Clark County Credit Union (Las Vegas, NV)

Should You Refinance Your Mortgage With Home Loans in North Las Vegas?

With home loans in North Las Vegas near record low rates, you may wonder if it’s a good time to refinance your mortgage. Depending on your situation, refinancing could allow you to save a great deal of money throughout the term of your mortgage, but it’s not right for everyone. The following are things to consider when deciding whether to refinance:

How much lower will your new rate be?

If the interest rate on a new home loan in North Las Vegas would be at least 1 to 2 percent below your current rate, consider refinancing.

How long will you be living in your house?

If you’re planning to stay in your home for at least seven years – which is the average – it might pay to refinance. If you’re planning to move in a couple of years, however, the amount you save on your monthly payments isn’t likely to let you recoup any fees you might have to pay.

How long have you had your mortgage?

In the early years of a mortgage, what you pay each month consists mostly of interest, with little applied to the loan’s principal. As you have your loan for longer, however, more money is being paid on the principal. If you take out a new loan, you’ll be paying more towards interest again.

Are you trying to get cash by refinancing?

A cash-out refinance will let you use equity in your home to pay off credit card debt, medical bills, or other needs. This can be risky, however, since you’ll be putting your home in danger if you can’t make your monthly mortgage payments.

What fees will you pay?

Refinancing your mortgage isn’t as simple as just applying for a lower rate. There may be additional costs involved, such as an application fee, appraisal, home inspection and more. For refinancing to pay off, you have to recoup enough savings to make paying these fees worthwhile.

How long is your mortgage?

If you have a 30-year mortgage, you may be able to refinance to a 15-year loan, which usually carries a lower interest rate and will enable you to pay off your home more quickly. You can also refinance over a longer term if you’re having difficulty making your monthly payment.

What type of mortgage do you have?

If you currently have an adjustable rate mortgage (ARM), you may want to refinance and get a fixed-rate loan, which makes the amount you’ll pay each month predictable. However, if you’re planning to sell in a few years but still want to refinance, an ARM may be a better choice.

If you’re interested in finding out more about home loans in North Las Vegas, contact Clark County Credit Union at 702-228-2228. We can give you the options and facts you need to determine if it’s the right choice for you and can also give you more information about other services, such as a home equity line of credit.


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