Black Friday - Cyber Monday are Over.. Now back to reality.
It's December 1st, and a lot of you have already started or finished your Christmas yearly purchases. The average American family spends over $1,000 dollars on Christmas gifts for friends and family. Did you fit that into your budget this year?
Or are YOU above the average, and took advantage of a couple extra Black Friday Deals?
Exactly how can refinancing your home save you on your holiday shopping budget, and decrease your monthly bills at the same time?
IT’S THE MOST WONDERFUL TIME OF THE YEAR…TO REFINANCE
Right now, rates are at historical lows, which make this the ideal time to refinance your mortgage anyway.
WHAT WOULD YOU DO IF YOU DIDN’T HAVE TO PAY YOUR MORTGAGE PAYMENT THIS MONTH?
The average American mortgage payment is just under $1,500, and it’s no coincidence that it’s almost an even trade for that monthly payment and the typical holiday shopping list.
Homeowners seem to naturally want to take advantage of a payment-free month courtesy of refinancing during the winter holiday season. It’s not a bad strategy to have, considering the many benefits of refinancing that reach far and above just putting this month’s mortgage payment back into their pockets.
THE BENEFITS OF REFINANCING
Sure–letting your refinance foot the bill (so to speak) for your holiday gift list is a pretty big benefit in and of itself.
However, there are other even better perks to refinancing your home.
LOWER YOUR MONTHLY PAYMENT AND INTEREST RATES
The most common reason to refinance your home is to take advantage of a lower interest rate than you currently have on your mortgage. Mortgage rates are still near all-time lows, so even if you only bought your home a few years ago, now might be a great time to take advantage of lower rates and, naturally, lower monthly payments.
PAY OFF HIGHER INTEREST RATE CREDIT CARDS
Using your equity to pay off credit card debt– or even other debts such as student loans or medical bills–can be a great way to consolidate debts down to one affordable monthly payment with a much lower rate of interest ,
(for example, the average credit card has an interest rate of 18%–so by paying off credit cards with your home’s equity, you not only eliminate the extra monthly bills, but you get to take advantage of single digit interest rates instead of paying those high credit card interest rates).
This will save you money not only right away, but in the long run as you’ll be paying much less in interest.
Cash Out Your Equity and Save for College, Retirement, Emergency Preparation Funds, or Home Improvements
Your home’s equity can also be cashed out and used to save for college tuition for the kids, retirement accounts, emergency funds, or even to pay for home improvements. It is always good to prepare for whats coming!
Thank you reading, and we hope you and your Families have Happy Holidays and look forward in serving you soon!