Why Homeowners Refinance Their Mortgages

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Why Homeowners Refinance Their Mortgages
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• There can be many reasons why a homeowner might
  choose to refinance their mortgage read on to
  find out about the most popular reasons, and
  learn whether its the right decision for you
• To get a mortgage with a lower rate and better
  terms
• If your existing mortgage rate is higher than
  that of the market rate, and you still have a
  significant principal left on your loan, then you
  could make substantial savings when you
  remortgage your home for a lower rate. While its
  true that youll need to pay certain fees upfront
  to remortgage, the savings you can make on a
  long-term basis usually far outweigh the initial
  cost. To understand this in more detail, talk to
  an experienced mortgage broker in the locality.

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• To shorten your loan term
• By increasing your monthly payments with
  re-amortization, changing the frequency at which
  you make payments, or selecting a shorter term,
  you can help pay off the principal quicker. This
  is especially useful if youve experienced a loss
  or decrease in income since you purchased your
  home, and if your current mortgage doesnt allow
  you to make larger payments to pay it off faster,
  remortgaging might be a sensible option.

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• To take advantage of a favorable shift in the
  market
• Understanding the current market and changing
  your loan, or switching between fixed and
  variable rate mortgages, can save you a lot of
  money. Lenders will typically allow a switch from
  variable to fixed, but not the other way round,
  whereas remortgaging gives you the opportunity to
  swap from fixed to variable. Doing so may mean
  that you get the best rate and make the most of
  your savings over time. Again, a mortgage broker
  can help you determine if this would be a savvy
  move.

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• To gain access to equity
• Remortgaging your home could give you access to
  the equity youve built, and enable you to
  provide your family with more disposable income
  for major purchases or expenses, vacations,
  investments, education and even home
  improvements. It would be sensible to put this
  equity towards something that will give you a
  return, such as home improvements, which will
  ideally add value to your home, or an investment
  property that can be sold or rented out for a
  profit.

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• A reputable mortgage broker will advise you that
  its best to refinance your mortgage when your
  existing loan expires, as failure to wait could
  result in penalties. Also, if your credit score
  or financial circumstances have improved since
  you got your original mortgage, or interest rates
  have subsequently fallen, it might be sensible to
  refinance your mortgage. For more detailed advice
  and guidance about refinancing your mortgage,
  schedule a consultation with your trusted
  mortgage broker.

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• Mortgage-broker-Calgary is your best resource for
  finding a mortgage for your property. Luke Wile,
  is the best calgary mortgage broker and is proud
  to serve clients from across Canada, while being
  centered in Calgary, Alberta. Luke is proud to
  serve his clients with a personalized approach to
  finding his clients the best and lowest Canadian
  interest rates and terms offered by the major
  banks and private lending institutions. If you
  are looking for a mortgage broker in Calgary AB,
  with Luke Wile you can get fast and personal
  expertise for your mortgage!