Written by Joy MacKay
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Refinancing is the process of taking out a new mortgage, and using the money you receive to close out your older mortgage. This benefits many homeowners, because you are sometimes able to find a mortgage loan at a better interest rate. This can mean the ability to pay your mortgage off sooner, and a lower amount to pay back.

Remember Acquiring Your First Mortgage?

Because refinancing essentially amounts to taking out one mortgage and closing out the former, the steps involved resemble those involved in your original mortgage. Keep in mind that the process will likely involve at least some of the same expenses, because of this. But considering the vast amount of money that refinancing can save you, it is often well worth the trouble.

Why Refinance?

Of course, the most popular reason for refinancing is to secure a lower interest rate. If the interest rate that you received on your mortgage is higher than current interest rates, you will probably want to consider the benefits of refinancing. This means that even if your refinanced mortgage is for the same amount as your original mortgage, the lower interest rate means a total lowered cost to you.

When you refinance, it can mean lower monthly mortgage payments for you and your family. This essentially gives you greater freedom each month, and far better security financially. Look into refinancing options today, and start saving on your home mortgage!

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