There are a number of situations that can indicate the
right time to opt for a remortgage loan. One can be when
you learn that you have been paying more interest on your
current mortgage than you need to and that a remortgage can
be a good way to take care of this and save you money.
You may come to this realization listening to some friends
tell you that they have already obtained remortgage loans.
Talking to them in detail can be revealing and can serve to
clear many doubts and apprehensions you may have about
remortgaging to save interest you are currently paying on
your existing mortgage.
A remortgage can also make it easier for you to handle your
monthly outgoings. When you remortgage your home after
having made repayments on your current loan for ten years
in order to stretch the repayment of the remaining amount
over the next thirty years, it reduces your monthly
repayment amounts considerably making it more affordable
for you. You can even use a remortgage to shorten the
repayment period of a long term loan to a much shorter
period saving considerably on interest at the same time.
However, you need to take into account the closing costs
and other expenditure involved in closing your mortgage
with your first lender to determine if a remortgage would
really be beneficial.
Another situation for a remortgage can be when you stand in
need of ready cash for some urgent need but cannot find a
source to provide you with the necessary funds. A
remortgage of your home can be the right answer. However,
this can be a suitable solution only when you have made
regular repayment over a long period on your existing
mortgage and have built up substantial equity. The
valuation of your house may also have gone up since it was
first valued for the initial mortgage loan. A reevaluation,
that is necessary before the remortgage, will enhance your
borrowing limit and leave you with a larger amount to use
for your needs after paying off your first mortgage.
You may need the cash to take a long awaited vacation or to
pay for a college education. You can use it to make
value-adding improvements to your home like an extra room
or kitchen. Then you may use it to free yourself from
crippling personal loans or credit card debts that carry
astronomical interest rates. Devoting a little time and
attention to details discussed above can help you in
ascertaining the right time to go in for a remortgage of
your home.
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Graham Bradlington is the marketing manager for Quickly
Finance Limited, a company which specialise in Fast track
Secured Loan & Remortgage applications for homeowners.
Quickly Finance is 100% independent & can search the whole
market for the best deals... quickly! For more info:
http://www.quicklyfinance.com
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