I am bit confuse with what I should choose Mortgage or Refinancing. As, I want to buy a new home and I have heard about “first time home buyer mortgage”. Would like to understand which will be better for me and what I have to go for mortgage or refinancing. Refinancing according to me is very beneficial as one agent advice me to do so.
But, I need an advice here?
If you are buying a property that you don’t own, you get a ‘mortgage’
If you own a property and want to take equity out of it or have a motrtgage and want to lower your current interest rate, you ‘Refinanace’
Actually refinancing replaces your current mortgage with a new loan that has a more favorable interest rate and terms that you can afford to manage. If you want to save more, want to pay down your mortgage quickly, you need extra cash to pay off credit cards. Then obviously you should go for refinance.