|Mortgage Refinancing is taking a new mortgage loan for paying the loan on hand. In mortgage refinancing the property used for collateral is the same that is pledged for the first mortgage loan. You can find a new mortgage lender for mortgage refinancing or ask your existing mortgage lender for this type of financing option.For refinance qualifying criteria is usually different in all lenders but for general idea click here to know more about trends of approvals Reasons for Mortgage Refinancing
Take advantage of lower mortgage rates:
If you think the interest rates are lower on the mortgage a loan available in the market than what you are paying currently then mortgage refinancing is an excellent option for you to cut down on your expenses. It is just like exchanging a high rate mortgage loan for a low rate mortgage loan.
Debt Consolidation: If you are neck deep in debts and over burden by the high interest rate than mortgage refinancing is a perfect option for you. With the help of debt consolidation you can merge all their debt into a single low interest mortgage loan.
Extend your amortization to decrease mortgage payments: Canadian mortgage loan can be amortized for up to 35 years. Extension of amortization basically allows decreasing the amount of monthly mortgage payments but it increases the rate of interest significantly. Therefore, refinancing can be a great option in this type of scenario as it carries the benefit of both lower monthly payments and lower interest rates.
Shorten amortization to pay your mortgage off sooner: If you wish to repay the loan sooner than the maturity rate than you can shorten the amortization but this will increase the amount of your monthly payment. To lower your burden of high monthly payments you can resort to mortgage refinancing.
Extra money for renovations, investments, purchases or a special occasion: Mortgage refinancing provides with funds that you need at lower interest rates. You can use this extra money to buy a new house or a car. You can also spend on a wedding or pay your tuition fee with it.
Mortgage Loans Refinancing Ideas
No matter how great your income is, sooner or later you might face some financial difficulties, and that is the case when online mortgage loans are of a great help. If you have a look at web sites providing online mortgage loans, you will see that they offer reliable services and are quite available any time a day. It cannot but be very convenient, because you will not have to waste year time on making appointments with agents of loan companies and make huge efforts to get a mortgage. Online loan companies simplify the whole process making it quicker and much easier. Many people take advantage of mortgage loans refinancing, especially when it come to a home mortgage. Modern mortgage loans refinancing provides very advantageous conditions and that is why so many people choose it as a solution to all their financial debts.
If to talk about home mortgage loans refinancing, it should be mentioned that it allows anyone to save more and get some extra cash to pay off credits. A good thing about home mortgage loans refinancing is that it gives a possibility to combine two separate loans into a single one with a bit lower interest rates and on better conditions. Loan refinancing is also a good option to consider for those who are looking forward to build up some equity. Typically, it becomes possible when a borrower repays 10% of a loan. However, there are some companies offering to refinance if a person has at least 5% repaid. Online loan services also provide the second mortgage loans refinancing. For a great number of people second mortgage loans refinancing is a blessing and an opportunity to find it online is really great.
Call us or book an appointment with us in your interest to use this great option…as solution to your financial needs. Contact click
Before Mortgage Refinancing
If you are planning to go for mortgage refinancing then it is advisable that you make sure that the deal is beneficial for you. The most important thing that you need to check before going for refinancing is the penalty associated with your current loan. Once you have all the figures related to your current mortgage loan, you can easily compare both the options and select the more advantageous one. Calculate how much you will save over the term of the new mortgage, and subtract the penalty.
Mortgage Prepayment Penalty
There is a penalty associated with most of the mortgage loans available in Canada which you are liable to pay in case you plan to go for mortgage prepayment. The mortgage prepayment penalty is equal or greater than the three months of interest rate. This is also referred to as ‘interest rate differential’, or IRD. It is advisable to consult a mortgage lender or mortgage broker to know the exact penalty amount that you will have to pay in case you decide to go for a mortgage prepayment.
To apply for a second mortgage, please contact your highly trained mortgage broker today or call us direct 647.267.6338 or apply online now and save.
Contact us and save your money, because saving money makes sense
If you have any questions or require more information, please do not hesitate to contact me and I will be happy to assist you.
Vijay Gandhi, B.Sc., MBF
Mortgage Agent – Lic. # M10001947,
Centum Metrocapp Wealth Solutions Inc. – Lic. # 12147,
716 Gordon Baker Rd , 204 A, Toronto ON M2H 3B4
C: 647. 267. 6338 (Direct-Leave message or text)
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