. This can be done by extending out the amortization of your payments. If you only have 15 years left to pay out your mortgage but you would like to save up some money for a vacation or you have a kid about to go to university we could extend the amortization out to say 20 or 25 years and this would significantly reduce your monthly payments.
-Pay off your mortgage sooner – If you are able to pay more to your mortgage each month, a refinance will allow you to shorten the amortization period thus allowing you to pay it off faster and save on interest charges.
Schedule a mortgage review to discuss your refinancing options.