Refinance your home loan & home equity loan at the same time
Mar 4th, 2008 by admin
If you requested both: a mortgage loan and a home equity loan, you can refinance both loans and get only one loan together with a single monthly payment but with the same or better terms than the average of both outstanding mortgage loans. This can be done by applying for a refinance mortgage loan!
Home equity loans (also so called 2nd mortgages), are secured with the same asset as the main mortgage loan. With other words: when refinancing the home loan, you can include also your 2nd mortgage or home equity loan. This can have many advantages like:
- Fewer monthly payments;
- Saving lots of money on interests;
- Receiving lower installments;
- Less overall debt exposure.
Refinancing can save you thousands of dollars on interests! Home equity loans normally come with higher interest loan rates than mortgage loans. By obtaining a lower rate refinance home loan, you will be saving money on your mortgage loan but also saving (even more money) on your home equity loan.
In case of refinancing you will unify both loans and therefore get a longer repayment program & lower monthly payments. The loan installments will be definitely lower than the combination of mortgage loan payments and the home equity loan payments when they are seperately. This will improve and ease your financial situation and income!