For many people in New Jersey, mortgage refinancing makes sense for the following reasons:

• Reduction of interest rate
• Use of equity in the home to pay off debt
• Use of equity in the home for home improvement
• Spousal buyout
• Shorten the term of the loan
• Improve cash flow

For many people in New Jersey, mortgage refinancing makes sense due to the recent drop in interest rates. Surprisingly though, the lowest rate may not always be the optimal way to go. There are other factors to consider when securing New Jersey mortgage refinancing:

• Points are fees paid up front that are used to lower New Jersey mortgage interest rates. It amounts to pre-paying the interest on your loan in one lump sum in order to reduce your monthly payment. Each point is 1% of the loan balance.
• Annual Percentage Rate (APR) is a way to compare different New Jersey home mortgage loan programs. The calculation is complicated, but in essence, the APR takes into account most of the fees paid to get the loan (such as the application fee, credit report fee, documentation fees, mortgage insurance premiums, etc.) and is stated as an interest rate.

Along with choosing a New Jersey home mortgage loan program, you need to choose how you want to price your loan when you apply. A knowledgeable New Jersey mortgage loan expert at SunQuest can provide the proper information to enable you to make an intelligent decision when refinancing your home. Call now for more information! 1.800.379.1829