Home Loan Refinance

If you've had your home loan / financing for a number of years, such as 5 years or more, you may be a prime candidate for refinancing.

There are many benefits of refinancing. You may enjoy:

• Lower interest rates
• Reduction of monthly instalments
• Free up cash for other life•s purposes
• More flexible home loan / financing features such as ATM, cheque book and internet banking facility

How does refinancing work

• You take advantage of your property•s rising value to obtain a larger home loan / financing amount.
• Your refinanced home loan / financing pays off your current home loan / financing.
• You are free to use the balance as you wish.

Getting the Best deal

As in all home loan deals, you have to know all the necessary details for a successful refinance home loan. Shop for the best deal and get the financial institutions that offers a reasonable lower interest rate that will help you save on your home loan and slice off years from the loan term.

It will be easy to get another loan from your present bank. If your bank has a higher interest rate compared to another financial institutions, ask them if they can offer the same lower rate. If they cannot give a favorable offer, check out other banks.

Here are some reminders before you leap into a new loan and get a better deal:

1. Do not be lured by teaser rates, you will be paying add on fees to your monthly payments.

2. Ask the bank upfront about the fees you have to pay for processing the loan up to the closing fee.

3. Ask the bank if they penalize early payoff / redemption.

4. Go for fixed refinance home rate rather than an adjustable rate.

And lastly, get a refinance home loan now that you've got one big reason to get it.

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