Refinancing your home, choosing to be proactive in reactive times
With uncertain times ahead we are receiving a lot of calls regarding taking equity out of people’s residences. Some people are doing this as they are concerned about being off work for an extended time, others are using this time to refinance all off their debt and putting it into one simple payment, while there are people just looking to take advantage of these new low rates to lower their interest on their mortgage.
If you are in the group of people that are concerned about their employment I would suggest doing this before any changes at work as lenders will not lend to anyone who is not working.
The government has set limits on the maximum you can borrow against your house and the chart is below
This type of financing that Baars received the loan amount into as much as 80% of the value of their house. Lenders allow these homeowners to pay for the refinanced mortgage for a long period of time, and their interest rates are generally lower compared to the rates of other types of personal loans.
|Appraised value of your home||$300,000|
|Maximum loan you may get||x 80%|
|Loan amount based on appraised value of your home||= $240,000|
|Less balance you owe on your mortgage||– $175,000|
|Refinancing credit limit||$65,000|
There are many valid reasons for you to refinance your home, and there are certainly several advantages that come with doing so if accomplished at the right time. We believe the right time is now, to successfully access your home’s equity and to secure another loan with more favorable terms while providing yourself with emergency funds in uncertain times.
Contact our Brokers as Browne Mortgages + More to talk about refinancing your home today!