If you purchased your home with less than a 20% down payment, you most likely are required to have mortgage insurance. Many mortgage insurances are no longer required when you reach 80% equity in your home. If the combination of monthly mortgage payments and appreciation of value of your home has gone up 20% due to a favorable housing market, you may have eliminated the need for insurance. Refinancing to eliminate mortgage insurance is a great way to take advantage of better interest rates and reduce your monthly mortgage expense.
Posted in: Some popular reasons to refinance include: