Can You Remortgage a Paid Off House?
The jury is out on whether you should pay off your mortgage early. Another jury questions if you should pay it off completely. Some homeowners look forward to paying off the home loan so they can own their house outright. This frees up a good chunk of funds that can be used in other places. Once you own your home 100%, you have access to 100% of its equity.
Home equity is a valuable resource, and you can gain access to it through a remortgage, also known as refinancing.
To refinance a home that’s already paid off, you’ll consult with a lender. At Mortgage House, we build financial relationships with all our customers so that we’ll be the first phone call you make in a situation like this one.
Refinancing in this situation means taking out a home equity loan or home equity line of credit. You’ll fill out the appropriate form and submit it for review. A lender takes a look at your current financial situation and the amount of equity in the house in terms of money. Based on their findings, they’ll advise you of the funds that can be made available. You’ll also find out the corresponding interest rate and repayment terms.
At Mortgage House, we know that paying off a home loan on time is a feat. Once the loan is paid off, it’s one financial responsibility off your plate. There are times when it makes fiscal sense to remortgage a home and attain a refinance home loan because you receive access to your home’s equity. For refinance information, contact Mortgage House today.