Would you like to pay off your mortgage faster, by refinancing into a loan with a shorter term? We can help. And with today’s low rates, you might enjoy the double benefits of having a shorter term and a lower rate. Contact us to get started, or keep reading below to learn more about this refinancing strategy.
Pay Off Your Mortgage Faster, by Refinancing
Refinancing is when you replace your current home loan with a new one. Some homeowners refinance to secure a lower mortgage rate and reduce their monthly payments. Some do it to switch from an adjustable (ARM) loan to a fixed-rate loan. And some homeowners refinance to pay off the mortgage faster.
You can even combine these goals. For instance, you could refinance from a 30-year into a 15-year home loan, and get a lower mortgage rate at the same time. This would allow you to pay off your mortgage faster, and potentially save a lot of money in interest costs over time.
Getting a Lower Rate With a 15-Year Loan
Did you know that 15-year fixed-rate mortgage loans tend to have lower rates (on average) than their 30-year counterparts. It’s true. If you refer to the latest mortgage market survey conducted by Freddie Mac, you’ll see that 15-year loans have lower rates than the longer term 30-year mortgages.
Additionally, if mortgage rates have decreased since the time you first purchased your home, you could benefit from this as well. In this scenario, you could refinance into a 15-year loan and end up with a much lower rate. You would also be shortening your mortgage repayment term.
This could reduce your total interest costs in two ways:
- by securing a lower mortgage rate, and
- by paying interest for a shorter period of time.
The first step is to find out what kind of rate you can qualify for, and how much your closing costs might be. We can help you determine both of these things. We can give you a rate quote based on your current financial situation, as well as an estimate of your closing costs.
Why Work With Bridgepoint Funding?
- We’ve been helping California homeowners refinance for more than 15 years.
- We can help you determine if refinancing makes sense for you.
- We offer highly competitive loan rates and flexible criteria.
- We want to be your mortgage partner for life!