Mortgage rates have set another record low - the 15th record so far this year and many homeowners are taking advantage of this situation. We are seeing many of our past clients coming in again to take advantage of the super low rates and completing another refinance of their home, saving thousands if not tens of thousands of dollars. If you have not seen us in the past few months, perhaps you need to!
The question we keep getting is, “so what are the rates?”. We can only say what is being reported, which is, the average 30-year fixed rate loan is now down to 2.85%, but that is just the average rate. Depending on your situation and type of loan, you could see your interest rate being even lower. We have seen loans being closed in the mid 2% range.
What does a lower rate mean? With a refinance of your current mortgage, you may be able to cut your mortgage payment or you may be able to shorten the length of your loan. Who knows - maybe you can do both! But let us start with the idea of a lower payment. Just half a percent cut in your rate could save you about $1,000 a year on your mortgage payments. Take that number over the next 30 years and you are saving about $30,000 over the life of your loan. Or take those monthly payment savings and prepay your loan. This cuts YEARS off of your loan! Either way, it merits consideration.
So, what are the next steps? Give us a call or email and we can help get the process started. We are closing loans with many lenders, and we know the ones that make the process easy and have the best rates. We are happy to put you in contact with the right lender for your situation and help you to realize your savings!