You may decide to refinance to accomplish a variety of goals, but for some basic reasons: To save money by getting a lower interest rate or to save money by using a tax-deductible loan (the refinance) to pay off non-tax-deductible debt. Now that's smart! People most commonly use a refinance loan to:

• Convert a higher interest rate mortgage to a lower interest rate mortgage
• Lower their cost of debt by converting non-tax-deductible debt, such as credit cards or car loans, to tax-deductible mortgage debt.
• Convert an adjustable rate mortgage to a fixed rate.
• Consolidate a first and second mortgage into one lower-rate mortgage.
• To get cash for family needs/expenses (tuition, medical expenses, etc.)
• To reduce the term of their mortgage.

The key point to remember in all these instances is a refinanced mortgage offers you tax-deductible borrowing (which effectively lowers your cost of borrowing). Is a refinance a smart move for you? To find out, try the calculators or call a Lexington Capital Loan Advisor at 866-752-8249 and speak to a loan consultant who will assist you with your application. You'll get our honest, objective opinion on what's most advantageous for you.