Today I want to talk about everything you need to know when you are considering a refinance on your home mortgage.

It is March 2nd, 2020 and the interest rates are very low. If you're considering a refinance on your property, then this video is for you!

#1 Common sales strategies/traps lenders use to suck you in.
#1.1 The lower monthly payment
#1.2 The no closing cost loan
#1.3 The amortization schedule reset

#2 Pros & Cons of Refinancing
Pros:
#2.1 Lower monthly payment
#2.2 Less interest paid and more principal paid
#2.3 Less interest paid over life of loan
#2.4 More cash flow / buying power / flexibility
#2.5 Possible to remove PMI
#2.6 Can Pull Cash/Equity Out

Cons:
#2.1 Cost $ to refinance
#2.2 Takes effort / work to do a refinance
#2.3 30 year loan reset
#2.4 New bank / payment processor
#2.5 Possibly more property taxes
#2.6 More income taxes paid

#3 When does refinancing make sense?
#3.1 Currently have crappy loans
#3.2, Interest rate higher compared to today's rate.
#3.3 Paying junk fees like PMI
#3.4 Plan on staying put long term or renting property out

#4 How to compare loans and calculate your break even point.
#4.1 Compare apples to apples
#4.2 Compare interest rate & closing cost
#4.3 Ignore prepaid / escrow charges

#5 My final suggestions

Resources:
Get current rates and great prices on home loans (referral code included): https://www.boxhomeloans.com/corporat...

Refinance Break Even Analyzer (make a copy or download): https://docs.google.com/spreadsheets/...

Amortization calculator: https://www.amortization-calc.com/mor...

#mortgagerefinance #refinance #savemoney

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DISCLAIMER: I am not a CFP, CPA, attorney, insurance agent, real estate agent, mortgage broker, or financial advisor. These videos are for educational purposes only and I am merely sharing my opinion and experiences. Please do your own research or consult a professional!

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