Refinancing your existing home equity line or 2nd mortgage can be a financial move that could save you hundreds of dollars each month. The Second Mortgage Banker helps borrowers with wise financing solutions for 2nd mortgage refinancing. We recommend revising your terms with a fixed rate second mortgage if you have an adjustable rate credit line or loan.
What interest rates and fee should we expect for 2nd mortgage refinancing?
Second mortgage loans are usually competitively priced installment loans that are offered at an interest rate lower than your standard unsecured loan rate.
Home Equity can be financed with fixed or variable interest rates. With fixed rates the amortization is scheduled evenly, so each installment payment is equal from the first payment until the final payment. There is no balloon payment due with fixed rate loans.
With variable or adjustable interest rates are the payments can fluctuate based on the market conditions. In some cases there may be a balloon payment due after a determined amount of years. In today’s market we suggest not keeping a loan or credit line that maintains a floating rate because your payments will likely continue to jump.