Refinancing and Home Equity Loans

Refinancing:
Homeowners refinance not just to take advantage of low rates, but to reduce their mortgage costs, pay off their mortgage earlier, or help pay off debts. Tammac Credit can help make refinancing quick and easy by simplifying the process and providing assistance at each stage.

You plan on living in your home for a number of years
You've built up considerable equity in your home

Refinancing makes sense for many reasons:

Lower your monthly payments. If interest rates are lower than when you bought your house, refinancing may lower your monthly payment and the finance charges you pay over the life of the loan.

Stabilize your monthly payments. Converting from an adjustable to a fixed rate mortgage may keep your monthly payments from changing over time.

Consolidate debt. Credit card balances, auto loans, and second mortgages often carry an interest rate higher than that of a refinanced mortgage. Refinancing may reduce your monthly payments by decreasing your monthly interest charges. In addition, unlike with personal debt, the interest on a refinanced mortgage is generally tax-deductible (consult your tax advisor), giving you attractive tax advantages for refinancing.

Home Equity Loans:
Home equity loans are used when you need to borrow a specific dollar amount against the equity of your home. They can be used for home improvements, so that what you borrow against your home goes back into your home to increase its value. Home equity loans can also be used for any number of immediate purposes, including refinancing, debt consolidation, vacations, college tuition, or vehicle purchases.

You may be able to deduct your interest expense on your taxes, just like your mortgage
The closing cost is typically lower than refinancing your first mortgage
You may be able to borrow up to 100% of the value of your home

Fixed Rate Home Equity Loans offer a rate that is fixed for the life of the loan, allowing you to plan and budget without factoring potential interest rate fluctuations.

An important note: If you have paid off your mortgage it is important to make sure that the mortgage has been “satisfied” at the courthouse. Many times homeowners look to secure a Home Equity Loan only to find out that their previous mortgage is still on the books! Tammac Credit can provide you with a title search of your property that will show all outstanding liens, giving you the information you need before you approach your lender. We can even send this information to your lender for you.