Refinance My Mortgage Mortgage Cycling Pay Your Mortgage Off In Less
Than 10 Years

Refinance My Mortgage Mortgage Cycling Pay Your Mortgage Off In Less Than 10 Years



Refinance my Mortgage - Mortgage Cycling Pay your Mortgage off in​ less than 10 years
Refinance my Mortgage - Mortgage Cycling Pay your Mortgage off in​ less than 10 years
With mortgage rates near 20-year lows,​ competition in​ the​ mortgage industry is​ fierce .​
It seems like every day a​ new mortgage loan strategy comes out that is​ suppose to​ be the​ best thing since sliced bread .​
Whether it's a​ mortgage with no closing costs or​ an​ interest only mortgage,​ everyone is​ claiming they can save you​ a​ ton of​ money .​
Now someone has come out with something called Mortgage Cycling .​
Mortgage Cycling could save you​ thousands of​ dollars or​ it​ could cost you​ your home.
Refinance my mortgage and Mortgage cycling is​ a​ program that advertises itself as​ a​ method to​ payoff your mortgage in​ 10 years or​ less without making biweekly mortgage payments or​ changing your current mortgage .​
Does mortgage cycling work as​ advertised? the​ answer is​ unequivocally yes ? with a​ few caveats .​
I'm going to​ let you​ in​ on​ the​ secret to​ mortgage cycling.
Refinance my mortgage and Mortgage cycling is​ based on​ making huge lump sum principal payments every 6-10 months .​
What this means is​ mortgage cycling works well for those who have at​ least a​ few hundred dollars in​ extra cash at​ the​ end of​ each month .​
The problem is​ most people don't have that kind of​ cash available.
Refinance my mortgage and Mortgage Cycling relies on​ using a​ revolving Home Equity Line of​ Credit to​ make huge lump sum payments against their original mortgage principal balance .​
When you​ take out a​ home equity line of​ credit,​ you​ pay for many of​ the​ same expenses as​ when you​ financed your original mortgage such as​ an​ application fee,​ title search,​ appraisal,​ attorney fees,​ and points .​
You also may find most loans have large one-time upfront fees,​ others have closing costs,​ and some have continuing costs,​ such as​ annual fees .​
You could find yourself paying hundreds of​ dollars to​ establish a​ home equity line of​ credit .​
Most home equity lines of​ credit also carry what is​ known as​ interest rate risk.
Home equity line of​ credit interest rates are typically variable .​
The Federal Reserve is​ currently in​ the​ process of​ raising the​ overnight federal funds rate .​
As the​ Fed continues to​ raise rates,​ it​ is​ all but inevitable that variable interest rates for mortgages will also rise .​
Your savings may not be as​ great as​ anticipated.
While Refinance my mortgage and Mortgage Cycling does have some additional costs for most people,​ that is​ not what makes this mortgage reduction strategy risky .​
If you​ use a​ Home Equity Line of​ Credit and money gets tight,​ you​ could lose your home and the​ equity you​ have built up .​
Home equity lines of​ credit require you​ to​ use your home as​ collateral for the​ loan .​
This may put your home at​ risk if​ you​ are late or​ cannot make your monthly payments .​
And if​ you​ sell your home,​ most lines of​ credit require you​ to​ pay off your credit line at​ that time.
Refinance my mortgage and Mortgage Cycling requires you​ to​ make mortgage payments and Home Equity Line of​ Credit payments for up to​ 10 years .​
For most people mortgage cycling is​ an​ extremely risky way to​ payoff a​ mortgage .​
Mortgage cycling should be used only after a​ careful assessment of​ the​ risks and benefits .​
Prepaying your mortgage is​ smart .​
You should explore all of​ the​ mortgage reduction alternatives before choosing Refinance my mortgage and Mortgage Cycling as​ a​ mortgage reduction strategy.




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