With money worries on the rise the first place many turn to is the monthly budget. It seems to be unyielding and rigid. What else can you cut when you've eliminated everything you don't absolutely need?
One of the best places to cut expenses can be your mortgage. Now with the new stimulus plan in effect it's even more possible to refinance your Santa Cruz real estate to get the most savings possible. Here are a few things to look for to decide if refinancing is right for you:
• Are you interested? The interest rates have dropped due to incentives by President Obama. If the current interest rate is lower than your existing rate, you might be able to save hundreds of dollars each month when you refinance. Check with your mortgage provider to determine if you can save money by refinancing.
• Give yourself credit. You're entitled to a free credit report from all three major credit reporting companies each year. Use it to find out your credit score. If your score is above 650 on all three, you have a good chance of taking advantage of the new interest rates.
• Location, location, location. If you live in one of the major metropolitan areas of the U.S. and have a typically high mortgage over $417,000.00, you could benefit a great deal from refinancing immediately. Conversely, if you live in a declining market, you will need much higher equity and a better credit score than 650 to successfully refinance your existing loan.
• What's your line? If you have at least 10% equity in your home, you are in good shape to refinance.
Knowing where you stand is the first step in deciding if refinancing is right for your Santa Cruz real estate. If you have any questions about refinancing, give me a call today at 831.662.6522 or email me at lauren@laurenspener.com I'm happy to help.
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