Have you bought a dream home? Now you are very happy that you have, not just a house but a “home” for yourself. Though you are happy, somewhere in the corner of your mind, are you jealous that your friend got a better deal, with a cheaper rate of interest, and you were in a hurry to buy a house, if you had waited for some time you could have got a better deal and saved some money.
Don’t worry you can still do that, by going for home refinancing. Wondering what that is…. I’ll tell you what it is. Home refinancing is taking another loan on your home to pay off the first one. By doing this you not only pay off the first one where you were paying a big amount as an installment, at a higher rate of interest, you will also get some extra money to fill your pocket.
Wondering how, very simple when you go for home refinance you will obviously, go for a package that is available in the market, and you are aware that today you get home loans at very attractive rates. And they are comparatively cheaper to the one’s earlier. Hence forth with the new loan you can get rid of the old one and you can also get some extra money.
If you do not want to carry the burden of monthly installments you can even opt to continue paying the same amount of installment as you were paying earlier, and you cut down the on the period of loan. By paying the old installment you, can close the loan fast and can also save thousands of cash on the interest.
Because, the amount you pay will be directed towards the principle of the loan and your interest will be less. If you wish, you have another option where in you can take a higher amount of loan, than what is required to close the previous one, and convert the extra funds to cash.
I know it sounds interesting, but you have a second thought because you don’t want to run around to get the documentation done. The best thing you could do is go to the same lender where you got your first loan. The process becomes very simple, as they have all the documents necessary. And by now the lender would be aware of your credit worthiness. So that makes the job even simpler