It’s no longer a surprise to learn that home prices are on the rise.

According to the Federal Housing Finance Agency, or FHFA, the home price index posted its largest year-to-year gain this year. In Idaho, that translates into a 35% increase on the average price of a home.

Today’s home financing is an incentive because homebuyers want to enjoy historically low rates. Home pricing gains follow accordingly.

Homeowners such as yourself can benefit. Today’s market dynamic of high buyer demand and growing property values present homeowners twice the benefits.

While home prices are on the rise across the U.S., in every state in fact, Idaho experienced the biggest home-price appreciation. This increases home equity levels for all homeowners in the area.

As an investment, buying a home secures your family’s future. It also lets homeowners build wealth through their home equity. When prices go up, so does home value. It can also boost your financial flexibility. Equity is the current value of the home subtracted by what’s owed. And for many, the difference between the two figures is growing.

Armed with growing home equity, homeowners can do some flexing of their own in today’s market.

Low financing rates and high home values are two powerful forces. Homeowners can merge them to their advantage through a refinance loan.

A new loan makes it possible to enjoy even greater savings. Individuals who purchased their homes when mortgage rates were higher can slash their interest rate.

With a lower rate, the monthly mortgage payment drops. Homeowners can also reduce the length of the loan. Paying it off sooner only increases your savings over the life of the loan.

In addition, homeowners who’ve accumulated a large amount of equity over the last couple of years can put it to work for them. A cash-out refinance lets borrowers lower their interest rate and take out funds, which can otherwise be inaccessible or difficult to acquire.

A cash-out refinance can fund a major renovation, pay off debt or bankroll a large life investment such as an advanced degree.

When homeowners decide to do a cash-out refinance, their mortgage payment and loan will be folded into the same financing plan at the rate it costs to buy a home.

Borrowing money any other way can be more costly. Today’s low rate is a rare opportunity to both lower your interest rate and get an affordable loan that changes the game.

By refinancing your existing loan, the total finance charges may be higher over the life of the loan.  Lower rates typically have higher closing costs in the form of discount points.