Interview with Patrick Smith, Mortgage Manager
Last Updated
June 26, 2020
Written By
First Family Credit Union
With the fed reducing rates several times in 2020 the country has reached some record lows – because of this we are sure there are a lot of people wondering “should I refinance?”
We interviewed one of our local experts, Patrick Smith, Mortgage Manager, so we could bring you firsthand and up to date information! Here’s what Patrick had to say.
There are several factors that you should take into account when considering this question. We can quickly determine the financial benefits when refinancing but you, as the homeowner, need to identify the “life” benefits.
Another possible benefit is the ability to shorten your term! Even if your payment remains the same, shortening your term will save you a lot of money over the years.
Now, this is where the life benefits come into play. Are you comfortable with the payment you are making? Would you be willing to pay more or like to pay less per month? Is there something you could use your home’s equity to pay for; such as student loans or improvements to your home? You also need to consider your long-term goals for the house – are you planning on moving again in a year or 2 or is this your forever home? Knowing the answer to these questions can help you determine the best solution both financially and simplifying your life.
Also, always be sure to ask if there is a chance the lender will sell your loan. If so, find out who the potential servicer could be. Having your mortgage originated and serviced locally will help simplify your financial life!
Having a home is so important but having a home that can help make your life less complicated is HUGE!
I hope this information is helpful. We love educating our community and helping our current and potential members save money while living out their dream of owning their own home!
