Gem Home Loans can help you find great refinance mortgage rates in Michigan, of course. But any mortgage company can do that. We do more – a lot more. Our team of experts cares about more than just making money. We want to do everything we can to ensure that you make the right choice.

Refinance Mortgage Rates MichiganSure, we could turn a nice profit if we tried to convince you that refinancing through a certain program would be in your best interests – whether or not it really was. But we don’t work that way. If refinancing is the right choice, we’ll let you know. If you’ll be better off going another route, we’ll let you know that as well.

Should You Refinance When Rates Are Low?

A lot of people automatically assume they should jump into a refinance when mortgage rates are at historic lows. While that makes sense, you shouldn’t just focus on the short term when making this kind of decision. Rates will inevitably rise, and that could have a negative impact on your finances when they do.

We’re not at all saying you shouldn’t refinance. Actually, the opposite is true. If refinancing will help your financial situation, then by all means do it. We just want you to consider all the possibilities – both good and bad. You need to have as much information as possible, so you can make the best decision possible.

First of all, ask yourself these questions.

  • Are rates a lot lower than the one you already have? – Don’t pay attention to the so-called “rules” that say you should refinance when rates drop to a certain amount. Instead, look at the amount of money you’ll be saving over the next few years. If you have a $200,000 mortgage and the rate drops one percent, the savings won’t mean as much than they would if your mortgage was $500,000.
  • How long do you plan on staying in your home? – You’ll have to pay closing costs when you refinance. You’ll either pay them up front or they’ll be rolled into your new mortgage. There’s a chance you could actually lose money by refinancing if you don’t plan on remaining in the home very much longer.
  • Do you want a shorter-term mortgage? – If you refinance to a new 30-year mortgage and your original mortgage still has 20 years left on it, then you might not see any savings. But if you can move to a 15-year mortgage, you could see significant savings.
  • Can refinancing increase your cash flow? – There’s a good chance that a refinance can put more money in your pocket each month. This can give you the chance to invest that money, or it can relieve any financial pressure you may be experiencing.
  • Will you lose equity in your home? – Many people opt for a cash-out refinance, which can put tens of thousands of dollars in their bank account. However, that will often extend the life of the loan. You might be paying that loan for so long that you’ll never really own the home.

Contact Gem Home Loans for More Information

Whether you want to learn more about refinance mortgage rates in Michigan or you want a clear idea whether or not refinancing is the way to go, contact Gem Home Loans. We’ll give you all the facts so you can make the choice that makes the most sense. Contact us online or call 248-780-0601.