Mortgage Check-in: Exploring Options for Cash Out, Refinancing, and More

Your home is likely your largest asset and biggest investment. And while most people will put a lot of time and thought into general maintenance and upkeep of a property, they often won’t give a second thought to their mortgage—the agreement that made the investment possible in the first place.

With any other investment, it’s common practice to reassess and revisit goals and risks from time to time. A mortgage should be no different. Whether you’re looking to make a major change, minor adjustment, or just sit pat, your mortgage loan officer (MLO) can go through a mortgage review with you.

The summer season is always busy, and it will likely be busier than ever this year—so now is the time to get a sense of the housing market and assess your situation.

Are You Considering a Big Change?

Now may be the right time to make that big change you’ve been thinking about. Maybe it’s remodeling a kitchen, paying for education expenses, investing in a vacation property, or simply rightsizing as your family dynamics change.

But before making those decisions, you’ll want to consider some factors: What’s going on in your local market? What is the current trend in interest rates? What options best fit your needs? Finally, how do appraisals factor into your decision-making?

To best anticipate changes in the market and know your financing options, a mortgage review with your MLO is time well spent!

Is There an Opportunity to Refinance Your Mortgage?

Even if you’re not going to move or start any renovation projects, your MLO will be able to talk through refinance options for your current mortgage. For some, this means taking advantage of lower rates, allowing them to reduce their monthly payments. For others, they may be able to shorten the overall length of their mortgage—moving up the date they’ll have their home paid off.

One common reason to refinance your home—not just because of a favorable rate environment—is if you happen to have an adjustable-rate mortgage. In those instances, you may have had a good interest rate for the first several years of your mortgage, but that rate has since expired—bumping you up to a higher payment. Refinancing to a fixed-rate mortgage will lock you in to that more favorable rate for the entire length of the loan. These sorts of discoveries are the advantages of having an annual mortgage review with your MLO.

Are You Comfortable with Your Current Mortgage?

In some cases, you may work with your MLO and realize your current situation is a good fit. You have a monthly payment you’re comfortable with, have a timeline that aligns with your long-term goals, and you don’t need to access any home equity for the time being. A quick annual check-in will ensure you’re aware of what to keep an eye out for and what options may be available to you to consider later. You want to be comfortable knowing you’re properly maintaining the financial aspects of your investment. This is just part of responsible finance and maintenance.

Regardless of your current situation, one of our mortgage loan officers would love to review your current mortgage and discuss your options.