Today is a great time to refinance your home. Interest rates are still lower than they've been in 50 years!


When you refinance, you could have the opportunity to:

  • Lower the interest rate on your existing mortgage
  • Consolidate your 1st and 2nd mortgages in order to lower your overall interest rate
  • To take cash out to invest, do home repairs etc.

When You Should Consider Refinancing

One of these three conditions need to exist before you consider refinancing. If one of these are present, let's talk about how refinancing could be in your best interest.

Mortgage interest rates are falling

When mortgage rates fall, it can be a great time to refinance your home. There are two ways this can benefit you:

1. You can keep your current repayment period and lower your monthly payments

2. You can keep your monthly payments about the same and shorten your repayment period

You recently bought your home

It is best to refinance early in your mortgage payments are primarily going toward interest. Later in your mortgage you pay more principal, so it may be better to keep your original loan.

Remember, refinancing will give you a brand new mortgage to pay off and will take you back to the beginning of the cycle (so you’ll be paying mostly interest again).

Home values are going up

If the value of your home has gone up (which most have these days), refinancing takes advantage of the fact that you own more of your home now.  You could use the equity to pay off other debts that have higher interest rates like credit card debt.