UFC20-0144_Weather-the-Storm_Big-Benefits_Blog_576x384_V2

Big Benefits of Refinancing Your Mortgage

Mortgage interest rates are hitting historic lows, and homeowners are wondering whether now is good time to refinance. The answer to that question depends on your individual circumstances, but refinancing usually provides at least one of these benefits.

Lower Payments

If you decide to refinance your mortgage with the same term as your original loan (keeping a 30-year term, for example), your minimum payment should be reduced each month. This is due to a combination of a lower interest rate on your new loan and less principal amount due (thanks to the monthly payments you made on your previous loan). Another way to reduce your overall minimum monthly obligations, is to utilize the equity in your home to possibly consolidate personal loans and credit card debt. Please call a Utah First mortgage loan specialist to explore all your options and see what’s right for you.

Lower Interest

The most common reason to refinance your mortgage is to reduce your interest rate. Since rates are better than ever, your timing couldn’t be better. In addition to lowering your monthly payments, lower interest rates give you the opportunity to pay off your mortgage at a faster pace. With the lower amount of interest accruing and maintaining a similar mortgage payment to your current mortgage, you should be able to pay off your mortgage years sooner than originally anticipated. Either route will result in a significant interest savings over the life of the loan.

Overall Benefits

Refinancing your mortgage can be a great benefit. With rates at historic lows and house values at all-time highs, consulting with a Utah First mortgage loan officer to restructure your finances to best fit you and your family’s needs, could result in lower monthly payments and/or debt being paid off at a faster pace.

News & Events
May 28, 2020 / Local Utah

Change doesn’t happen overnight. Circumstance, on the other hand, can turn in an instant. As a result of the current economic downturn, many Utahns have lost jobs. And businesses all over the state have been forced to close doors. It’s a change in circumstance that seemingly happened...

May 12, 2020 / Mortgages

Mortgage interest rates are hitting historic lows, and homeowners are wondering whether now is good time to refinance. The answer to that question depends on your individual circumstances, but refinancing usually provides at least one of these benefits. Lower Payments If you decide to...

May 05, 2020 / Credit

Business bank accounts are a big deal for small businesses, and it’s easy to see why. Businesses rely on their banks to help run daily operations. They place their faith, trust, and the care of their finances in an institution, and rightly expect to be treated like a business partner in...

Corporate
200 E South Temple
Salt Lake City, Utah 84111
800-234-0729
Monday - Friday: 9:00 am - 5:30 pm
View In Google Maps
Routing & Transit Number: 324079500
NMLS # 446035

Utah First Federal Credit Union is federally insured
by the National Credit Union Administration.