If you are uncertain about refinancing your home or selling it for cash to the team at Homeinc, the following should help in your decision-making process. Keep in mind that this is a decision that could have a significant effect on your financial health. Several factors play a key role when making this type of financial decision. The following information may be helpful.
4 Factors You Need to Consider
If you are unsure about refinancing your home or selling it quickly for cash, here are 4 factors you need to consider before making your decision:
- Credit score – your credit score is one of the most important factors that lenders consider when you’re applying for a home loan or refinancing loan. If you don’t have a good credit score, there is little to no chance of getting a refinance done.
- Lock-in period – this is included in your home mortgage loan and is the period wherein the lender can penalize you if you choose to refinance or sell your property. Depending on the terms, this penalty can cost you 2% to 5% of the total outstanding balance on your home loan. If you default on this, it can hurt your home loan. You will want to examine this very closely when thinking about refinancing or selling your home.
- Property value – this often helps homeowners decide whether they want to refinance or sell their home. Assessing your property value and weighing the benefits of selling versus refinancing can help in the decision-making process. For example, if the value of the property is lower than the outstanding balance on your home loan, refinancing may not be available.
- Repayment of refinancing – when it comes to refinancing your home, lenders are concerned about whether or not you can repay the money you borrowed. Although lenders won’t approve you for a home loan if you struggle with your monthly payments, you need to assess your financial abilities. So if you are already struggling with monthly payments, refinancing will not be an option.
Why You Should Consider Selling Your Home to Homeinc?
There are several reasons to consider selling your home to a cash home buyer like Homeinc. Homeinc has specialists that can analyze your property and make you a competitive cash offer within minutes. You will not be required to share a credit score or home appraisals or inspections. Should you accept our cash offer, Homeinc can close within 5 to 7 days and wire the money directly into your bank account. There are also post-occupancy options available. If you are interested in discussing your options call or text a Homeinc team member today at- (888)-850-2636.