Should You Consider Refinancing Today?

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Denver home refinance

There are situations when, for various reasons, you can no longer pay your monthly installments for your mortgage. Sometimes it is because of the high interest rate, other times unforeseen situations arise, such as the loss of the job. Regardless the reason, the monthly rates can become a real burden. If you find yourself in such a situation, a refinancing could help you.

What does a Denver home refinance entail? Read on and find out the answer.

What is refinancing

Refinancing a loan involves taking out a new loan to replace the old one, that is, you will repay in advance a loan because the conditions are no longer advantageous for you. Basically, you take a new loan to pay the current one, thus accessing a better loan offer, with conditions that are more suitable for your financial situation.

By refinancing a loan, it is allowed to renegotiate the terms and dates due, with the possibility of obtaining additional funds for the same rate that you are currently paying. A refinancing loan can bring you the following benefits:

  • Reducing the monthly installment by extending the repayment term
  • Getting an extra amount of money
  • The possibility of granting a grace period in which to pay only the commissions and the interest

Conditions for refinancing a mortgage

The conditions you must meet in order to receive a refinancing loan are similar to those for obtaining a regular loan. Depending on the banking institution you have chosen, it may have specific conditions that the applicant must meet. These may include:

  • Being a US resident
  • Having a social security number
  • Having an established credit score
  • Being employed

Some banks may have stricter conditions, which is why you need to check different offers. You should keep in mind that, in the case of refinancing your mortgage loan, the bank can reassess your income to see if you fit into the conditions that you just negotiated.

As this is a new loan, you should know that you will have to bear the costs of granting it. These costs may include: the granting commission, insurances, notary fees etc. However, some banks, as part of their offer, could eliminate some of these fees.

Why is refinancing a good idea?

Lower interest rate

This is one of the major reasons why homeowners choose to refinance their mortgage. When you notice a drop in interest, it is an opportunity to grab. Experts say you should try to reduce your interest rate by at least 2%, but actually, even 1% would represent a pretty good saving for you, so you should definitely take it into consideration.

The interest rate reduction also helps you to increase the speed with which you build equity in your home.

Fixed interest assessment

Unlike adjustable-rate mortgages, where the interest rate can go up at any time, especially a few years after you have cashed out the mortgage, when you refinance your mortgage, you can now choose to apply a fixed interest rate that will never change until you pay off the loan.

 

How to Get Rid of a Timeshare Without Any Delays or Difficulties

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Figuring out how to get rid of a timeshare is no easy feat. In some cases, you have to do a ton of research, work hard to promote your timeshare, and find the right people. Even then it might be somewhat difficult to get a good price out of it.

Of course, you don’t necessarily have to sell your timeshare. But what are the alternatives? Are there really other simple ways to get rid of your timeshare without having to go through a long and cumbersome process that you’d rather avoid in most cases. Read on to find out.

A Few Alternatives You Might Consider

Now, the following solutions might not be ideal, but when you’re considering how to sell timeshare properties, they also have to be mentioned as alternatives. In some cases, getting rid of your timeshare doesn’t necessarily mean you want to sell it.

One option you can consider is to hire an attorney or work together with an exit company to get out of your timeshare plan. If your timeshare company is charging you in excess of $2,000 to take the property off your hands through a contract buyout, you might want to consider these options. However, the hassle is sometimes not worth it, especially if you have other alternatives at your disposal as well.

Another option would be to actually give the timeshare away to someone. If you’re in a hurry, you want to leave town, or you simply don’t care about the amounts of money that you’d be leaving behind, you can donate the timeshare to charity or to a friend or family member of your choosing. The process isn’t too complicated, but you will be losing some money, should you opt for it.

Selling Your Timeshare

woman handing keys to broker

As the owner of a timeshare, you might eventually reach the conclusion that selling your property is the best solution you have at your disposal. If so, then prepare to do some extensive work to find out exactly how to sell your timeshare as easily as possible and what the completion of the process entails.

The main thing you have to do to make sure you can sell your timeshare as quickly and easily as possible is to find out its realistic value. Now, there are a few important points to keep in mind here:

  • Your timeshare isn’t like regular real estate, so it doesn’t have a predetermined, inherent resale value that you can draw upon.
  • In the case of many different types of timeshares – especially for legacy timeshares – supply actually exceeds the available demand.
  • Owners are usually urged by experts to seek professional assistance in managing and selling their timeshares.

That being said, you can find out a lot about determining the value of your timeshare by contacting members of the Licensed Timeshare Resale Brokers Association. You can ask for free estimates, and also use tools like the “What’s My Timeshare Worth” tool to get an additional assessment.

In the end, once you established the value and price of your timeshare, it’s time to list it on one of the numerous timeshare websites where it can get significant exposure. If you want to know how to get rid of a timeshare quickly, you’ll usually be guided to keep the price on the lower end; however, even so, most experts will tell you to be prepared to wait a few months before a seller might arrive.