Should You Buy Mortgage (DISCOUNT) Points?

One of the most commonly referred to aspects of obtaining a mortgage is the all-important issue of "points." If you're in the market for a new home, or if you're looking to purchase for the first time, you've undoubtedly heard of them before, although you may have no idea what it means, or what "points" even refers to. Let's start at the beginning.  When you hear someone talking about mortgage points, they are speaking in reference to "discount points." In the most basic sense, one point is equal to one percent of the amount you are planning to borrow. So for example, if you were getting a loan for $150,000, then one point would be equal to $1,500. After that is when it gets tricky, so pay attention. When you purchase points, you are basically making the decision to prepay part of your mortgage interest.  If that doesn't make sense, look at it this way.  For every point you buy, your lender will offer you a lower interest rate. The actual amount your interest rate will drop can vary, but in most cases its is approximately 1/4 of a percentage point per every discount point you ...

Refinancing Your Mortgage

Refinancing your mortgage can help lower your monthly payment, pay off bills and manage your debt.  If interest rates have gone down from the rate you are currently paying on your mortgage, it might be a good idea to refinance.  For a free consultation to see if you might benefit from a refinance, feel free to CONTACT US and we will review your situation. The truth is, few thing in life can compare to the fun filled adventure that is refinancing your mortgage. Wait, what did I just say? That doesn't seem quite right. The truth is, dealing with a refinance can be quite the arduous process, and for the most part, it's not fun at all. This can be attributed to the abundance of paperwork to fill out, the random lender fees, and the sheer fact that most people don't like modifying their mortgage to begin with.  But there is a reason so many people subject themselves to these hardships, and there are times when refinancing your mortgage is an extremely smart decision that can save you thousands of dollars over the life of your loan. You may have heard ...