With spring only weeks away, now’s the perfect time to consider scheduling your annual mortgage checkup. It’s important to review your options every year to ensure you’re maximizing your savings.
Spring’s a popular time for a refresh and it’s also the most common time of year to buy or sell property.
There’s no charge or obligation when requesting a review from your mortgage professional, so it’s definitely worthwhile to see if any changes in your financial situation or a shift in your goals over the past year or so means you’re no longer in a mortgage that best fits your needs.
Or maybe you want to see how much equity you’ve built up because you’re considering making a large purchase or consolidating debt in the near future?
And if your mortgage term is almost up, it’s also the perfect time to begin looking at your options.
Your annual mortgage checkup should examine several areas, including these three things:
1. Overall debt levels – Especially unsecured debt such as credit cards, lines of credit and vehicle loans. Why pay more interest when you may be able to start fresh through a mortgage refinance at a much lower interest rate than you’re paying on your debt right now?
2. Current considerations – Are you thinking of buying a second property for vacation or rental purposes? Let’s see if you can make this a reality by reviewing your current mortgage, finances and equity.
3. Future plans – Does it make sense to use the equity in your home to pay for your children’s upcoming education, renovations and so on?
Reviewing your options annually could result in having more money left over at the end of each month. With interest rates on the rise – and expected to gradually continue to increase over time – now may be the ideal time to re-examine your options and perhaps save on interest payments. Imagine what you could do with the savings – anything from investing and going on a much-needed vacation to putting funds aside for a rainy day.
Have questions about your mortgage options? Answers are just a call or email away.