Buying or managing your home can be quite a confusing and stressful process. Here, we want to give you all the information you need, whether you are refinancing, buying a home or just browsing our website, to make a well-informed decision. This will be well-worth the read as you are most likely dealing with your largest current asset.
What are mortgages and refinancing?
Rarely does one have enough on-hand cash to buy a home full price on the day of purchase, nor is it in their best interest; this is where borrowing comes in to play.
A mortgage is a long-term loan for the purchase of a property of land, generally lasting around 25 years. Refinancing on the other hand, is when you already have a mortgage plan and are looking to change your current mortgage, which can be for a number of reasons: interest rates have gone down, you want to shorten the term of your loan or you want lower monthly payments.