Tulsa Cash Out Refinance
Tulsa Cash Out Refinance
Being a homeowner is one of the biggest investments you will make in your life. And like any investment, there are times when you can really benefit from cashing out – or taking equity out of your home. A Tulsa cash-out refinance allows you to do just that by refinancing your mortgage for more than you currently owe, and taking the difference in cash.
Although the decision to refinance is not for everyone, you should know that it's an option! We know it can be hard to sort through all the information out there about cash-out refinancing so we've put together this quick guide to help you find some quick facts. You can also give us a call or stop in and talk at Native American Mortgage if you need help deciding if a Tulsa cash out refinance is the right move for you.
Benefits Of A Cash Out Refinance In Tulsa
So what are the reasons homeowners choose a Tulsa cash out refinance? Of course, this decision comes with risks like any other major financial decision, but when done correctly a cash-out refinance can provide you with some serious benefits such as:
- Use the cash for home improvements or repairs that can potentially increase your home's value
- Pay off high-interest debt like credit cards or student loans
- Invest the money in another property or venture
- Use the cash as a financial cushion in case of an emergency
- The most common reason people refinance their mortgage is to get a lower interest rate and save money on their monthly payments.
There are many other benefits of a Tulsa cash out refinance but these are the most common! A few downsides or possible risks of refinancing could be:
- You may end up stretching out the length of your mortgage and paying more interest in the long run.
- If home values have decreased since you purchased your home, you may not have enough equity to qualify for a cash-out refinance.
- If the economy worsens, you could end up owing more on your home than it's worth.
When Should You Choose A Tulsa Cash Out Refinance?
The best time to pursue a Tulsa cash out refinance is when mortgage interest rates are lower than the rate you're currently paying. This will lower your monthly payments and potentially save you thousands of dollars in interest over the life of your loan.
It's also a good idea to have at least 20% equity in your home before considering a cash out refinance. This will help you avoid paying for private mortgage insurance (PMI) and give you a lower interest rate.
If you're not sure if now is the right time for a Tulsa cash out refinance, our experienced lenders at Native American Mortgage can help! We'll go over your current financial situation and goals to help you make the best decision for yourself and your family. Give us a call today or stop in and see us to get started on your Tulsa cash out refinance!