http://www.velocityfinance.com/mortgage/refinance-mortgage.html Knowing when to get a refinance mortgage is one of the key aspects to a successful home investment. Velocity Loans will show you when a refinance mortgage is advantageous - and when you should reconsider your potential refinance. en-us Sat, 26 Jul 2008 15:00:00 EDT Sat, 26 Jul 2008 15:00:00 EDT Weblog Editor 2.0 After you take out your initial home mortgage, you should have a continual and constant opportunity to refinance - change your home loan into another form or with another lender. From fixed to adjustable, bad credit mortgage to good, and whenever you see a significant fall in overall rates - these are the moments when a refinance mortgage becomes the most important financial opportunity of your home investment. When to take out a refinance mortgage There are hundreds - thousands - of valid and viable reasons to alter your repayment schedule by taking out a refinance mortgage. Not all moments will be right for you, and you are the only person who can make the call and get the right changes made: if you are in a fixed rate mortgage and national interest rates fall below the levels you are currently paying, thats a good time to think about refinancing. Most mortgage professionals will tell you not to get a refinance mortgage unless the new rate is 2 percentage points or lower than your current interest, but at Velocity Finance we believe financial success comes in all shapes and sizes - you should not limit yourself to a set refinancing number. Use an amortization calculator to determine how long it would take for your lower-rate savings to overcome the costs of a refinance mortgage and make the best decision for you. If you've taken out an ARM and you feel rates are about to climb, refinance into a fixed rate mortgage at current low interest levels. If your initial mortgage was taken out when you had a bad credit history, once you prove your financial reliability and repayment dependability you will have the option to refinance and enjoy the lower rates of good credit clients. The golden rule of a home mortgage The important thing to remember about mortgage loans is if you can save, do. Your home will cost you a lot of money - much more than the sticker price - and saving a thousand dollars here and there will accumulate to tens of thousands over the course of your mortgage term. The less money you put into your home the greater your ultimate return, but you also have to spend that money and put out that effort to increase your home value and to find the better mortgage deal. Never stop looking for a better opportunity until your home is bought and paid for, and even then you can take out equity loans that might be better repaid elsewhere. Sat, 26 Jul 2008 15:00:00 EDT