As a homeowner watching the current refinance rates hit record lows, it’s natural to wonder, “Should I refinance my home mortgage in 2021?” Whether you want to lower your monthly payment, expand the kitchen or build a rental-worthy apartment above the garage, refinancing your home in 2021 may be the best option. There are a variety of factors to consider when deciding whether or not to refinance your home.
Who Should Refinance in 2021?
If you are asking, “should I refinance my mortgage?” it’s because you currently have a home mortgage. With that mortgage came an interest rate, and that interest rate is a factor in your monthly mortgage amount. With refinance rates at a record low, chances are your current rate can’t compare to what is going to be offered in 2021.
To get an idea of whether or not refinancing makes financial sense for you, use a refinance calculator. With this information, you will get a better idea of how refinancing rates can save you money on your current home mortgage – or discover now is not the right time for you.
Refinancing Amid COVID-19
The COVID-19 pandemic has drastically impacted the entire country, and if you find yourself on the unfortunate side of losing hours at work or losing your job completely, this may be your top reason to refinance in 2021. One of the main benefits is it lowers your monthly mortgage payment. That saves you money, which you can start to consolidate other high-interest debt. This will lower your monthly output altogether. If you find yourself needing money to make ends meet and pay for your home, along with lower your monthly payment, an FHA streamline refinance may be your saving grace.
If you've been faithful in paying your home mortgage on time, have good credit and have built equity in your home, a cash out refinance option could be exactly what you are looking for. While an FHA streamline refinance replaces your current interest rate with a lower one, a cash out refinance will put money from your home into your hands right away.
Choosing the Right Refinance Lender for You
There are a multitude of mortgage lenders available to help you through the refinance process. However, working with direct mortgage lenders and taking advantage of low refinance rates has its benefits. Simply put, it will save you even more money. At Wyndham Capital, our goal is for you to feel right at home every step of the way. Our digital advantage separates us from all other mortgage lenders, and our award-winning artificial intelligence (AI) takes care of the menial tasks, so we can focus on giving you the best refinance experience.
Whether you are a real estate investor or current homeowner asking yourself, “Should I refinance?” working with a trusted mortgage lender is essential. At Wyndham Capital, we're here to make sure you get the best mortgage rates, and we are confident refinancing with us will be a breeze. Reach out today if you are ready to start the process – or you can compare the current mortgage rates using our mortgage rates chart to decide if refinancing is right for you.