Refinance With A Flexible Home Loan – Turn Your Mortgage Limitations Into Money Savings

If you’re feeling too restricted by your current home equity payment schedule, it’s time to reconsider your options.

Let’s see the four ways your current home loan is limiting you:

1) You have payment restrictions.

All you have to do is pay the amount due depending on your current debt and the interest rate you are bearing.

2) You can have significant cash flow fluctuations if you have recurring and expected large annual expenses throughout the year.

This leads to some problems in the cash flow of the period and cash shortage.

3) You have large cash flow fluctuations due to high annual expenses (e.g. summer vacation).

Similar to the previous one, but it’s much larger. When this happens, and you already know when it’s going to happen, you simply need exceptional financial management.

4) Oh, of course it’s possible that you’re paying very high interest rates and just want better loan terms. But of course you tie your current terms to your current payment.

The two steps to a better way

1) Find a type of home equity loan that gives you more and allows you to overcome these problems.

2) Refinance your current home equity loan with the new one.

Well, if you suffer from “loan payment flexibility syndrome,” you’re in luck. In fact, there are currently equity loans designed to help you. They are the Flexible Home Equity Loans.

These are equity loans that allow you to overpay to pay off debt (ie, interest), underpay when you’re short on cash (if you’ve previously overpaid), and skip one payment a year , if your previous overpayments have given you enough margin .

How will we replace our current loan with a new one? Well, to refinance it, that is, to ask for a new loan with new terms that will pay back the previous one. So, it is a way to replace the old loan with a newer one based on new contract terms. It is important to use the new conditions for three different points:

1) contract flexibility (what you are looking for);

2) interest rate paid (for fixed rate mortgages) or spread paid (for basis tracker equity mortgages);

3) lower cost.

So what are the 5 steps that will enable us to do this?

1) Ask your current lender

Ask if they offer flexible loans and what can be done if you need more flexibility.

2) Research the market

As you can see, searching the market is essential when considering loans because flexible loans, equity loans, and other loans have their rates changing. Search the Internet for lenders and follow their offers.

3) Take advantage of the market supply

Because home equity loans and debt consolidation loans are common, there are a variety of loans to choose from – and most have their own variations. Understand the market offering and what makes it different.

4) Take advantage of market competition

Mortgage companies compete with each other, others offer some of the best interest rates on the market. Take advantage of this market competition to get lower interest rates and near-zero borrowing costs.

5) Complete the deal

First, ask your company about refinancing. Use what you gathered in the previous steps (i.e. what your lender’s competitors would like to do to you to attract a new customer) to facilitate your negotiations.

If your business is numb, ask another business to offer better terms and use the new money to close the previous debt with the old lender. Pay attention to the closing costs of the previous contract (there are usually penalties related to the expected lapse).

Now action

So we have a new contract. Then?

1) Take advantage of overpayments to reduce the interest paid

Since stock loans with flexible interest rates give you the opportunity to overpay your mortgage, you should do so as soon and as often as possible.

In fact, overpayments reduce debt, so you pay less interest regardless of what happens to interest rates.

2) Exploit underpayments

If you’ve overpaid “enough” (depending on your contract), you can also “underpay” the mortgage, provided you’ve made the minimum required amount and number of payments.

3) Take advantage of vacation packages

Since these loans also offer “vacation packages” for underpayments, go for it! So if you pay enough overpayments, you can stop paying for a month to take a vacation. This will alleviate the biggest cash flow problem we’ve talked about.


The adjustable rate equity loans are certainly a method to use your resources to improve your equity loan. If you think your equity loans are too much of a constraint, consider this option.