Basically, if you refinance your home then you will have more available money to put elsewhere. There are four positive aspects in refinancing your home to pay for college.
1) Type of rate can be changed- A perk of refinancing is that you can protect yourself from experiencing unexpected rate increases.
2) Lower monthly payments- This is an obvious positive, according to RIS Media - a leading provider in Real Estate news. Lower monthly payments mean more money in your pocket to go toward tuition bills and other school expenses.
3) Lower interest rates- The lower interest rates will not only give you lower monthly payments, but also a shorter repayment period.
4) Mortgage amount can be increased- This is the main positive to focus on when considering refinancing to pay for school. When you refinance, you can do so for a larger amount so you'll have extra cash immediately. This is an efficient, quick way to receive money to send yourself to school.
By just reading the positives in refinancing your home, you may be ready to apply right now. However, there are also a fair share of negatives.