If you ever thought about refinancing your mortgage, your goal is probably to find a lower interest rate and reduce your monthly payments. After all, most homeowners aren’t inclined to trade in their current mortgage rate for a more expensive one.
Yet saving money isn’t the only reason to consider a mortgage refinance, according to Sherri Calcut, president of BOK Mortgage. “Although less common, some customers are refinancing at higher interest rates,” says Calcut.
Refinancing is on the rise, with applications increasing a sharp 20% over the last week, according to the Mortgage Bankers Association’s most recent data ending Sept. 20. However, not all of those homeowners are locking in lower rates.
For example, a traditional rate-and-term refinance may be the only option in today’s market if you want payment stability or you need to remove someone from a mortgage. A cash-out…
