Summary of Refinancing Mortgages

The decision to refinance your existing mortgage should not be made lightly. You need to weigh the pros and cons of refinancing. You need to evaluate whether it makes sense in light of your financial goals and objectives.

Some of the reasons for refinancing an existing mortgage include interest rate reduction, reducing or extending the mortgage term, and debt consolidation. On the down side, there is potential decrease in equity and the need to keep your home long enough for your monthly interest savings to cover refinancing costs.

Whatever your reason for considering refinancing, weigh the advantages and disadvantages carefully. This is a very serious and potentially costly decision to make.