Mobile Home Mortgage Refinance - Basics

Mobile Home Refinance | Refinance Resources | Refinance Guide Rates & Calculators | Benefits of a Refinance | Refinance Basics

The Basics Of Refinancing a Mobile Home Loan

When you purchased your manufactured home, the interest rates were governed by the financial system at that time . There are factors that influence your interest rate, such as credit rating and the amount of the down payment. However the most important factor was the prevailing rates at that moment. However, interest rates fluctuate. When the Federal Reserve enters a rate-cutting period, the prevailing rates may become significantly lower than when you originally purchased your home.

Adjustable-Rate vs. Fixed-Rate Mortgages

While ARMs start out offering lower rates than fixed-rate mortgages, periodic adjustments often result in rate increases that are higher than the rate available through a fixed-rate mortgage. When this occurs, converting to a fixed-rate mortgage results in a lower interest rate as well as eliminates concern over future interest rate hikes.

Conversely, converting from a fixed-rate loan to an ARM can also be a sound financial strategy, particularly in a falling interest rate environment. If rates continue to fall, the periodic rate adjustments on an ARM result in decreasing rates and smaller monthly mortgage payments, eliminating the need to refinance every time rates drop. Converting to an ARM may be a good idea especially for homeowners who don't plan to stay in their home for more than a few years. If interest rates are falling, these homeowners can reduce their loan's interest rate and monthly payment, but won't have to worry about interest rates eventually rising in the future.

Some Benefits of Mobile Home Refinancing

Refinancing can lower your interest rate, while changing your term. When rates drop you can advantage and lower your monthly payments, but still keep the length of your mortgage.

If you are currently in a short-term Adjustable-Rate Mortgage and the due date is looming, a refinance can help you avoid the baloon payment.

Mobile home refinancing can shorten the term of your loan. Lower interest rates mean that you can pay your principal down faster.

Take advantage of an improved credit rating and get out from under that high rate you had to accept when you bought. Your credit score when your original loan was processed may have been lower, and now you can take advantage of your good payment history.

If you would like to take some of the equity you have built up in your manufactured home, then a refinance help. You wil get a new loan for a higher amount than you currently owe, but you will get the cash out to pay down bills, remodel, or however you choose to spend it.

Please be sure to fill out our online application, or call us toll-free at (800) 882-1999, to discuss refinancing your loan.

Loan Application | Privacy | Blog | Testimonials | FAQ | Sitemap

(800) 882-1999
Get Pre-Approved Today

Mobile Home Refinancing

Mobile Home Refinance Refinancing Resources Refinance Basics Refinance Guide Refi Rates & Calculator Benefits of a Refinance