Get a Cash Injection for the Holidays

Want an effortless cash injection for the holidays withOUT the double-digit interest rates that personal loans and credit cards typically rob you blind with? In this article, I’ll share with you the fastest way to cash in your pocket this holiday season.?

As a homeowner, you may have taken advantage of the historically low rates over the past couple of years by purchasing a new home or refinancing an inflated mortgage.?

And with good reason. According to Freddie Mac, the average rate in 2021 was 2.96% (the lowest year on record since they started keeping track in 1971).

As great as that may sound, the truth is, it’s unlikely any of us will see rates in the 2% again during our lifetime.?

And believe it or not, that’s not the worst thing.?

As ‘the powers that be’ make changes to fight inflation, the housing market will cool down. This simply means we’ve returned to “normal” market conditions. So the question becomes, instead of refinancing for a lower rate (which won’t happen in the foreseeable future) does it ever make sense to refinance your mortgage to a higher rate??

According to a recent study by Black Knight, the average American homeowner has $185,000 equity in their home (up 35% from 2021). If you’re in the same boat and find yourself with a significant amount of equity in your home, why not put it to work for you?

Intrigued??

So how do you know when the right time is to consider a cash-out refinance (especially if it’s at a higher rate)??

Here are my top 3 situations I’d call a trusted mortgage professional TODAY to help me leverage my home’s equity for the most (and fastest) cash-out option.?

1. High-Interest Debt?

If you’re paying monthly on high-interest debt, a cash-out refinance may allow you to pay it off at much lower rates. With credit card rates averaging 14-28% interest, you could easily cut your wasted spend (money paid on interest) in half.?

2. Debt Consolidation

If you want to lower your monthly expenses and reduce the number of bills you pay each month, a cash-out refinance may be the perfect option. For example, if you have multiple credit cards and loans at higher interest rates you can use your equity and consolidate all your debt into a new fixed-rate mortgage. I’ve helped many homeowners save over $1000 a month!

3. Upcoming Expenses

All that glistens and glitters are on a ‘must have’ sale this time of year. This means you may need a cash infusion to make the holidays merry and bright (instead of stressful and dreary). But beyond even the holiday season, there may be renovations, home improvements, and even college tuition that needs a bigger nest egg to draw from than you’re currently sitting on. If so, it’s the perfect time to consider a cash-out refinance.?

As you consider your options, let me reassure you - if you’ve never refinanced before, it’s NOT as complicated as you may think. Many scenarios don’t even require an appraisal to be approved.?

If you’ve owned your home for more than a couple of years and have significant equity (which has been done for you thanks to the market) then it may be time to consider the best way to leverage that equity.?

Since everyone’s situation is different, the best way to find out if a cash-out refinance makes the most financial sense for you and your family is to contact a trusted mortgage professional.??

If you don’t already work with someone or you’d simply like a second opinion from a seasoned professional with over 20 years in mortgage lending, send me an email or give me a call today. I’d love to help.?

Happy Holidays!

*A cash-out refinance increases your mortgage debt and reduces the equity on your home. Your monthly mortgage payment may be higher.

***ENCOMPASS LENDING GROUP, LP, NMLS #292897, is not a government entity and is licensed under the laws of the State of Texas and subject to oversight by the TDSML. Refer to www.nmlsconsumeraccess.org to see where we are licensed. In all states, the principal office is 23108 Seven Meadows Ste 100 Katy TX 77494. Monthly savings is an estimate only. This is not an offer of credit or commitment to lend. Loans are subject to borrower and property qualifications. Information is subject to change without notice. By refinancing an existing loan, your total finance charges may be higher over the life of the loan.