Refinancing you home loan can save you money and often reduce your monthly payments. If you take cash away from a refinancing, be sure the new loan balance isn't more than the original price of the property. If it is larger, your interest payments may not be tax-deductable.
If you are taking cash out of a refinancing and/or folding the closing costs into the new loan, watch the loan-to-value ratio of the new mortgage. If it's above 80 percent, you will have to purchase private mortgage insurance, the added cost of which may make the refinancing less attractive.
The traditional answer to the question "When is the best time to refinance?" is when interest rates fall 2 percent below your current mortgage interest rate. However, in recent years some experts have argued that refinancing may be appropriate with a smaller point spread. Some weight is often given to the length of time the owner anticipates holding on to the property. If the owner expects to keep the property for at least three or four years, then refinancing may be worthwhile. While refinancing can involve upfront costs, in many cases it is possible to roll the costs of the refinancing into the new note and still reduce the amount of the monthly payment
The best way to prepare for a flood is in the planning stage of a new home. FLASH recommends an evaluation and inspection of your homesite and lot prior to construction to determine the flood zone and the Base Flood Elevation or BFE. The BFE refers to the elevation associated with the "100-year flood," or a flood with a 1% chance of occurrence in any given year. The "100-year flood" patterns form the basis for the National Flood Insurance Program rates and regulatory floodplain management.