Located in the beautiful northern suburbs of Boston, the town of Burlington is bursting at the seams with beautiful houses and historical artifacts around every turn. Very few suburban areas have been developed as well as Boston. There are almost no suburbs anywhere that have culture, things to do and their own distinct personality. Burlington is definitely one of those. The city has so many attractions for both kids and adults, you may go months without venturing into Boston to find something to do. And thanks to the Big Dig which is now finished, getting around the city is much easier than it was before. With easy public transit and highway access into and out of Boston each and every day, it is no wonder that Burlington is a suburb that everyone wants to call home. If you already call this great town home, you might be interested in a home equity loan or maybe a complete home refinance. If you are thinking of relocating to Burlington, you might want to learn more about a first mortgage. Here are a few great tips to get you on your way.
Refinancing
Just like any major decision, the choice to refinance your home is not something to be taken lightly. Most couples take months weighing the pros and cons and doing mountains of research to come up with the right answer. But, one major decision that is often overlooked is whether to get a fixed rate refinance or an adjustable rate one. Many couples glossed over this decision the first time around and then lived to regret it later. Now that you are thinking about doing it all over again, let’s go over both choices and see which one is right for you.
When you choose an adjustable rate refinance, this means that after an initial locking period at the beginning of your mortgage (anywhere between 5-10 years), the interest rate, and subsequently the monthly payment, on your refinance will go up or down. This is a fantastic choice if you are getting a refinance during a period when interest rates are high. You will have to pay that high rate during your locking period, and then once it is over, your interest rate and monthly payments should plummet.
The other choice is getting a fixed rate refinance. With a fixed rate, your refinance will never change and your monthly payments will always remain the same. This is the perfect choice to make if rates are low during the time in which you get your mortgage. With a low rate locked in, you will have the best refinance possible.
First Mortgages
So, how do you know when you choose a fixed rate or adjustable rate on your mortgage? There are several reliable sources that can give you a good picture of the historical trends of interest rates. Many different financial magazines and newspapers publish graphs that show what rates have been up to over the past few years. There are also many websites that can show you what rates have been doing over 30, 15, 10 and 5 year trends. With these helpful tools, you can get a solid picture of what rates are now and where they might be going in the future. You can then make an educated guess on which type of mortgage is right for you.
Home Equity Loans
While this may seem a little confusing, it is not something you have to worry about with home equity loans. With a home equity loan, rates are always fixed, no matter what. This allows customers the ability to plan out their budget far ahead into the future since the amount you pay per month is static.
If you would like more information on home equity loans, refinancing and first mortgages, please fill out the form below and one of our experts will contact you shortly.
