REFINANCING- S.I. MORTGAGE GROUP, INC.- ROBERT DEFALCO

Refinancing-Does this word scare you? What does it cost to refinance? What are the benefits?

Ever hear of the old rule of thumb, you should only refinance if your new interest rate is at least two points lower? That may have been true years ago, but with refinancing dropping in cost over the last few years, it’s never the wrong time to think about a new loan! Refinancing has a number of benefits. When you refinance, you might be able to lower your interest rate and monthly payment- sometimes significantly! You might also be able to “cash out” some of the built up equity on your home, which you can use to consolidate debt, improve your home, and take a vacation or whatever you want! With lower rates and balances, you might be able to build up home equity faster with a shorter term new mortgage. All these benefits do cost something when you refinance. When you refinance, you’re paying for most of the same thing you paid for when you first obtained your mortgage. These fees might include settlement costs and other fees, an appraisal, lenders tile insurance, and underwriting fees. You should be aware that the IRS has said that points paid for the purpose of refinancing your mortgage can not be deducted in their entirety in the year you pay them, unless the refinance loan is primarily for home improvements. Speaking of taxes , if you lower your interest rate, naturally you will be lowering the amount of mortgage interest payments you can deduct from your federal income taxes. This is another cost that some borrowers consider. We can help you do the math! Ultimately, for most people the amount of up-front costs to refinance are made up very quickly in monthly savings. We ‘ll work with you to determine what program is best for you, considering your cash on hand, how likely you are to sell your home in near future, and what effect refinancing might have on your taxes. Contact Vincent Demetrio 718-979-7700 S.I. Mortgage Group Inc. to refinance your home today.

Registered Mortgage Broker- NYS banking Dept & NJ Dept of Banking & Insurance. Loans Arranged with 3^rd Party providers. FHA/VA Approved Lender. 1678 Hylan Blvd., Staten Island, New York10305- Tel: 718-979-7700-Fax: 718-980-9017. 315 Route #34, Suite 105, Colts Neck, NJ07722- Tel: 732-845-0300- Fax: 732-414-2454- NMLS# 17635.