29 Reasons to Refinance Your Home
Important Note: Always talk to a trusted loan expert before making big money decisions. Make sure any new loan payment fits your budget and helps your long-term money goals.
Save Money & Get Cash for Important Things
Save Money
1) Get a lower interest rate
If rates dropped since you got your loan, you could save hundreds each month with a lower rate.
2) Remove mortgage insurance (PMI)
Once your home is worth more, you might not need to pay extra insurance anymore.
3) Switch from an adjustable rate to a fixed rate
Stop worrying about your payment going up. Lock in one payment that stays the same.
4) Change your loan length
Make it shorter to pay off faster, or make it longer to lower your monthly payment.
Get Cash
5) Pay off credit card debt
Use your home's value to pay off high-rate credit cards and save money each month.
6) Pay for home fixes and upgrades
Make your home better and worth more money by fixing the roof, kitchen, or bathroom.
7) Pay for medical bills
Large doctor or hospital bills can be paid with your home's value at a lower rate.
8) Pay for college or school
Help your kids or yourself pay for school using your home's built-up value.
9) Start or grow your business
Use your home's value to get money for your business at a better rate than business loans.
Make Smart Money Moves & Handle Life Changes
Smart Money Moves
10) Buy another house to rent out
Use your home's value to buy a rental home that makes money each month.
11) Put money in the stock market
Some people use home money to invest, but this can be risky. Talk to a money expert first.
12) Build your savings and wealth
Turn your home's value into cash that can grow in other ways.
13) Protect against rising prices
When everything costs more, having a fixed-rate loan helps keep your housing cost the same.
14) Get ready for retirement
Use your home's value now to set up your money for when you stop working.
Life Changes
15) Deal with divorce
One person can buy out the other person's share of the house.
16) Handle job loss or less income
Lower your monthly payment to make it easier when money is tight.
17) Pay for family emergencies
Have money ready for unexpected family problems or needs.
18) Help elderly parents
Use your home's value to help pay for your parents' care or needs.
19) Move money around in your family
Help adult kids buy homes or handle family money needs.
Fix Loan Problems & Improve Your Life
Fix Loan Problems
20) Get rid of a co-signer
Remove someone else from your loan if your credit got better.
21) Switch to a better lender
Move to a company that treats you better or has better service.
22) Use special programs
Veterans and some other people have special loan programs with better deals.
23) Get out of a balloon payment
If your loan has a big payment coming up, switch to a normal loan instead.
Improve Your Life
24) Make your home easier to live in
Add ramps, wider doors, or other changes for aging or disability needs.
25) Add outdoor spaces
Build a deck, pool, or garden area to enjoy your home more.
26) Feel more secure about money
Having a lower payment or cash available can give you peace of mind.
27) Add Smart Home technology
Install systems that let you control lights, heat, and security from your phone to make life easier.
28) Create a home office or workspace
Build a quiet place to work from home or pursue hobbies that make you more productive and happy.
29) Upgrade for energy savings
Install better windows, insulation, or solar panels to lower your electric bills and help the environment.