3 Reasons to Consider Refinancing Your Mortgage in 2022 in Phoenix The interest rate, monthly payments, and term length of your mortgage may change when you refinance. The funds you receive will pay off your current mortgage once it closes and you’ll start making payments on the new loan. There are 3 reasons you should consider refinancing in 2022: Change your interest rate or the terms of the loan – if you’re having difficulties making your monthly mortgage payments or the current interest rate is lower than what you’re paying, consider a “Rate-and-Term” refinance. Your principal balance will remain the same but your monthly payments will drop due to the lower rate. Do a “cash-out” refinance – this is basically refinancing by borrowing against your home’s equity. Although this will cause the principal to increase, you’ll take the remainder out in cash that can be used for just about anything from eliminating credit card debt to making repairs. Switch the type of financing – you can switch from one type of loan to a different one. For example, if your ARM (adjustable rate mortgage) is approaching the adjustment stage, and the interest rate is lower than what you’re currently paying, you can switch to a fixed-rate mortgage to save money so your monthly payment is more consistent. https://www.google.com/maps?cid=6744959272592205627