The refi race is about to start.
As tough as the high-interest rate marathon was last year, the finish line just may be in sight! Mark and his team are ready to help you refinance once those rates go down. And like a great pair of running shoes, when it’s time to renaissance he’ll help you do it on time and support you all the way (with minimal blisters).
Start stretching now.
It’s time to get your house in order so you can refinance when the time comes. Since rates are projected to drop this year, refinancing is an opportunity to lower your monthly payments. Other benefits include using equity to pay off loans, getting cash to reinvest in your home, and making smart long-term financial decisions. If refinancing is in your future, there are things you can do now to smooth the road ahead.
- Get your financial documents in order
- Identify your insurance provider
- Have the details on your most current mortgage
- Know what you’re paying for homeowners insurance
- Have a copy of your property tax bill
- Have your HOA due notice
- Get an estimate on the value of your home
- Contact Mark Smith
Mark gets asked a lot of questions. Here are some of the most asked questions we got in 2023 are:
Why are my property taxes higher than expected?
Property taxes are set by the local county jurisdiction. Unfortunately, in most cases, the value of the home that the county is relying on to set property taxes may be based off an old estimation of value, or, it may be a good current estimation of value, but was kept artificially low due to rules and laws in place to prevent property taxes from skyrocketing in a short period of time when property values are increasing quickly. However, when a home is sold and there becomes a new owner-of-record – any of those caps that are put in place for the existing owner – go away, which means you can see a dramatic increase in property taxes when the next tax assessment comes out. It’s easy to make sure you always have enough money for property taxes: Figure out what your “tax rate” is supposed to be – and make sure you have at least that going into your escrow account or savings account (if you don’t escrow) to cover the bill when it comes due. This way, you won’t be surprised by that sudden jump in property taxes.
What is a cash-out refinance?
A cash-out refinance is where you take a home that you own, and you “cash out” equity that you have in the home with a new loan amount. Simply put – you take the loan amount, subtract closing costs and any existing liens that have to be paid off, and what’s left becomes the amount of cash you receive – the cash that you pulled out of the value of the home. A cash-out refinance is different from a no cash-out refinance in that a no cash-out refinance simply pays off existing debts on the home and you don’t receive any of the excess.
Stay on Course
Home buying and refinancing can be intimidating. After all, buying property is one of the biggest investments you will ever make. So understanding all that goes into it (money, credit, sweat equity, paperwork– so much paperwork), is crucial to making the most of your real estate and financial goals. Mark and his team are always ready to talk through all things mortgage (from building credit to closing and refinancing) so you can stay on course for long-term success.
Ready to get started?
Schedule a free 15-minute chat with Mark.