There are a number of reasons to consider refinancing your home. But, just like financing, re-financing is a complex transaction, so it pays to know exactly what you’re getting into. Here are three important things to keep in mind when you consider refinancing:
A real estate transaction is often the most complex financial transaction people will ever experience, and that goes for both sides of the transaction, both buyer and seller. As a seller, you are responsible for the accuracy of your listing, keeping everything in good repair while awaiting an offer. And the Seller will also typically have to arrange service disconnects with the utilities and arrange their own move. All in all it can be a bit overwhelming.
Frequently, one must sell an existing property so that a new one can be purchased. However, did you know that when this swap occurs, one may be able to save money on taxes? It’s called a 1031 property exchange, and it can lead to significant savings in the event of a direct swap of non-homestead properties or the purchase of a replacement property a short time after a sale.