A home purchase is one of the largest investments most people will make in their lives. It is important to have someone you trust to walk you through the steps to a successful and stress–free transaction. Byron Reed will support you and will answer your questions and assist you through the entire process.

(LE) provides detailed information pertaining to your specific loan transaction, including interest rates, estimated closing costs and monthly mortgage payment.

As a first–time homebuyer, Byron Reed will assist you in finding the right home loan program. As you move through the process a member of his team will assist you and help navigate the homebuying process. Byron Reed and his team of experienced loan partners understand you are new to the process and are there to guide you every step of the way.

The mortgage that you took out when you bought your home may not still be appropriate for your current situation. Byron Reed can determine if refinancing is right for you and find a loan that meets your goals.

Debt consolidation uses a single new loan to combine other debts with less favorable terms. If your mortgage would benefit from being refinanced, there may be advantages to consolidating your debts into your mortgage. Byron can walk through the costs and savings to determine if this is a strategy that will benefit you.

Benefits

• The savings in interest costs between a credit card and a mortgage is substantial. Because the interest rates are so high on credit cards, many people do not make progress in paying down the borrowed amount.
• No credit card interest is tax-deductible while some mortgage interest may be deducted. This increases the difference in borrowing costs.
• Credit cards have an open-ended payback period while a mortgage has a defined payment schedule.

Risks

• This strategy increases the amount owed on your home and can increase your mortgage payment. Because your home is being used as collateral, you need to make sure that you can comfortably make the new loan payment.
• Once your other debts are combined, you should avoid accumulating new debt. This defeats the purpose of debt consolidation.
• Because the terms of mortgages are measured in years, you might be extending the time it takes to pay back your debt. If you are making progress paying down your debt, you need to compare the lower interest rate over a long time to a higher interest rate for a shorter time.

Please Note: The Byron Reed Team with Integrity Home Mortgage Corp. are not tax experts or financial advisors, please consult a tax professional and/or a financial advisor regarding the deductibility of interest and charges and to devise a strategy that works best for your situation when considering debt consolidation.