Consolidate Your Debt
Consolidate Your Debt With a More Beneficial Mortgage Plan
We know you’ve already signed up for a loan, but you can still reduce payments. Consolidate your debt, refinance your loan, or bring more cash to the table to reduce interest rates.
Are you looking at your debt (or a few of them) and wondering how to pay it off? Taking a loan to get rid of the debt may be a good option. If your credit history doesn’t induce hope, paying off your credit debts faster may actually improve it. Moreover, unlike credit card interests, mortgage interests are tax deductible.
Furthermore, if you’re a proud owner of 2 mortgages at the moment, we can help you combine them into one. This will reduce the interest rate and the monthly payment you’ll have to make.
Our skilled support team will help you look at your situation from different perspectives. This will help you find the most beneficial way to consolidate your debt.
Here are the types of mortgages you can use for debt consolidation:
FHA loan - Federal Housing Administration insures special FHA loans that are relatively easier to get and don’t require an impeccable credit history.
15-year fixed-rate loan - If you think you can payoff the mortgage faster, it’s better to go for it. Short payment periods mean less interest rates.
30-year fixed-rate loan - This loan is suitable for those who like stability. Even if your income looks very good at the moment, you want to feel safe. Pay your loan in 30 years with a rate that never changes.
VA loan - Veterans, their spouses, and the members of the military can make use of the special VA loan. Contact our team to find out if you’re eligible for it.
Frequently Asked Questions
How does loan refinancing help consolidate credit debts with high interest rates?
Generally, interest rates for credit debts are more than for loans. At the moment, credit interest rates are up at 15%, while rates for loans are down at 3-4%. These are some of the lowest interest rates we’ve seen in decades.
Check if you have enough equity in your house. If you do, take advantage of the low mortgage rates to take cash out of your house. Use this money to pay your debts. You will still need to close the cash-out, but you’ll do it with lower loan rates.
What is equity and how does it help pay my debts?
Home equity is the assessed value of your property minus the amount you still need to pay. The more equity you have, the more money you can receive during a cash-out refinancing. You can use this cash to pay a debt with much higher interest rates or improve your property.
How much does loan refinancing cost?
Loan refinancing can save you money or cost you more than your loan. In cases when it makes sense, refinancing is more beneficial than taking a second loan.
If you’ve made an informed decision, then loan refinancing won’t cost you anything. But if you’ve refinanced for no serious reason, your interest rate and monthly payments may increase. Your overall payment term may take longer than before loan refinancing.
How many times can I refinance my house?
The frequency of refinancing greatly depends on your state. Most states limit the number of times you can refinance for your own benefit. Refinancing too many times can lead to a debt you won’t be able to pay.
Contact an expert to look into your current financial capabilities and the laws of the state you live in.