The current global financial climate has led many home owners to question just how high 15yr mortgage rates could be. In fact, many may wonder if it is even possible to refinance at all. The answer is a resounding “yes.” A reapplication can lead to significant savings on both the interest rates you are paying and the term of your mortgage.
With rates have gone up across the board in recent times, many people have questioned whether refinancing their mortgage is really worth it. After all, many experts say we cannot possibly continue to pay these rates if we want to see any kind of stability in our economy. However, with many Americans still reeling from the loss of jobs, homes foreclosures and credit card defaults, we may see a change in attitude on this issue. Mortgages may not seem like a very urgent necessity, but for many of us, they are still a vital part of our financial future.
What should you know before you decide to consider a refinance? First, when you purchase a new home, you receive a mortgage that is written for the amount you have invested in your new home plus a bit of interest. You also pay closing costs and taxes, among other things. With time, this amount tends to add up to a lot of money, especially since the interest rate is included in the equation.
If you think that your time is running low, you can take advantage of the current low mortgage rates to refinance your existing mortgage. There are many lenders that are willing to assist you in getting a mortgage refinanced at current market interest rates. You can use a mortgage calculator tool online to determine just how much it will cost you annually to repay your current mortgage and compare it to the cost of a new mortgage with the same terms. Many homeowners choose to refinance their home for one of several reasons. Some do so to free up some cash for investments or to make repairs that weren’t completed within the current term of their mortgage.
Another popular reason to refinance is to secure a better interest rate. If you currently have a higher than normal interest rate, you may want to consider a refinance to get a lower interest rate. A lower interest rate lowers your monthly payment and decreases the amount of time it takes to repay the loan. For some people, lowering the payment and the amount of time it takes to pay it down helps them to free up some money for other expenses or to make investments.
If you have decided that now is a good time to refinance, you should look for a lender who is willing to provide you with a home refinance mortgage loan. Lenders specializes in helping people obtain mortgages for home equity loans and home equity lines of credit. There are a variety of mortgage lenders online and in your local area that offer a variety of different terms for your loan.
When considering a refinance for your mortgage, be sure to get quotes from several different mortgage lenders so you can compare the terms of their mortgage loans. The best way to choose a mortgage lender is to ask for a free quote using one of the free mortgage rate quotes systems that are available on the Internet. You can get quotes from competitive lenders that specialize in refinancing homes and mortgages. These lenders will offer you a variety of different mortgage rates for your specific situation so you can choose the best deal and terms to meet your financial goals.
In conclusion, remember that a refinance mortgage can be a great way to lower your mortgage rates. In particular, this article has shown you several reasons to consider refinancing your mortgage. If you are concerned about high mortgage rates, talk to an experienced mortgage professional today. Let them give you a free mortgage quote so you can see what kind of mortgage rates you can expect when you refinance your mortgage.