Refinancing is the process of exchanging an existing loan with a brand new loan that has more favorable terms or a lower interest rate. It is commonly done to lower the monthly payments and to make use of the more advantageous interest rates available in the present market. It can also be done for other reasons, such as to switch from an adjustable-rate mortgage to a fixed-rate mortgage, to consolidate multiple loans, to reduce the term of the loan, or to get a lower interest rate. Refinancing can be beneficial for the borrower if done correctly, as it can save them significant amounts of money in the long run.
About the author:
Daniel H. Weberman, The Kabinet Founder
Daniel is an attorney and the founder of Kabinet. He is always here to help answer your home ownership questions as well as anything related to using your Kabinet app. Ask Daniel a question by sending an email to info@completehome.io and put “Daniel” in the subject line. This is a complimentary service as part of Kabinet’s commitment to you!
Note
Daniel, The Kabinet Founder, has made every effort to ensure the accuracy of the information within this article was correct at time of publication. He does not assume and hereby disclaims any liability to any party for any loss, damage, or disruption caused by errors or omissions, whether such errors or omissions result from accident, negligence, or any other cause. Speak to your advisor to make sure you qualify for such benefits or opportunities. Do not rely solely on this abbreviated article, it is for informational purposes only.
