St. Cloud, MN - Real Estate Blog

The home refinancing market has slowed drastically of recent, but some people are still feeling the need to pull money out of their home for other uses.  Your home is one of the greatest piggy banks that you will ever own, do you really want to break into it?  Good advice- Only pull equity out of your home if you are going to invest it in something that will make you more money than having it just sit where it's at.  These are some of the examples that I will give people as good reasons to pull out their home equity:  1) To do home improvements that add value.  2) To buy another home.  3) To invest in the stock market or some other investment with better returns.  **Only if you are certain about returns and knowledgeable about what you are doing.  4) To start a business. 

I know that there are plenty of other good reasons to pull your home equity, but for most situations, if it doesn't fit into one of the four categories above you might want to reconsider.  If you are questioning whether or not to refinance and pull money out of your home, post your situation here for review.

I also found this financial calculator to help figure out what type of refinancing package is better for your situation.  It takes into consideration the time you expect to live at the property, your current loan, and the differences in refinancing the whole loan amount or just taking out a second mortgage for the money needed.  If you are going to pull the equity out of your home, you will want to do it in the cheapest method possible.  Follow this link to the calculator:

http://www.mtgprofessor.com/mpcalculators/RefinanceToRaiseCash/refiToRaiseCash1.asp

If you have any questions, comments, or concerns regarding real estate in and around St Cloud, MN. please post them here for answers and review.

Jason Tangen, GRI

http://jasontangen.edinarealty.com

www.StCloudEdina.com/Blog - REAL ANSWERS for REAL ESTATE in St Cloud, MN