When Is It Better To Sell Than Refinance Your Home in Kansas City

We get those notices too, from many companies suggesting a refinance and lowered payment. If you’re considering refinancing your home, only to lower your payment, you may want to look at the long term financial impact of doing that and consider all other options. We will explore the questions, when is it better to sell than refinance your home in Kansas City .

Do you have enough equity to refinance?

Too Little Equity

Equity is the portion of the home you actually own that is free of any mortgage note or other legal financial obligation associated with the property. Banks often encourage home owners to refinance and use their equity for home improvements or other purchases. While this is acceptable, it may not be very wise financially. If you have too little equity in your home, it may be better to sell than refinance. Banks will not consider you for refinance until you have a certain amount of equity in your home, so it may be better to sell now in Kansas City

Your Housing Needs Have Changed

Perhaps you bought a starter home and you find you and your family have outgrown the property as it currently sits. You could refinance to gain some cash to invest in property additions. In some cases, it is much simpler to buy a new home rather than to attempt to renovate or make additions to your current property. Major remodeling projects often lead to the discovery of serious and extremely expensive issues. If you are not willing to invest additional money to correct these issues on homes that are older or in a state of disrepair, it might be better to sell than refinance your home in Kansas City . You can avoid inspections and appraisals by selling directly to Mastiff Home Buyers .

Current Income

Income can change unexpectedly, and you may find yourself carrying the financial burden on a home that is suddenly more than you can afford. If the change appears to be permanent, you may want to consider selling instead of refinancing, which may only prolong the inevitable. By selling now, you can pay off your existing mortgage while stepping into a more affordable property. This will also lower your annual property taxes, saving you even more money over the long term.

Debt

Often due to circumstances beyond your control, you may find yourself facing serious debt issues. For some homeowners, instead of taking on more debt by refinancing, you may be able to settle your debt with enough equity remaining to finance a less expensive housing option. Overwhelming debt may mean it is actually better to sell than refinance your home in Kansas City before your credit becomes adversely affected. Carrying too much debt can also mean that you may be unable to qualify for more credit. Should a lender take the risk and approve you for a loan, it is likely that you will be paying exorbitant interests, meaning you are actually losing any money you could possibly build in equity over the same time period.

Credit

The long-lasting effects on your credit of late or even missed payments are another reason why it is often better to sell than refinance your home in Kansas City . As time passes and your credit worsens, your credit rating will drop and some of your debtors may increase the interest you are paying on existing lines of credit. Especially if you find yourself nearing foreclosure. It is extremely important to face your troubles head-on and act quickly. Foreclosure can be a devastating experience, both personally and financially, appearing on your credit history for seven years.

The bottom line is, it may be better for you to sell directly to Mastiff Home Buyers right now than refinance your home in Kansas City . Whether your reasons are financial or because your property just isn’t the right home for you any longer, by selling now, you will end up ahead of the game. By working with Mastiff Home Buyers , there is no lingering around, waiting for the right buyer with the right offer.  Let Angel and Jeramie take the weight off of your shoulders, ensuring your needs are met in the transaction. At Mastiff Home Buyers , we take the time to listen and are willing to meet your needs. The experts at Mastiff Home Buyers are always more than happy to explain every step of the process. We’ve helped many other people through this process. At Mastiff Home Buyers we have a team of reliable professionals who can handle everything for you and are readily available to support you from the start through to the final day of closing. Why not let Mastiff Home Buyers answer any questions or concerns you may have and help solve your problems? Just send us a message or call Mastiff Home Buyers at 816-535-0076 today!