Delaware is one of the country’s most interesting states. It is rich in American history, culture, and tradition. Delaware is also home to some of the most well respected financial institutions in the nation. In addition, Delaware is in the center of many national and international centers like Philadelphia and Washington DC. All of these factors combine to make Delaware an ideal place to live and work, and as a result, housing costs are rising quickly. This means that the value of the average home is high. While this may be bad news for individuals who are in the market to purchase a home, it could be good news for individuals who are looking to refinance their home in order to take advantage of the increase in its value. Refinancing also affords homeowners the opportunity to lower their monthly payments and adjust the length of the life of their home loan to accommodate their individual changing needs. Although the word “refinancing” sounds complicated, it is a fairly simple process where a homeowner secures a new home loan that pays off the balance of their existing home loan; therefore, equity and new rates and terms are made accessible to individuals who obtained their home loans years ago.
Quick Delaware Housing Facts:
- Percent of homeowners in Delaware: 72.3%
- Percent of renters in Delaware: 27.7%
- Median annual income in Delaware: $49,903
- Average credit score in Delaware: 684
- Best Delaware city to live in: Hockessin, DE
- Median Delaware home value: $130,400
When to Refinance in Delaware
In spite of the fact that refinancing is a relatively simple process, there are several factors that complicate it. For example, there are many lenders that deliberately omit information pertaining to fees and costs associated with certain refinancing packages, so be sure to read all of the fine print before committing to any lender. It is also important to remain informed about current rates: these can determine whether or not now is the right time for you to refinance your mortgage. Generally speaking, Delaware residents should only refinance when rates are consistently below 1.5% of what they are currently paying. Otherwise, all of the costs associated with refinancing could prevent you from saving any money. Finally, be sure to review the terms and conditions of your current mortgage. There may be a clause that states that there are charges for paying your mortgage off early.
How much house can I afford in Delaware
One of the biggest problems facing Delaware homebuyers is figuring out how much house you can afford. We have some great mortgage calculators that can help you figure how much home will fit into your monthly budget.
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