Many Florida homeowners have faced enormous financial burdens as a result of theCOVID-19 pandemic. Some have been forced into foreclosure without the protection of federal moratoriums. Others have been able to access emergency housing funds or even workout mortgage repayment options with their lenders. Still others have been able to tap into their home equity by refinancing their mortgage altogether.
Thanks to Florida’s healthy real estate markets, appreciation has resulted in home equity for many Florida homeowners, and this has been a popular option. Interest rates are also at historic lows, which has helped many homeowners reduce their monthly payments. But is a loan modification right for you?
Like anything in life, refinancing a mortgage loan has both costs and benefits. Any mortgage comes with closing costs, appraisal fees, and other expenses. Be sure you factor these costs into the overall expense of refinancing your home loan. You also need to be sure that you understand all the terms of your new mortgage. Will there be balloon payments due? Is the interest rate variable? Are there other unexpected charges, costs, or fees that will make a refinance more expensive?
All of these things must be taken into consideration before determining whether a refinance is the right solution for your home. It is also important to compare the benefits of a refinance with other options. For example, if your home is in an especially hot real estate market, you could benefit from simply selling it outright. This could provide your family with cash reserves to help you ride out the remainder of the COVID-19 pandemic.
Contact Our Casselberry and Oviedo Foreclosure and Eviction Lawyers
Whatever your housing circumstances are, the experienced Oviedo and Casselberry foreclosure attorneys at Quattrochi, Torres, and Taormina are here to help. Call 407.986.4120 or contact us online today to schedule your free consultation.