I am a return customer to Colonial Mortgage with Andy Sikora. Andy and staff worked with me every step of the way to make the refinance process clear and less daunting. They were always friendly, patient and knowledgeable. It was a refreshing and pleasant surprise that even though they are a smaller outfit, they cost less than the bigger banks and not as surprising was that service and accessibility were excellent. I got help quickly and the whole refinance took less time. 5 stars.

-Sean S.

Should You Refinance Your Mortgage?

Your home is likely your largest asset and your largest debt. How you choose to pay off your debt and use the equity in your home can have a major impact on your monthly cash flow and net worth over time. It can be confusing to figure out which home refinance option offers the best opportunities for your situation. To determine which loan is best for you, our Borrow Smart Analysis compares your current loan to three of the best alternatives to determine which one will save you the most money over time. It will take into consideration closing costs, monthly cash flow savings, and investment alternatives so you can see which loan option best suits your needs.

Reasons to Refinance

Getting a better interest rate

Have interest rates gone down since you obtained your home loan?  Has your credit improved?  Refinancing may help you reduce your monthly payments.

Moving to a shorter-term loan

Switching from a 30-year fixed rate loan to a 15 or 10-year loan can save you thousands of dollars in interest payments. Weighing current interest rates and your comfort with higher monthly payments helps us figure out if this is the right mortgage refinance option for you.

Moving to a longer term loan

Did you start out with a short-term loan to reduce interest? Sometimes circumstances change and you might be looking for a lower monthly payment.  Refinancing from a 15-year home loan to a 20 or 30-year loan can increase your monthly cash flow.

Eliminating Mortgage Insurance

If you needed Mortgage Insurance to secure your initial home loan, you might have built enough equity in your home to eliminate that payment by refinancing your loan. This is a great way to reduce your monthly home loan cost.

Switching from an Adjustable Rate to a Fixed Rate Mortgage

If your current home loan has an adjustable rate and you are planning to stay in your home for the foreseeable future, a move to a fixed rate mortgage might be the right choice.  A fixed rate protects you against future rate increases.  This type of mortgage gives you assurance that your monthly payments will remain unchanged for the duration of the loan.

Switching to a new Adjustable Rate Mortgage

This type of home refinance is ideal if you are not planning to spend more than 5 to 10 additional years in your current home.  Adjustable rate mortgages can have significantly lower interest rates, so choosing this refinance option before your current loan adjusts could save you money.

Getting a Cash-Out Mortgage

Whether it’s to consolidate other debt, or use the equity in your home to make other investments, there are times when taking cash out of your home makes sense.  We’ll help you determine which loan option best meets your needs.
Refinancing your mortgage may be a great way to save money and meet your short and long-term needs. We work with you to create a plan and find a loan program that suits your specific needs at the lowest cost for you.

To get started with your free Borrow Smart Analysis, complete a quick online application or call us at 703-505-2999.