Mortgage Refinancing in VA & NC
Refinancing your mortgage means applying for a new home loan to replace your current one. The most common reasons to refinance are to get a lower interest rate, shorten or lengthen your loan term, switch from one type of mortgage loan to another, or convert some of your cash into equity.
When To Refinance Your Mortgage
As a general rule of thumb, you need at least 20% equity in your home and at least a year since you bought it before refinancing. Beyond that, refinancing your mortgage could be a good idea when:
- Mortgage rates have gone down since you first bought your home.
- You want to switch from an ARM loan to a fixed-rate mortgage.
- You want to switch from a federal mortgage program to a conventional loan.
- Lengthening your loan term would make your monthly mortgage payment more affordable.
- Shortening your loan term would help you pay off your home by a target date, such as retirement.
- You need cash to finance a major home renovation, child’s college education, or other large expense.
Alternatives To A Mortgage Refinance
Refinancing your mortgage does come with some expenses, such as another set of closing costs. So, you want to weigh the pros and cons of refinancing to be sure the benefits or savings on interest outweigh the costs. As an alternative to a cash-out refinance, consider a Home Equity Loan or Line of Credit (HELOC).
Why choose American National Bank For Home Loan Refinancing?
With local, knowledgeable mortgage bankers, you benefit from quick turnaround times by people who know the market. American National’s tradition of community banking dates back over a century to our founding in 1909. We believe being local is more than just having an office in the community. It's about looking out for our customers with better banking options and quick, local decisions. Whatever type of home financing you’re looking for, we are here to help you achieve your goals. We know that it’s not just about getting a mortgage; it’s about building the life you want. With multiple banking locations in Virginia and North Carolina, we are proud to be your community's hometown mortgage lender.