Refinance Payment Size Comparison

Summary

Comparing different refinance options can save you a bundle and help you make smart financial choices. Here's some quick tips to help you.

Benefit

The benefit of comparing different refinance offers properly is that you know what different refinance options and offers will mean to your future. You can take out more cash at a lower payment with one refinance option instead of another.

How It Works

Refinance offers can be very different from each other, including:

• rates
• loan size
• loan term

A longer loan term, such as a 40 year loan or a 50 year loan, will allow you to have a lowre monthly payment than a regular 30 year loan.

This allows you to take the same amount of cash out and have a lower monthly payment.

There are different loan programs offered for 30, 40, 45, and 50 years.

Example

This example demonstrates how different loan factors can change the size of the monthly payment. Interest only payments are also an option on some loans.

To figure out your payments, use this refinance payment size mortgage calculator.